Alpha RLC Ventures EIS/SEIS Fund
The Alpha RLC Ventures fund will invest across a mixture of SEIS and EIS qualifying companies in six areas: fintech, property, Social Impact Tech, gaming, enterprise and AI.
- Target return 2.5x (net of fees and excluding tax relief) with an expected exit timeline of 5-8 years (returns and timeframes not guaranteed)
- Target 6 to 12 portfolio companies (not guaranteed)
- Investments should be deployed within 12-18 months
- Minimum investment £25,000
RLC Ventures was founded by Reece Chowdhry whose background is working as a management consultant at Ernst & Young and as a serial start-up investor. He has won a number of industry awards.
His father Jeffrey Chowdhry is RLC’s non-executive chairman, who has over 30 years of stock market experience as a fund manager and consultant and is a non-executive director of an AIM-listed property company. He is responsible for managing approximately $5 billion.
The fund sources deals from a wide range of partners including angel networks, accelerators, trade bodies, top UK universities and extensive personal contacts. In 2018, it reviewed approximately 1,500 businesses before investing in 12 portfolio companies.
RLC uses its network to provide ongoing support and advice to the portfolio companies in terms of their financial, legal, marketing and distribution strategies. It aims to take a board seat on approximately 50% of the underlying companies.
RLC Ventures looks for companies where the product is technology-enabled or involves an innovative and disruptive approach not seen elsewhere in the market.
The fund will invest on a co-investment basis and the RLC management team members are expected to personally invest their own capital into every deal. This is the second iteration of the Alpha RLC Ventures fund.
An example of a company backed and support by RLC Ventures is LandlordInvest, a peer-to-peer lending platform enabling people to invest in residential buy-to-let mortgages and bridging loans. The platform’s target audience is buy-to-let and bridging loan borrowers with a slightly less than perfect credit score, who are having difficulties with raising finance from traditional lenders due to a one-off adverse credit event in the last five years. In 2016, RLC became the first external investor in the company which has since been ranked the number one P2P platform by Global P2P Lending. Note past performance is not a guide to the future.
The offer is only open to investors who successfully apply to become an elective professional client of RLC Ventures and have the knowledge and experience to understand the risks.
Risks – important
This, like all investments available through Wealth Club, is only for experienced investors happy to make their own investment decisions without advice.
SEIS and EIS investments are high-risk so should only form part of a balanced portfolio and you should not invest money you cannot afford to lose. They also tend to be illiquid and hard to sell and value. Before you invest, please carefully read the Risks and Commitments and the offer documents to ensure you fully understand the risks.
Tax rules can change and benefits depend on circumstances.
This fund invests in early-stage businesses which are more likely to fail than larger ones, so you should expect a number of failures in the portfolio.
Fees and charges
A summary of the fees and charges is shown below. Please see the provider's documents for more details.
|Full initial charge||3.75%*|
More detail on the charges
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- Target return
- Funds raised / sought
- £2.0 million sought
- Minimum investment
- Allotting in 2019/20