Early Stage Investing

Futuregrowth has an established track record of investing in early-stage businesses

We support South African entrepreneurs that push the boundaries with innovative technologies that change the way we live. We believe that by backing South African startups we can play our part in job creation and in growing our economy. 

Through the Development Equity Fund investment mandate, Futuregrowth has been investing in early-stage businesses for over eight years and has established a strong track record. Our diverse Venture Capital investment portfolio is made up of a range of high-growth early-stage tech businesses.

Investment Approach 

Our approach is centered around six key principles, with strong emphasis on management quality:

  1. Competitive Moat 
  2. Developmental Impact 
  3. Attractive Market 
  4. Post-revenue 
  5. Strong Management Team 
  6. Scalable business 

High Growth Development Equity Fund

We are pleased to announce our intention to launch the Futuregrowth High Growth Development Equity Fund. The Fund will seek investment opportunities in early-stage businesses with a strong developmental impact.   

Watch the Fund Q&A     
Download Fund factsheet

Futuregrowth has a track record of more than 25 years of investing in developmental deals, 16 years of investing in unlisted equity businesses and 9 years of investing in early-stage equity businesses. 

Investment Thesis

We source innovative startup businesses that are driven by excellent teams in need of capital and help them grow to the next level. We look for start-ups that offer disruptive technologies in growth markets. 

Fund Snapshot 

  • The Fund will be a closed-ended, limited life fund. 
  • 4-5 year draw period, with 5-6 year payback period. 
  • Committed Capital Target of R 500 million - R600 million. 
  • Indicated fee: 2% on committed capital + 20% incentive (cash-on-cash returns) above base return. 
  • The early-stage fund will be a warm-start, with no asset transfers from the Development Equity Fund. 
  • The Fund will be managed alongside all other Futuregrowth Funds, in the Futuregrowth ecosystem.

Interested in investing in the High Growth Development Equity Fund?
Contact: Maseabi Marageni, Head: Business Development 
E: mmarageni@futuregrowth.co.za  

Are you an early-stage business looking for funding?
See our funding criteria here

Investing now to build the future we want.