BRINC SECURES CAPITAL THROUGH ARTESIAN VENTURE PARTNERS!
Brinc Secures Capital through Artesian Venture Partners!
Applications are now open for Connected Hardware & Robotics programs
They are excited to announce Brinc has secured funding in collaboration with Artesian Venture Partners. Announced on our 3 year anniversary event on December 1st, Brinc Capital will provide seed funding for Brinc startups and potential follow on funding from angel rounds to exit through the Artesian China VC Fund.
Artesian Capital is an alternative investment manager with offices in Sydney, Melbourne, New York, London, Singapore and Shanghai and focuses on fixed income and venture capital funds. Artesian manages over US$250M in Australian and China based early-stage companies, partnering with accelerators, incubators, university programs and angel groups. In Australia their partners include Sydney Angels, BlueChilli, University of Wollongong’s iAccelerate, Slingshot, SproutX and Energylab. Artesian also owns and operates VentureCrowd, Australia’s leading equity, property and credit crowdfunding platform.
Holding a sub 5% acceptance rate, Brinc has reviewed over 2,500 companies and has invested in 29 companies through their accelerator programs over the last few years. Brinc portfolio teams have raised over USD$20M follow-on funding with teams raising an average of USD$1.74M in follow-on post programs. Across their divisions, Brinc’s total portfolio holdings stand at 31 invested companies. The Artesian partnership will have them doubling this portfolio in Hong Kong alone with a minimum of 28 additional investments to be made in 2018.
They will be investing across four core categories in 2018:
They will begin by investing across these categories through two of their programs:
– Connected Hardware: Four-month program and US$100,000USD per team across two cohorts for 8–13% equity. Our goal is to bring onboard a minimum of 8 teams per cohort and invest in at least 16 teams next year through this program.
– Robotics: Four-month program and US$70,000USD per team across two cohorts for 8–13% equity. Our goal is to bringonboard a minimum of 6 teams per cohort and invest in at least 12 teams next year through this program.
In addition to seed round investments, Artesian will take pro-rata rights to invest additional capital at later funding rounds for teams showing material traction and external validation. This dedicated funding will allow them to further expand their support for global founders.
They ’ve evolved the Brinc accelerator over the years to uniquely meet the needs of early stage connected hardware founders to help them build sustainable businesses. What does this mean? To them, this means focusing on short term milestones with eyes on long-term business goals.
Their program operates for four-months, supporting founders from around the world running through the following process:
They focus on supporting pre-launch teams, in gaining early validation and traction around three key areas:
1.Technical feasibility: Hacking and making are great, but all too often prototyping is tooshortsightedwith many start-ups creating devices that cannot be made commercially viable at scale. We take a multidisciplinary approach to product development with an emphasis on helping founders understand mass manufacturing and user-testing early and often.
2.Market desirability: The costs in prototyping, R&D and manufacturing can stack up quickly, especially if the true needs, design and demands of the market aren’t validated. Market discovery and validation is a big part of our program — getting out there and talking to potential customers, testing, learning and iterating.
3.Business viability: Products that people love are important, but there’s a whole lot of other work that goes into building a successful business, especially a hardware and software company. We place equal emphasis on best business practices, cash flow planning, and product. These are critical foundation blocks for long term success for hardware companies.
They believe that getting your first hardware product to market doesn’t have to cost millions. In fact, they know it can take a lot less. Our blend of equity & services allow companies to move as fast as they possibly can through their business and financial lifecycles, to stay lean and de-risk their business models at every stage. With just US$100,000 and their four month program teams have repeatedly been able to build engineering prototypes (one of the biggest prototyping hurdles) validated by dozens of customer interviews and go to market funnels up and collecting potential customers. For teams that are joining the Brinc Robotics (and Drones) accelerator, there is no need to develop new physical prototypes as the goal is to source & license hardware in market while investing in and developing the software stack thus further reducing the cost to achieve similar goals and thus they believe US$70,000 will go just as far in this program as the US$100,000 does within the Connected Hardware program.
Brinc’s hands-on work with their portfolio companies has helped bring tens of thousands of products to market — through our Accelerate programs or Make (our product development project managers office in China) — they know how to stretch a dollar by sourcing smartly, vetting the right partners and entering the R&D and manufacturing process with well-defined, efficient processes & documentation. Through Make, just over the past year,they have supported over 20 projects and have saved millions of dollars in Bill of Materials (BOM) costs for their founders, shaved months off the product development life cycles and helped oversee the labyrinth of the Chinese supply chains.
And they continue to learn. They’ve compiled data from all our teams to create pro forma cost analyses to help founders understand what to expect and know when they may be off track or getting a bad deal. Though their Proforma models, they have also looked at 1,000’s of companies across 100’s of founders through their capex and opex buckets required to bring a sustainable business online — across salaries, living costs, product development costs (prototyping, etc.), growth, etc.
They also know it takes a lot more than sweat, an accelerator and cash to build a global business. That’s why they’re thrilled to partner with Artesian and offer potential follow-on investment opportunities to teams through seed and beyond.
Initially known as just an accelerator program and having subsequently expanded out their offering’s over the years into the entire life cycle via our Connect, Make & Grow divisions — it’s been great to see their support enable their teams to grow over the years. Brinc teams are now shipping tens of thousands of products across thousands of online & offline retailers and are truly making an impact to consumers and enterprises across categories. It has been an incredible three years and while Manav Gupta- CEO & Co-founder of Brinc would love to also tie their full story into this post he want tolet this really be about the programs & the new offer they have for global founders. Stay tuned for a deeper post on the last 3 years @ Brinc before the end of the year in a ‘Walk with Brinc’ article as they work to wrap up this year strong!
More soon. For now: apply here!