The mission of Gazelle Finance is to create a better financial future for capable entrepreneurs and the communities they serve. We adhere to core principles that define the way we do business.
In 2013 Eurasia Foundation provided seed capital to launch an independent fund manager, Gazelle Finance led by Jeffrey Liebert, with the objective to provide growth capital and mezzanine financing to high-growth small and medium enterprises (SME) - "gazelles" - in the Eurasia region. The term "gazelle" is defined as a business in which revenues are growing at or poised to grow at 20% per annum for e period of at least four years. In 2017 Gazelle Finance closed its first fund, Gazelle Fund LP (the Fund), which is a multi-country investment fund that as of today has $31M in total capital commitments and a portfolio of about 13 companies located in Armenia and Georgia with an average investment amount of about $800K.
Gazelle Finance's strategy is to target the missing middle, which consists primarily of SMEs operating in the under $3.0M in revenues segment, which is universally recognized as a severely underserved market segment in most emerging market countries. Gazelle Finance provides growth capital and risk financing to SMEs, with each investment typically ranging from $200,000 to $1.0M, with a maximum amount of $3.0M, in the form of two instruments: income participation loans and equity investments. Gazelle Finance targets SMEs that possess high-growth potential ("gazelles"), but that do not necessarily have the collateral or sufficient historical cash flows that banks require for lending purposes. The fund will target investees across multiple sectors and in all business growth stages. Gazelle Finance is an active investor and takes a partnership approach to how it invests in and manages its long-term relationship with its portfolio companies.
In order to address critical barriers to business performance that hinders a company's growth trajectory, Gazelle Finance operates a business development services facility to provide additional value-add services to its clients. With this facility, Gazelle Finance can help its portfolio companies to secure technical expertise, usually financed in the form of a zero-interest loan, that will have the maximum impact to accelerate the growth curve of the company. Such targeted interventions include, to engage a: consultant to provide a sales and marketing strategy, an IT or SAS firm to design a sector specific ERP or IT/MIS system, an auditor to complete the company's first third-party audit, or an accreditation firm to secure a certification/license such as ISO, GMP, HAACP.
SERVE THE UNDESERVED
We identify the gaps and barriers in capital markets and provide a growth capital financing solution to carefully selected, capable and responsible entrepreneurs with strong and viable business plans but who cannot secure financing otherwise.
We empower entrepreneurs with capital and expertise so that they can drive economic growth and development in their communities.
We build long- term partnerships by aligning our investment interests with entrepreneurs, focusing on growing their businesses for mutual benefit.
We believe that successful investment requires active and ongoing engagement by our investment officers, from origination all the way to our exit.
ENHANCE THE COMMUNITY
We believe that good jobs and viable career paths are the foundation of successful communities. When we capitalize and confer know - how to our partners we help them create high quality jobs, at their own enterprises and at companies in the supply chain, while promoting responsible business practices.
DELIVER RETURNS TO OUR INVESTORS
We believe it is essential to achieve financial returns for our investors and development impact for the citizens of the communities we serve, thereby ensuring the availability of resources for continued economic and social improvement. We believe that with well targeted smart investments into promising SMEs, financial returns and development impact go hand in hand.
We are proud and humbled to work with some of the brightest and most tenacious founders around. Sound like you? it’s never too early to talk to us about your idea, technology or vision. A seed investment for us can be small, sometimes even just a few hundred thousand dollars are the earliest stage, meaning a founder and an idea. Even if we aren’t the right fit, we may be able to introduce you to someone who is.