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potential for a 10x return in 4 years? The next step is to work out your
appetite for risk, based on your personal
Member investors have taken a portfolio circumstances (for example, if you have
approach with firms they invest in because children and need to pay school fees).
few will deliver high returns. Those who like As one member said, “the pain of losing
to be more hands-on think about the impact 10% is 2.5x greater than the pleasure of
they could have beyond investment, and gaining 10%” so work out how much you
the stage of the business, to decide how are willing to risk and need to keep safe.
involved they want to be. Taking it from
pre-revenue to £1m, £1m to £5m and £5m+ Members who have become seasoned
all require different skill sets and experience. investors suggest you need a minimum
of ten investments, and able to do follow
ANGEL INVESTING on rounds to avoid getting diluted. So if
Members who invest advise, as a first step, you are putting in £25k to £50k to start
to work out the income you need your you will need £100k per investment (so
capital to generate yearly to fund your around £1m to play with). They also
lifestyle. Then, you should put aside enough advise that you be prepared to walk
to generate this income plus 2-3% to keep away from investments which aren’t
your capital the same in real terms. making a return. Also, make sure you
have some investments that are liquid
for short-term eventualities.
DID YOU KNOW?
DID YOU KNOW?
BECOMING A NED
The Supper Club runs an Investment Club Some members have taken on a
The Supper Club runs an Investment Club
for members looking for opportunities
for members looking for opportunities portfolio of Non-Executive Directorships.
to invest in high potential businesses.
to invest in high potential businesses. With increasing accountability on
Promising founders are identified through corporate governance, be aware
Promising founders are identified through
our network and strategic partners.
Lara Morgan our network and strategic partners. that NEDs now have more legal
responsibilities. Members who become
The Investment Club convenes twice a NEDs recommend trying to balance a
The Investment Club convenes twice a
year with 10 shortlisted founders pitching portfolio with a mix of early and later
year with 10 shortlisted founders pitching
to a panel of 14 members for up to £1m
to a panel of 14 members for up to £1m stage businesses that can benefit from
in investment. The Supper Club finds
in investment. The Supper Club finds your specific knowledge and network.
qualifying founders through its partner Remuneration initially tends to be cash,
qualifying founders through its partner
Some members use
network and invites them to send a video perhaps with an option of equity at a www.nedaglobal.com
network and invites them to send a video
pitch to shortlist. Since it was launched
pitch to shortlist. Since it was launched later date. Due to possible dilution, the
in November 2015, 56 have pitched and for specialist training
in November 2015, 56 have pitched and
five have since become members of The equity option tends to work best where and information about
five have since become members of The
Supper Club. the NED has joined to build towards an becoming a NED.
Supper Club.
event (i.e exit or IPO).
AN INVESTMENT CLUB Alex were briefly entrepreneurs in residence
SUCCESS STORY at Index Ventures where they came up with
and launched BuildPath.
In 2012, Jules Coleman and Alex Depledge
founded Teddle ltd which they would later “We first pitched at The Supper Club in
pivot in 2013 into Hassle.com, Europe’s early 2013 just after we pivoted to cleaning
largest marketplace for residential cleaners. only and before our re-brand to Hassle.
In 2.5 years Hassle.com went from £0 com,” recalls Alex Depledge. “We thoroughly Alex
revenue to annual turnover of £8m and enjoyed the experience and found the Depledge
expanded from London to Ireland, France investors welcoming and friendly. We were
and Germany (with an acquisition in Berlin). lucky enough to attract interest from five
angels from The Supper Club, but could only
The founders raised £250k from a collection accommodate two as our round became
of high profile angels, including two from over-subscribed. Both Chris [Ash] and
The Supper Club, then raised a £4m Series A Jonathan [Quinn] were the perfect angels –
from Accel partners and Ventech. They sold on hand to help when we needed it but both
the company on 1st July 2015 for €32m to gave us the room to operate the business
a Germany company. Since then, Jules and unencumbered.”