COLUMBUS, Ohio, June 08, 2021 (GLOBE NEWSWIRE) -- Zell Capital (“Zell”), a Columbus, Ohio based investment company, has partnered with U.S. Bank Global Fund Services to launch a new type of fund that opens venture capital to all investors. Zell completed the registration process with the U.S. Securities and Exchange Commission (“SEC”) and Zell’s effectiveness creates a new class of funds, called Access Funds.
Traditionally, investing in private market funds such as venture capital has only been available to wealthy individuals and institutions under accreditation rules. By registering under the 1940 Investment Company Act, Zell can offer an investment opportunity to all US citizens 18 and older. The minimum investment is $1,000 and investors can purchase shares directly through the company’s website at www.zellcapital.com. Shares will be offered at $20 per share during the Initial Offering Period1.
“According to the SEC’s website, 87% of US Households do not qualify as accredited investors and have been restricted from investing in venture capital funds,” said Will Zell, Founder of Zell Capital. “Our mission was to create an investment opportunity that balances the risks of venture capital investing with appropriate disclosure and reporting to ensure investors are fully aware of the pros and cons of investing in this asset class.”
Since 2006, Will Zell has started, invested in and built companies across multiple industries. Most recently, Will was co-founder and CEO of Nikola Labs, where he raised over $20 million in investor capital and led the company to a high-growth stage.
Investing in Zell Capital will provide investors with access to a portfolio of early-stage startup technology companies bringing change to their industries.
“Many people seek to get in on the ground floor of companies, but the retail investor has largely been locked out of that opportunity. We intend to invest in high-growth potential companies at their earliest stages, when they are valued generally between $5 million and $50 million. This is truly the ground floor,” said Zell.
Zell Capital has partnered with U.S. Bank Global Fund Services for full back-office support. In addition to fund administration, accounting, custody and transfer agency services, this service provider also offers the technology portal investors use to create an account and make their investment.
“Zell Capital’s Access Fund fundamentally changes who can invest in venture capital funds by designing an investment vehicle accessible to non-accredited investors. As a leader in fund administration for 40 Act registered funds, we are excited to provide the full back-end services to enable the successful launch and growth of the fund,” said Christine Waldron, Chief Global Strategy Officer at U.S. Bank Global Fund Services.
Zell Capital provides a new opportunity for investment advisors as well, who now will have a venture capital fund option without accredited investor requirements.
Zell Capital will invest between $250,000 and $2 million into each startup company, participating in the Seed and Series A funding rounds for early-stage startup companies.
Investors should consider the investment objectives, risks, charges and expenses carefully before investing. For a prospectus with this and other information about the Fund, please call 1-888-484-1944 or email us at info@zellcapital.com or visit www.zellcapital.com/prospectus. Read the prospectus carefully before investing.
AN INDICATION OF INTEREST IN RESPONSE TO THIS ADVERTISEMENT WILL INVOLVE NO OBLIGATION OR COMMITMENT OF ANY KIND.
Investing involves risk. Loss of principal is possible.
Our investments in what we believe to be rapidly growing venture-capital-backed emerging companies may be extremely risky and we could lose all or part of our investments. Significant risks of investing in venture capital backed emerging companies are: (i) these companies may have limited financial resources, (ii) limited operating histories, and (iii) have generally less predictable operating results. Because they are privately owned, there is generally little publicly available information about these businesses. Also, early-stage and development-stage companies have a high rate of failure and often experience unexpected problems.
We plan to focus a significant portion of our investing in technology companies, which may cause the value of our interests to be susceptible to factors affecting the technology industry and therefore subject to greater risk than an investment in a fund that invests in a broader range of securities.
The marketplace for venture capital investing has become increasingly competitive, making it difficult for us to locate an adequate number of attractive investment opportunities.
Because our investments are generally not in publicly traded securities, there will be uncertainty regarding the value of our investments, which could adversely affect the determination of our net asset value.
One of the key elements of our structure as an Access Fund is the potential for investors of the type we expect to attract to provide expertise to our portfolio companies in various areas. There is no guarantee that any of our investors will, in fact, have expertise that would be useful for any of our portfolio companies, or if they have such expertise, that they would have any interest in working with our portfolio companies.
We have identified only a few specific investments that we may make with the proceeds from this offering. As a result, this may be deemed to be a “blind pool” offering and you will not have the opportunity to evaluate historical data or assess any investments prior to purchasing our Shares.
There can be no assurance that the results predicted or targeted will be attained, and actual results may be significantly different from the statements on this website. Also, general economic factors, which are not predictable, can have a material impact on the reliability of our targeted results. Investors are advised to carefully consider the investment objectives, risks, charges and expenses of Zell Capital before investing.
The Fund is distributed by Foreside Fund Services, LLC.
For media inquiries, please contact Milin Iyer, Director at Sondhelm Partners at 703-752-1510
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1 The Initial Offering Period will last for 18 months or until $25 million has been raised. Additionally, after the Initial Offering Period, shares in the fund will be available at NAV and to the extent NAV per share increases or valuation of underlying holdings change above the initial offering price, the offering price will be adjusted.