What is Micro Venture Group?
What is Micro Venture Investing
"Micro Venture Investing" is the name given to a certain breed of financial transaction which occurs directly between individuals without the intermediation of a traditional financial institution. Micro Venture Investing allows individual investors to participate in funding startups in which they otherwise never would have the opportunity to participate.
How is investing with MVG different
MVG Investors agree to become mentors to the business venture in which they are investing. This is an important distinction. Typically, investors are often left to watch the performance of a company from the sidelines. For many investors, this may be acceptable (whilst their investment is going well!). When this is not the case, as has typically occurred for many investors, the opportunities to make positive contributions to the venture are very limited.
MVG investor membership appeals to investor / sponsor groups seeking the risk mitigation of smaller investment parcels and the comfort of knowing that the investments are offered in combination with a mentoring support program designed to protect both investor / investee.
They do not idly wait on the sidelines for company dividends to be announced but are active participants/contributors to the success of the business venture. There is significant benefit when owners/entrepreneur relationships are forged with their MVG funding/support team, because all participate by contributing their passion and interest in the business’ success and who are willing to contribute actively.
Why Does MVG Investment Work So Effectively ?
Each member of the “investment consortia” is an individual or institution that has elected to support a specific business start-up because they have interest in the type of venture, expertise, contacts, and funding support.
How Is Investment Structured ?
The terms and amounts of venture investment support range from $25,000 to $1,000,000. The investment details are defined and negotiated with each venture during the MVG Investor Funding Program and will typically be based around needs, growth prospects and overall investor appeal.
How Do MVG Venture ?
Each venture project is financially supported over a 36 month period (as a minimum) with investment funding structured into six 6 monthly investment traunches. Investor options at the completion of each traunch will involve either further investment support as per original agreements, conversion of allocated funding into equity, return of funds on commercial terms or investment swap with an alternative consortia member.
How Are The Investments Priced ?
MVG prices the investments at the time each participant venture completes the MVG Foundation program. The pricing is undertaken in accordance with market best practice and is vetted by an independant financial advisor.
Who Maintains Control of the
The venture founders and/or executive members of the venture retain control at all times during the period in which MVG business coaching and investor mentoring activities are in place.
MVG is committed to ensuring the committment, enthusiam and passion on the part of the directors of the specific venture retain control and are not dis-incentivised as a result of ineffective equity structures.
How can I assess the business if I ?
Each venture includes a business profile and a prepared MVG investor disclosure brief that provides vetted information about the venture.
In addition, each venture has or is currently undertaking the MVG BUsiness Planning for Investment Program which acts as a coaching and a vetting process to ensure the venture complies with key investment criteria.
Finally, each venture is associated with an approved MVG Business Coach that you may contact and refer to with respect any questions you may have regarding the venture.
How do I engage in mentoring my Micro Venture?
You will be connected via a private MVG Inventing / Mentoring electronic web based forum that will link you, your fellow Investing / Mentors (who constitute your Mentoring Consortia), together with the chosen venture.
Each month you will receive performance updates and will be invited to provide feedback, ideas, contacts etc - In fact, anything that may be of assistance to the venture. The electronic conversations are private to the parties to the specific venture, Investing Mentors and the nominated MVG Business Coach.
Can I mentor over the internet from another location?
You may login via the MVG website at any time to see and converse with your selected venture parties.
What if I have questions abou
You have the options of taking up the issues directly with the venture (by way of the electronic forum - Note: the forum is shared by your Investing / Mentor consortia members, therefore your concerns can be aired appropriately among all who have a common interest in the particular venture's performance.
In addition, you may discuss your issues with the MVG Business Coach, who will maintain an ongoing coaching role during the 36 month Investor / mentoring program.
How is the investment organised ?
All investments are by way of converting loans made to the venture. These are structured into six phases over 36 months. The first phase is released for use by the venture when the nominated venture funding target has been fully subscribed to.
Phase 2 is released after 6 months, subject to performance criteria previously defined in the MVG Disclosure Profile.
Phase 3 is released after 12 months, again subject to performance criteria previously defined in the MVG Disclosure Profile, etc.
At the conclusion of the each phase, the venture will have the option of converting the investment loans released to that point into shares in the venture, on terms agreed upfront and documented in the MVG Disclosure Profile at commencement of the arrangement, or returning the funds at then agreed commercial rate.
Are All Investment Funds
No. Funds are progressively released on the basis of acceptable performance during the 36 month period.
What Assurance is Provided
No guarantees can be made with respect to business / venture performance. However, the nature of the MVG program ensures that the participants each work as a team, with regular monthly performance monitoring, overlaid with business coaching, to ensure that all feel comfortable that everyone is working and contributing towards the success of the venture.
How and When Can I Get My Investment Returned ?
Each venture project is financially supported over a 36 month period (as a minimum) with investment funding structured into six, 6 monthly investment traunches. Investor options at the completion of each traunch will involve either further investment support as per original agreements, conversion of allocated funding into equity, return of funds on commercial terms or investment swap with an alternative consortia member.