Background Information
Goal:
Established business
Sector focus:
agriculture
Amounts provided:
$500,000 – $3,000,000
Funding type:
private property
Means, instead of making a loan, the fund takes a percentage of the shares.
Main criteria
Strong team with experience in managing commercial projects.
High growth business plan including 5 year forecast;
Audited financial statements for the past two years
social impact
Ability to meet high standards of corporate governance and financial reporting.
More information
Search for “Pearl Capital Uganda”
+256312264983/4
Who is behind PCP?
Pearl Capital Partners (PCP) is an independent investment manager. Its current funds are:
- African Seed Investment Fund (ASIF). The sole investor is the Alliance for a Green Revolution in Africa which aims to provide certified high quality seeds to small farmers.
- African Agricultural Capital Fund (AACF). Its investors are the Rockefeller Foundation, the Bill & Melinda Gates Foundation, the Gatsby Foundation, and JPMorgan Chase Social Fund.
What does the process look like?
When I met Edward Isingoma, partner at PCP, he told me about the principle behind the companies they are seeking to invest in:
“We need to be able to tell within 30 minutes whether or not we’re going to invest in the company.”
This means I would expect that before submitting a detailed plan, they will want to see an executive summary providing information such as the company’s history and profitability, amount required and the like to help them decide if it is up to their criteria.
Our view/tips for success?
1. High social returns. The investors behind PCP funds, such as the Rockefeller Foundation and Bill and Melinda gates, are not only interested in profit. They seek to make a significant social impact. For example, how will the company “promote the welfare of mankind?”
2. Governance and Ethics. This is also driven by the investors behind PCP funds. For example, David Sainsbury, the person behind the Gatsby Foundation, was the UK’s Minister for Science and Innovation. It is therefore expected that this investor will be looking for businesses that demonstrate strong business ethics and corporate governance.
3. Personal commitment. Before a PCP can invest, they usually expect the entrepreneur to contribute a portion of the total capital themselves. We expect this to be anywhere from 25-50% of the total funding.
Otherwise, good luck.
Disclaimer
Inachee is not an agent of or associated with this entity, but rather an independent thought leadership and advisory firm. The information provided is based on our research and experience. While we have taken steps to ensure the accuracy of the information provided herein, there is no guarantee that it will remain accurate.