The Fund will consider investment opportunities for businesses associated with the University of Edinburgh. It is likely that the University will have an existing equity interest in the company. This will include:
- Start up or seed funding for companies seeking to commercialise an existing concept.
- Development Capital for the growth of more established businesses.
The Fund can operate across a broad range of sectors and looks to co-invest with other professional investors e.g. institutions, funds or Angel investors.
Investments range from £50,000 to £250,000 depending on the stage of development and the financing requirement of the investee company. Further funds may be available for follow-on funding but this will be considered on a case by case review.
Andrea Young is the fund manager and deals with the assessment and support of the investee companies. Andrea works closely with the Investment Committee and will look to actively monitor the investment on behalf of the Fund.
To start the process the company should send a full business plan and Andrea will start discussions.
As this is a formal process there will be commercial and financial diligence undertaken and OCC will look to work with the other potential investors. This approach is cost-effective for investment activity in this sector.
Once the assessment is complete the Investment Committee may wish for a company presentation before making a decision. If positive, Andrea will complete the transaction. OCC will look for standard legal documentation for a transaction of this nature. OCC does not charge and arrangement fee but in line with normal market practice expects the investee company to pay its legal costs.
On completion of the investment OCC will work closely with the investee company and may appoint a non-executive director and /or appoint an observer to the board. OCC will look to receive rights similar to other investors’ i.e. monthly management information and commercial updates. .