Given the benefits of a 12J structure an opportunity exists to:
- Enhance investment returns
- Reduce cost of equity funding
- Create a more robust business case
Umbono is able to work together with entrepreneurs looking to raise capital for their new or existing business ventures in such a way that it makes the offering to their investors significantly more attractive.
These offerings require a high degree of tailoring and customization but always result in value for the investors, the entrepreneur (the investee) as well as the venture capital fund.
The 12J benefit significantly increases the size of the investment pie allowing a sharing of value and upside between the parties.