The questions below are a compilation of questions we frequently hear from the community. If you can't find the information you're looking for here (or in other pages on this site) feel free to contact us with your questions.
Who are the investors behind Sadara Ventures?
The Fund’s initial investors include: Cisco, Google (via the Google Foundation), The Soros Economic Development Fund (and affiliated individuals), The European Investment Bank (EIB), the Skoll Foundation, Steve and Jean Case, and a number of other leading individuals from the US financial community.
What type of companies does Sadara invest in?
We primarily expect to invest in companies involved in the development of innovative software applications, Internet technology, online content, digital media, mobile content and applications, gaming, and communications fields. To a lesser extent, we also expect to invest in companies involved in the outsourcing of IT and business process services, and that develop products and services aimed mainly at export markets.
What size investment should I expect to receive from Sadara if I get funded?
We expect to invest up to $2-3M in each of the Fund’s portfolio companies, though this amount will typically be invested in multiple stages. The Fund’s first investment in an early-stage company is not likely to exceed $1M, and in some cases will be considerably less.
What does Sadara expect in return for the investment?
Sadara invests in companies to help make them successful and share in their success. This means that in return for our investment, we take certain percentage of ownership in the company. Most companies in which we invest will have post-money valuations in the range of $1M to $5M, and we generally expect to acquire equity positions that fall into the range of 20%-50% at the time of our first investment. In any event, the Sadara will seek investments that allow us to exercise substantial influence over management and the strategic direction of the company.
What if, as part of its growth, my company needs more capital than Sadara can afford?
If a one of our portfolio companies is moving in the right direction and experiencing positive growth, that is good news to us, and we want to support it. When appropriate, we intend to co-invest with other venture capital funds and corporations, as well as with value-adding individuals - both to lower investment risk, and have access to more capital.
I want to submit my idea, but want to protect it first with an NDA. Will Sadara sign an NDA with me?
Sadara does not sign NDA’s. Generally speaking, venture capital firms don’t sign NDA’s. This is not specific to Sadara, but is a prevalent (non-)practice at the industry level. Doing otherwise would severely limit the VC’s ability to conduct their business, as complying with these documents could quickly become a legal conundrum.Venture capital is a people’s business - and much of what we do depends on trust and reputation. Managers of venture capital funds go to great lengths to ensure that information disclosed to them by entrepreneurs remains strictly confidential to maintain a good reputation and establish trust. Sadara is no exception.