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Venture Debt: An Alternative Financing Mechanism for Start-up Ecosystem
Thu 27 October 2016, 6:30 PM – 8:30 PM Singapore Standard Time Singapore Time
BANSEA and INNOVEN CAPITAL are cordially inviting you to attend the networking event featuring Venture Debt: An Alternative Financing Mechanism for Start-up Ecosystem. Chin Chao, CEO of Innoven Capital will introduce the venture debt business and its significance for entrepreneurs and investors. Expect to meet other like-minded investors, C-level executives and business elites who have interest in expanding their investment horizons in the startup circle.
Entrepreneurship requires risk takers across various capacities. The most important ingredient is the entrepreneur. Risk capital comes second and a strong venture capital investor can become a powerful catalyst to help entrepreneurs transform their ideas into a valuable business.
Venture debt is the next logical layer of risk capital and can be a great supplement to venture capital. It can be an attractive way for entrepreneurs to finance their business with less dilution than equity while providing a way to extend the cash flow runway between equity rounds. The cash buffer can be used by companies to power growth, build out the platform, make key hires, spend on marketing or finance their working capital needs. Companies have also used venture debt to finance acquisitions and global expansion as well.
For venture capital investors, the value proposition of venture debt is that it helps to leverage equity capital in order to increase valuations between equity rounds, reduce dilution, and enhance investor returns.
Overall, venture debt is a form of flexible capital which works in tandem with entrepreneurs and investors to help improve the ability of the company to increase enterprise value.
Speaker: Chin Chao / CEO, Innoven Capital
Chin Chao brings with him more than 17 years of experience in the venture capital and venture debt industries, including entrepreneurship, company building, business operations and strategy.
Chin was most recently a Co-Managing Director at Sirius SME, a venture capital firm he co-founded in the middle of 2008. Sirius SME invested in small and medium enterprises in SE Asia which aspired to be leaders in their respective fields. Notable investments include Reebonz (a leading e-commerce company focused on luxury goods), Heptagon Advanced Micro-Optics (a technology enabler of miniature optical components, and Ong Joo Joo Food Industries (a leading pork processing company in Singapore).
Prior to Sirius SME, Chin was a Managing Director of Venture TDF Singapore and Venture TDF China. Notable investments include AAC Acoustics, Alibaba, Baidu.com, DMX Technologies, Focus Media, Mediaring, Redback Networks, Sinosun Technologies and Savi Technology.
During his time at Venture TDF, Chin also co-founded and served as a key member of the management team of the TechFinancing Centre, a joint-venture between KeppelTatLee Bank, Venture TDF and the Economic Development Board of Singapore. The TechFinancing Center provided innovative debt solutions to growth-oriented companies in SE Asia.
Chin received his Bachelor of Science degree in Electrical Engineering from the University of Illinois at Urbana-Champaign and his Master of Science degree in Electrical Engineering from Stanford University. He also received his Juris Doctor degree from Stanford Law School and is the author of three publications on technology and business law. Chin continues to be involved with Stanford Law School and is currently a member of its Board of Visitors.