FAQ

How can I join the syndicate?

Sign up to our email list to receive the deals we are evaluating. If you see a deal that’s interesting to you, just get in touch via email and we’ll take it from there.

What is the benefit of a syndicate?

The syndicate provides you with a steady deal flow without you having to invest time in scouting companies. We also take care of negotiating term deals, performing due diligence, etc.

What are the costs?

If you decide to invest in a deal, there is a 100 CHF closing fee to cover for the administrative costs of closing a deal. There are no management fees but 15% carried interest which go to Founders Hive and Swisspreneur and are re-invested into our programs initiatives and initiatives.

What is carried interest?

Carried interest is a share of the profit. It is paid to the lead for negotiating deal terms, performing due diligence, writing a deal memo, etc. The carried interest of the Syndicate is 15%.

What is the minimum amount I can invest?

The minimum investment amount per deal is 5’000 CHF.

If I choose to invest, will my name be on the company’s Cap Table?

No, as a syndicate backer, you are investing in membership units of the special purpose vehicle, the SPV invests in the company on behalf of its members. So there is only one cap table entry for our syndicate. However your name will be mentioned within the syndicate naming convention (e.g. Syndicate 2 consisting of Investor 1, Investor 2, etc. represented by Swisspreneur and Founders Hive).

What is the legal structure of the syndicate?

For every deal we invest in, we form a simple partnership through a legal contract amongst the syndicate investors.

What happens after the investment round is closed?

After all legal documents have been signed and the money has been transferred, you will receive regular updates from the startup about their development.

Do I have to invest additional money?

No, you don’t but you are obviously free to join a follow up round of the same deal.

Couldn't find the answer to your question?

Contact us at info@founders-hive.ch