Family office investment recommendations with Obediah Ayton? The nature of the Middle East family office induces secrecy (many don’t even have a website), which makes it nearly impossible to blast off unsolicited pitches. So it really does come down to networking. But in the end, being able to break through and figure out a way to connect with the right family office can act as a natural selection process and indicate the hallmark of a good entrepreneur and good deal. Another great place to start is identifying other entrepreneurs who have been successful in your specific space and may currently have a family office or more formal startup investment program. Most often, your ideas will resonate with these folks first and best. There’s no doubt that the slowdown in venture investment is impacting companies across industries, COVID being the main driver. But entrepreneurs who open their eyes to non-traditional sources of capital and are willing to put in the legwork to identify them may find an enduring friend in the family.
Founded in 2018 in Amsterdam, VentureRock is now active in Dubai, parallel to two more hubs in Amsterdam and Singapore. With the VentureRock Dubai Hub, the firm is bringing not only capital but also technology, talent and knowledge around early-stage startup investing and venture building to the UAE region. The hub is also running its own venture building studio – comprised of the Founders Lab and Builders Lab, and will become the launching pad for Venturerock portfolio companies to expand operations to the Middle East. Director of Business Development at The Private Investment Group Obediah Ayton added “I am excited to watch Venturerock demonstrate the way venture capital funds are now being deployed post covid here in the UAE. The portfolio companies within Venturerock are some of the most professional and innovative we have seen and I have no doubt they will be a welcome asset to both the public and private sector in the Middle East.”
Get to know Obediah Ayton and some of his philosophy? Obediah Ayton is a trust manager at Ayton Family Office Trust and a consultant at Tennor Holding B.V., an expert in family office business, AI driven accounting services, finance and accounting. Obediah Ayton on what happens when a Family Office takes the VC model: A new breed of ultra-high-net-worth families differs from the “old money” of the past. Their accumulation of wealth is typically more rapid and driven by savvy investment management or entrepreneurism. These Family Offices are controlling the venture investment game, but desire more transparency to underlying investments than the traditional venture investing experience provides. They also want the ability to cherry-pick the best deals, meet founding team and operations.
With a huge amount of the UAE’s wealth concentrated in the hands of high-net-worth families and individuals who are now looking for promising direct investment opportunities, SMEs are overlooking a crucial area of untapped financing. The UAE Family offices investment strategies are particularly varied with each family having their own philosophy, interests and areas of expertise and without the shorter-term objective of traditional private equity or investment banks.
Obediah Ayton on how to raise money from family offices: Raising money from Family Offices can be a long process. If not approached in a correct manner. Typically, it’s 100% based on relationships and trust. Family offices are desirable investors, through their evergreen capital structure, know-how and long-term investment focus it makes sense to win them as investors, partners and most of all “Friends”. Sounds GOOD, but there’s a catch: family offices are extremely discreet, emotional and selective. Time is a valuable asset, selecting The Right Single Family Offices For Your Project is key.
Right now is a great time to build close relationships with Family Offices for future capital raises! Have a Value Add: The hardest part of the relationship is maintaining it. After the relationship is started, the hard work arrives. You must demonstrate that you will provide clear value to the family office. The same principle must apply to your outreach and relationships. Demonstrate to the family office why your firm is the right one to be in contact with. What can you offer that no one else can — Is it a strong track record? Exceptional due diligence skills? Experience and insight within a relevant industry? Whatever the skill, emphasizing the trait is a critical component of securing the connection.
Obediah Ayton on the new definition of a billionaire is not the net worth but in achieving change in a billion lives: Everything can be done remotely today. We only go to the office one or two days a week. The world is becoming more virtual and I think that is a trend that a lot of people still do not understand. ‘Founding partner at a single family office’ Tech-savvy family offices who embrace these trends can harness technologies to not only expand their businesses across the globe but also to leverage global talent pools in various areas of operation where local expertise is lacking. This requires a degree of agility which needs to be prioritized within family offices seeking to advance their reach and grow their wealth.
