GreenAngel Energy Corp. was the first publicly-traded investment fund focused on start-up companies in the clean tech sector.
Until October, 2015, GreenAngel was listed on the Toronto Venture Exchange under the symbol, “GAE” when it changed its name to TIMIA CAPITAL CORP, with the trading symbol, “TCA”.
This transition was made in order to shift the Company’s focus from early stage clean-tech equity ventures to growth stage technology companies. Because of the long time – more than 8 years on average – that it takes for a new company to provide liquidity to its investors, the Company’s Board of Directors decided to adopt the “Revenue Based Financing” model.
In Revenue Based Financing, growing companies with sales and good profit margins are provided with short-term capital to accelerate their growth. Instead of issuing shares, these companies pay a small (usually around 5%) monthly royalty on sales. These payments end when the investee company has repaid a negotiated amount, typically twice the original investment. This provides regular monthly cash flow to the investors.
Revenue-Based Financing (“RBF”) fills the gap in startup financing between seed/ angel funding and formal venture capital. Seed-funding usually limits out at a few hundred thousand dollars, and venture capital funds do not usually make investments under one million.
For more information on TIMIA Capital, please visit TIMIA’s website: www.timiacapital.com.