Everyone seems to want student entrepreneurs. For example, the entrepreneur First creates startups with raw student material. Most countries want highly qualified students to stay around and start new companies. Only the UK likes to charge them a fortune for an education and then kick them out if they don’t earn enough. But I’m digressing!
In its long march to gradually cover different aspects of the UK startup scene, Founders Factory has invested in Creator Fund, the student-led venture capital fund. It is launched today in the United Kingdom, but plans to spread abroad to discover startup innovation within European universities. It will use a network of “VC students” on university campuses to invest in new technology initiatives and student founders.
The idea here is that students invest in their peers, offering an alternative way to growth for university startups.
So far it has enrolled people in 14 UK universities and offers up to £ 30,000 in startup investment. Shareholders’ equity is determined on a case-by-case basis. Impressive for the average start, but I think a ransom for the average student starts.
While the Creator Fund thinks that “the best person to find and support the founders of the most promising students is their classmate next to them in the lab or in the classroom”, I have a feeling that this might end up tying them into some interesting knots that they could end in some conflicts of interest. We’ll see.
The fund intends to make approximately seven investments in the next 12 months. The VC has already made an investment in Refund Giant, based in Imperial College London, a service that syncs with credit and debit cards to automatically issue hands-free VAT refunds for travelers.
Jamie Macfarlane, founder and CEO, said in a statement: “In the United States, many of the big tech companies were born on university campuses: Facebook, Google, Snapchat and Yahoo were all founded by founding students. The United Kingdom has some of the best universities in the world and the same potential for founding students to create large companies. For those high-potential students to pursue this path, they need better access to three things: capital, business support and communities. We at Creator Fund are offering a new VC model specifically focused on building this. We are training students from the best universities to find and invest in agreements with their colleagues and offer them the initial support they need. And create a community where they look around and see other people embark on this entrepreneurial path. “
Henry Lane Fox, co-founder and CEO of Founders Factory, He added: “What the creators fund is doing is very special. They are challenging the VC landscape and we are excited to be part of it. It offers highly qualified students the skills to be the investors of the future and discover the founders of tomorrow.”
Creator Fund is launched with a mix of students from a wide range of backgrounds. Current team members include Richa Bajpai from India who previously built a global CSR company that raised over £ 20 million and Toyosi Ogedengbe from Nigeria who built a platform to help investors distribute capital in the country. West Africa.
At launch, Creator Fund has teams in 14 British universities: Oxford, Cambridge, LSE, UCL, Kings, Imperial, LBS, Warwick, Newcastle, Nottingham, Edinburgh, Leeds, Aberdeen and St Andrews.