[ ABOVE: SRA founder Jason Premo, former CEO of ADEX Machin- ing Technologies. ]
A new group of investors plans to bring life to a “dead zone” area for business capital in the state. Swamp Rabbit Angels (SRA) will make investments between $25,000 and $250,000, and provide mentoring and back-office support to give growing startups a boost, said SRA founder Jason Premo, former CEO of ADEX Machining Technologies.
Premo said “kindling wood” is a good analogy to describe how the funds will help get companies up and running. He said average investments will be $100,000 but will go up to $250,000.
The fund targets diverse industries such as high-tech software, consumer products and engineering, and even some services, Premo said. However, like other investor groups in the state, the emphasis is on technology companies with a high likelihood of making an exit within three to five years.
The portfolio so far includes Aetho, a Charleston company that developed a stabilizer for GoPro handheld cameras popular with do-it-yourself filmmakers. That company closed its first round of funding last week.
Premo described the as endeavor as a “stealth” angel fund doing seed investing in a private setting. He said SRA investors are not dues-paying club members. Some, however, will want to be discreet, as will some of the companies receiving funds.
He said SRA should not be seen as a competitor with UCAN, the Upstate Carolina Angel Network. UCAN was formed in 2008 to invest in startup and early-stage, high-growth businesses throughout the Southeast and is highly ranked among angel investment groups. Last year UCAN launched the statewide Palmetto Angel Fund for passive investors in South Carolina and Asheville.
SRA’s plans to limit its geographic range to within a half-day drive of Greenvllle in order to facilitate hands-on engagement.
“If anything, the output of seed investments we do can then [foster] a better and more refined startup with some traction as a better quality candidate for UCAN,” Premo said.
The growing number of investor groups also includes the Columbia-based Capital Angels, which launched early last year. Premo also plans to launch Premo Ventures, another investment firm with a different focus, soon, but he said details were not yet ready to be announced.
