Edison Venture Capital Fund
The Edison Venture Capital Fund is an Early Stage Venture Capital Limited Partnership (ESVCLP) established to invest specifically in start-up ventures that will provide investors with access to high growth early stage businesses. The Edison Venture Capital Fund is registered with the Department of Industry, Science, Energy and Resources under the Venture Capital Act 2002 and is a member of the Australian Investment Council (AIC) as a Venture Capital Fund Manager.
Australia’s private capital industry is a key contributor to this country’s economic growth, driving investment and job creation in the sectors of the future. In 2020, funds under management of Australian-based private capital funds, including venture capital, exceeded $77 billion, driving investment in emerging, high-growth industries, and contributing approximately 2.6% of Australia’s GDP.
As a registered Early State Venture Capital Limited Partnership (ESVCLP), The Edison Venture Capital Fund can provide Limited Partners with a range of Tax Benefits and will have flow-through tax treatment and will not be taxed at the partnership level.
For Limited partners this means all capital gains and profits from the disposal, or realisation, of an investment by the Fund will be exempt from Australian income tax. It also means all income derived from an investment of the Fund (such as dividends) will be exempt from Australian income tax. A tax offset (Rebate) is available to each investor for an amount of up to 10% of the investment made into The Fund.
The Edison Venture Capital Fund is currently assessing potential investments and conducting extensive due diligence with the objective of achieving Internal Rates of Return of investments of between 12% and 15% per annum on each investment. Both the US and Australian early stage venture capital funds have consistently returned on average an IRR of approximately 15% over the past 15 year.