JANVEST Technologies, LLC announced last week the launch of its inaugural venture fund aimed at increasing access for individual US investors to the Israeli early stage high-tech market, and in parallel becoming a preferred funding source for Israeli seed stage start-ups.
JANVEST's leadership, comprised of American and Israeli technology professionals, launched the fund to provide US investors with a more practical way to invest in Israel's high-tech sector.
Despite the prevalence of venture capitalists in Israel, there are typically more promising seed stage start-ups seeking funding that there is available capital - a void that has been worsened by the current recession, and which has severe implications for Israel's economy.
"Traditionally, the cost and risk factor for venture investing in Israel has been so high that it has dissuaded a lot of very interested investors. JANVEST is lowering the venture investment bar substantially by working with smaller capital, distributing that capital across multiple technology sectors, aiming for short-term, but still rewarding exits; and yet, offering investors the ability to actively participate in the investment due diligence and decision-making process. It's the best of hands-on investing and venture capital for the Israeli market," said Felix Zilberstein, CEO and co-founder of JANVEST Technologies.
All of JANVEST's investments will be coordinated and managed by the firm's executive staff, Advisory Board and Board of Directors, and will target seed stage start-ups in the telecommunications, software, internet, security/defense and alternative energy sectors.
"Israel's economy is dependent on the success of these start-ups, which is why we're seeing the Israeli government taking such an active role in trying to promote this sector to the outside world. With new incentives from the Israeli government, Israel's acceptance into the OECD consortium, and more technology conglomerates looking for Israeli acquisitions, the time has never been better for foreign investors to invest in the country's high-tech sector," added Zilberstein.