The Syndicate

What is a syndicate?

A syndicate is a group of investors (like an investment club) that pools their capital to invest into deals via a special purpose Vehicle (SPVs). As a member of the Finwise 4D investor syndicate, you’ll be invited to deals that you can choose to invest in on a deal-by-deal basis.

How We Work?

The Advantages

Build your own diversified portfolio of cherry-picked tech startups

Invest as low as Eur 10K per deal

You are in full control
You decide on a deal-by-deal basis to invest or not.

No management fees
We do not charge management fees from syndicate members nor subscription fees

The Syndicate partners - Our Track record

Patrick Soetens

– Founder & Managing Director

Patrick has more than 20 years of experience in banking and financial markets and gained valuable startup experience as the founder and CEO of the Swiss subsidiary of Belgian online broker Keytrade Bank for 8 years. He started Finwise in 2016 as a fundraising advisory firm for selected top tier tech startups. Succesful companies he worked with at early stage include Belgian company Loop which was recently winner of the scale-up of the year in Belgium. He started angel investing in startups in 2017.

Thomas De Simpel

– Director

Thomas is a succesful angel investor (2017-2022) turned solo GP in 2022, backed by three silent partners (Nicolas D, Charles D, Axel D). He already realised two exits, of which one portfolio returner

Our Mission

In recent years we noticed that access to the asset class of early stage capital is often not easy due to high minimum amounts. We want to make angel investment more accessible. Via our syndicate it is possible to build a diversified portfolio with tickets of only 10K.

Our Investment Thesis

– We primarily invest in founders and are therefore looking for exceptional founders, ideally serial entrepreneurs with exit experience, an international mindset and strong sales skills
– We have most experience in B2B SaaS, Fintech so most of our deals will be in that category but we can look at other ‘tech’ verticals on a case by case basis
– We concentrate on companies that are already revenue generating, at the moment where they can demonstrate tentative product-market fit and are ready to take off (‘de-risking’)
– Reasonable valuations with significant upside potential (target >10x): we do not want to overpay
– We are looking for highly scalable companies in large addressable market
– Target geographic focus: 60% Western Europe (UK/IRL, Benelux, France, Germany, Nordics), 30% US, 10% Other
– Mid/Late seed/Pre-Series A, Series A, ideally alongside VC/Family office
– We differentiate from others in providing high quality due diligence

Primary criteria we assess:
– founders with relevant experience and expertise (founder-market fit)
– traction and product-market fit
– market size and timing
– valuation

FAQs

What is an investor syndicate?

Who can invest via the Finwise Syndicate

We use the Odin platform to syndicate our deals. In order to invest through the Odin platform, you must be a “Self-certified sophisticated investor” or High Net Worth Investor, and meet the requirements set out in article 23A of the Promotion of Collective Investment Schemes Order, by the FCA, . The “sophisticated investor” standards vary between countries, but to invest on the Odin platform all investors must at least meet UK requirements. Non-U.K. investors should also review the standards under their local law.For example, the “Accredited Investor” standard for US investors.

What is the minimum investment ticket?

For the deals we present to syndicate members, the minimum ticket size is €10K.

What are the associated costs?

We do not charge any management or subscription fees from syndicate members. When you invest in a deal, you will only be charged 5% of your total investment amount to cover the admin and legal fees by the Odin platform. This is upfront and once-off.

What is our business model?

The syndicate is operating on a success fee solely, in the form of a carried interest. We charge 20% of the future profits you gain from an investment you made via the syndicate. This way we only earn upside when you are.

What type of companies does the Finwise Syndicate invest in?

we primarily invest in founders and are therefore looking for exceptional founders, ideally serial entrepreneurs with exit experience, an international mindset and strong sales skills

Who are typically the investors that join your syndicate?

Our investors range from existing angel investors seeking additional deal flow, executives interested in venture capital but not having the time to be a full time angel investor, CEOs of startups with liquidity from exit events.

Why invest through a syndicate instead of directly?

Syndicates offer the possibility to invest with much lower amounts than traditional angels and allow you to build a diversified portfolio easier. Research over a long period indicate an average return in excess of 20% IRR on a diversified angel portfolio. However, this can only be obtained by investing in many deals (ideally 20 or more). Syndicates make angel investing a lot more democratic

What is the legal structure of the SPV?

Your shares are held in custody by a UK limited company that acts as a Special Purpose Vehicle ("SPV"). The SPV hold the shares or share-like instruments in trust on the behalf of the investors using a UK Bare Trust Structure. This is a legal agreement in which you as beneficiary haven immediate and absolute right to both capital and income of the trust. The trustee must follow the instructions of the beneficiary in relation to the assets in trust and has no discretion over the assets. The trust is tax transparent, so you pay tax according to the rules of the country where you are tax resident. You do not have any UK tax liability. https://help.joinodin.com/en/articles/6389864-what-legal-structure-do-we-use-what-are-the-tax-implications https://intercom.help/odinlovesyou/en/articles/6211845-legal-structure