Peter Kazacos-backed Kaz Capital is launching an early stage venture capital fund, the Kaz Capital Innovation Fund, for SMEs requiring capital for the commercialisation or expansion of proven technology, products and services with domestic, global and niche market potential.
The company said it has conditional approval for an Early Stage Venture Capital Limited Partnership Fund (ESVCLP), which will invest in Australian innovation.
Kazacos is the managing director of Anittel Group.
He said the Kaz Capital Innovation Fund was established to provide investors with significant tax-exempt returns from a diversified investment portfolio in private companies in the IT, telco and biotechnology industries.
Kazacos added the fund will seek to invest in SMEs requiring capital for the commercialisation or expansion of proven technology, products and/or services with domestic, global and/or niche market potential.
“We found that a lot of businesses that would rather have their money spread across a number of investments and that is why we set up the fund. Small companies also need that start; they got a good product and need that early seed of capital,” he said.
Kazacos mentioned that the fund is targeted at Australian technology companies, specifically within the mobile space.
“With the growing number of mobile apps, we are looking into such mobile technologies and other online businesses,” he claimed.
The channel can get involved in two ways: businesses that require the capital to grow their businesses can apply for the fund or they can choose to become investors, Kazacos said.
“Businesses will be able to get more information through a prospectus that we will soon launch on our website,” he said.
Along with Kazacos, IBM Australia executive director, Dr John Harvey, PWC partner, Manoj Santiago, and Nextgen Distribution managing director, John Walters, will form the current advisory board of the new fund.
Kaz Capital manages the fund.
“This investment committee is not just to put money into the company, but to also provide ongoing expertise to businesses in ensuring the money is used effectively for growth,” Kazacos said.
The ESVCLP program is jointly administered by the Australian Taxation Office (ATO) and Innovation Australia, an independent statutory body that oversees Federal Government innovation and venture capital programs through the Department of Innovation, Industry, Science and Research.