SG Asset Management and Bramdean Asset Management founder Nicola Horlick is taking a novel approach to raising investment for her new fund management venture, offering a 10 per cent equity stake through an equity finance site that accepts investments of as little as £10.
Ms Horlick’s latest venture, Glentham Capital, is a startup fund management company looking to raise a $100m listed Guernsey fund from UK and overseas investors starting in the final quarter of 2013. Once raised, the fund will provide finance for Hollywood films.
The firm is seeking a £150,000 total investment for a 10 per cent stake.
Ms Horlick, who set up SG in 1997 and Bramdean in 2005, will serve as chairman of the company, and Pandora Edmiston, who worked in the film industry and then moved to Citibank for a number of years, is its chief executive.
The money raised through Seedrs - which allows investments of as little as £10 - will be used to pay Ms Edmiston’s first-year salary, the set-up costs of the fund and some travel costs.
Thereafter the company has announced it plans to operate profitably through a 2 per cent management fee and a 20 per cent performance fee charged on the new fund. There are plans to launch other specialist funds in the future.
Investments in the new company will be made directly through the Seedrs online platform, and after completion Seedrs will hold and administer the shares as the investors’ nominee.
Investors will be able to claim Seed Enterprise Investment Scheme tax relief of up to 78 per cent on their investments.
Ms Horlick said opening up the previously-closed world of fund management so that a wide range of investors can participate would be good for business, good for investors and good for the market.
She said: “Having been a fund manager for the past 30 years, I know what a great opportunity it can be to invest in a fund management company.
“In the old days, there was no way that I could have opened an opportunity like this to the crowds, but Seedrs provides me with the perfect opportunity to do so.
“I know that I will have the structure I need to grow my business while my investors have important protections. I look forward to welcoming a wide range of investors, large and small, to become part of the Glentham Capital journey.”