The Victorian government has handed out $900,000 in grants to three new angel investor networks to support startup startups.
Minister Jaala Pulford for Innovation, Medical Research and Digital Economy said Cut Through Angels, Climate Angel Network and Playbook Angel Network will each receive $300,000.
The grants will help the angel groups set up operations in Victoria and invest in more than 40 emerging local startups, attracting additional investment worth up to $9 million.
“Angel investments are a lifeline for early stage startups and critical to supporting startup growth,” she said.
“We want to support startups with high growth potential so they can design for scale and become the next Linktree, Seer Medical or Afterpay.”
The funds will go to the new VC funds through LaunchVic, the government’s startup body.
Cut Through Angels is the spin-off fund of the team behind the monthly VC investment newsletter Cut Through Ventures.
The Climate Angel Network is a new branch of investor group Ecotone Partners, which connects a number of climate-conscious investors in the field of sustainability.
The Playbook Angel Network is from a syndicate of guests of the popular podcast The Startup Playbook, in which successful founders will reinvest in the startup ecosystem.
Minister Pulford said LaunchVic has funded the creation of five new angel networks over the past two years that have since recruited more than 250 new investors, leading to more than $6.7 million invested in 36 Victorian startups.
Archangel Ventures, initially founded as an angel group with a 2020 grant from LaunchVic, has now launched its own $25 million venture capital fund – a hallmark of a growing and confident investment industry.
LaunchVic CEO Dr. Kate Cornick said her organization is focused on improving early-stage investment in the state.
“Activating investors and making sure they have the connections and support to make significant investments is one of the most powerful ways to close the funding gap in Victoria early on,” she said.