ACRE works in partnership and incentivises investors to bring in patient capital, with a syndicate administrator operating at cost, pro-bono legal advisers providing deal-related support, and business experts providing technical assistance to enterprises.
After on-site diagnostics, eligible enterprises receive tailored technical assistance to prepare them for investment. This typically comprises financial management, management structures, sales and marketing, governance, growth strategy, operational plans and, ultimately, a business plan to be presented to investors. Technical assistance is sourced from a blend of business experts and mentors.
During or after the finalisation of business plans, enterprises can consult the ACRE syndicate administrator, Challenges Capital, who provides expert advice from an investor perspective. The syndicate administrator manages the ACRE syndicate of investors, a group of like-minded investors who have signed an agreement to consider investing in ACRE’s pipeline on a deal by deal basis. The syndicate administrator can also make recommendations on further technical assistance provision to strengthen certain aspects of business operations so the chances of accessing finance increase.
When business plans are ready, enterprises can pitch to the ACRE syndicate of investors. Understanding the difficulty of negotiating legal terms, ACRE connects enterprises with pro bono legal advisers who can support the finalisation of the investment deal. ACRE also encourages enterprises to seize any opportunities they may have with investors outside of the ACRE syndicate, using the finalised business plans. ACRE’s aim is to contribute to the investment readiness ecosystem.
Challenges Capital, an affiliate of Challenges Worldwide, is the syndicate administrator.