By leveraging Ventures’ unique position within the Crossfin portfolio, we are able
to de-risk the relevant investee’s business model and fast track its growth path.
Investec Bank Ltd is co-invested in the Ventures structure via its Emerging Companies Private Capital team who chose to back the Crossfin team and story thanks to our considerable track record. Investec’s broad knowledge of, and network within, the financial services industry has further entrenched Ventures as a leader in the early stage FinTech investment space.
The strategy underpinning the Ventures structure is to back and then support the relevant investee business in their efforts to reach important milestones: revenue targets, key metric growth, profitability et al. The next step is to then look to partner with or exit to a strategic co-investor and/or a Crossfin portfolio company. This combined consortium then further develops the asset into a stronger, more viable going concern whose value grows exponentially over time. Some of the notable assets within the Crossfin portfolio that Ventures companies are able to integrate with and leverage off include Innervation, Sureswipe and iKhokha which between them provide access to over 27 000 retail merchants across more than 47 000 active POS lanes/devices across 13 African countries. This places Ventures’ assets in a strategically advantageous position over competitors and helps accelerate start-ups past the PoC stage to break even.
The company’s investment strategy is to incubate promising Fintech, preferably
mobile APP based, businesses beyond proof of concept, to break even and beyond. The natural next step is then to look to partner with or exit to a strategic investor or Crossfin portfolio company which can assist in developing the relevant asset into a stronger more viable going concern, appreciating in value exponentially.