Entrepreneurial investors

We believe that the current VC model is outdated and are up for a reboot. Why?

• The lifetime of a fund often is 10 years or more.
• There are a lot of funds with very small commitments from their managers, often only 1% of the total size of a fund.
• The average management fee of the fund management is 2% of the total size of a fund per year.

We believe that the lead investor (e.g fund manager) should be highly committed and rewarded mainly for success of its investors. Investors should have the ability to invest on a deal by deal basis, and the duration of an investment should be aligned with the interest of the startup instead of the duration of the fund. With these elements in mind, we have set up the Keadyn co-investing model. We don’t want to work for the money. We want to work with the money.

• First, we independently decide on a company to invest in.
• Once we have completed an investment, our co-investors (i.e. members) are given the exclusive opportunity to purchase part of the ticket (investment) at exactly the same conditions.
• Our co-investors are free to determine whether or not to take over part of the investment made by Keadyn on a deal by deal basis.
• To guarantee our commitment towards the co-investors, Keadyn initially stays in for at least 20% per deal.

Our model breaks with conventional rules. In fact, our investment and commitment for the full amount of the investment upfront is the best ‘stamp of approval’ an investor can possibly get.

We don’t charge annual management fees, because we strongly believe we should mainly be rewarded if the investments turn out to be successful. We ask for a one-time 6% deal fee per investment to cover the costs we've made and we charge a carry of 25% over the upside of an investor in the particular deal. So first the co-investor gets paid back his investment, and only once there is a profit for the co-investor we get our benefit.

Let’s assume this is a successful investment and this investment triples to an exit value of € 900.000 in 5 years. In this case, your investment increases up to € 300,000.
First, you get paid back your investment of € 100,000.

We are highly involved in the startup scene and networks in the Netherlands. We join initiatives like Startup Fest, Amsterdam Capital Week, Startup Amsterdam and we are connected with hubs like YES!Delft, Eindhoven Startups Foundation, UtrechtInc, Erasmus Centre for Entrepreneurship, Ace Venture Lab, Rockstart, and Startupbootcamp.

As a result of our entrepreneurial background and the fact that teams are convinced we truly add value, we resonate very well with founders. Combined with our emphasis on good relationships we are able to get access to the best founders.

The proof of this is the independent River Venture Partners report about the investing scene in the Netherlands. From the report, it is clear that Keadyn performs best in the seed/early stage category when it comes to activity and to the amount of secured next round funding in the companies invested in.

We believe the conventional deal flow is outdated and up for a reboot. We’re harnessing the power of digital to streamline and de-hassle our deal flow. By using the smartest tools, we are organized very efficiently. Of course we only invest after extensive sourcing, careful selection, and rigorous due diligence.

We definitely want to understand the business, market, and competition of startups, but during the selection process, we mainly focus on the people behind the startup. Therefore, we do extensive (psychological) analysis on the team with proven methods. We want to know the answers to questions like:

• How do they work together?
• How is the emotional balance in the team?
• Do they see what is missing?
• Are they coachable?

With our extensive focus on the human part, we really differentiate from other VCs