Venture Capital in Canada
Venture capital is a form of financing whereby investors offer funds to small-sized businesses and start-ups in exchange for equity. In Canada, there are major capital venture companies such as GTI Capital, Envoy Capital Management, BMO Equity Partners.
Features
Venture capital firms offer different types of financing, including equity capital, mezzanine financing, junior capital, and others. Some firms offer financing to early stage companies while others focus on established businesses. There are firms that also offer advisory and consulting services, transition and growth capital, and growth equity. Many businesses apply for technology or start-up financing or need money to buy equipment or business, secure working capital, transfer a business, or invest in real estate. Junior capital, for example, is a form of debt capital and a way to raise funds. Mezzanine financing, on the other hand, combines equity financing and debt in exchange for equity. More on ventures and investing you can find here.
Venture Capital Firms in Canada
Major companies operate across Canada, including Ontario, British Columbia, Alberta, Manitoba, and elsewhere. Top companies include Dancap Private Equity Inc., Axia Capital Corp, and Tech Capital Partners, to name a few. Dancap Private Equity Inc. is a family office that offers a wealth of specialized services such as succession planning, investment education, travel, family governance, and a lot more. The company also specializes in direct investments and offers funding to companies that have a detailed and sound business plan. Only profitable businesses with an annual revenue of $10 million or more qualify. Axia Capital Corp is also a Canadian investment firm that offers funding to entrepreneurs, owner managed businesses, and divisions of major companies. The portfolio of Axia Capital includes businesses such as Segue Manufacturing Services, Network Vision, Innovative Pressure Technologies, and others. The firm offers financing to companies operating in target industries such as industrial capital equipment, instrumentation and sensors, controls, robotics, and laboratory automation, and others. Tech Capital Partners is another investment firm that offers advisory, contacts, and financing and hands-on experience and assistance. The company’s portfolio includes businesses such as PostRank, Covarity, Ecobee, DiscStream Incorporated.
Yaletown Venture Partners
Yaletown Venture Partners is an investment firm with a focus on emerging-growth tech businesses that help improve productivity and efficiency. The company invests in start-up accelerators, financial management and personal banking firms, machine learning platforms, businesses specializing in CT image and MRI analysis, and many others. Its portfolio includes companies such as Thelus Corporation, Redlen Technologies, Bitstew Systems, Columbia Green Technologies.
CAI Capital Management
CAI Capital Management Co. is a major Canadian investment firm that offers financing to lower middle-market businesses operating in the U.S. and Canada. With offices located in New York and Vancouver, the firm invests in companies across different industries to support corporate transition and growth. CAI Capital Management Co. invests in companies that work in the field of education, healthcare services, energy, manufacturing, geotechnical maintenance services, repair services, etc. Its portfolio includes businesses such as CSAT Solutions, White House Design, Canadian Heating Products, and Javelin Technologies. Other top venture capital firms in Canada include Vancity Capital Corporation, Mosaic Venture Partners, HDL Capital Corporation.
Major Top Portfolio Venture Capital Firms
Major top portfolio players in Canada include White Star Capital, Omers Ventures, and Georgian Partners. White Star Capital, for example, invests in businesses such as Dollar Shave Club, Salesfloor, and Borrowell. Find more here and here.
Niches and New Technologies
Some venture capital firms fund businesses in niches such as rewards marketing, eco technologies, big data platforms and process automation, care coordination software, and others. Other niches that have a good potential include customer identity management, multiscreen video advertisements, intelligent systems, and many others.