As a founding managing partner of a US-Israel venture capital fund deeply embedded in Israel’s tech ecosystem, I often find myself in the position of explaining the centrality of the strength of our economy to Israel’s position in global affairs. I understand that investing into Israel’s startup sector could be seen as scary and perhaps unwise at this time, but my peers and I strongly believe that the Israeli economy will come back from this dark period stronger than ever, as it has done after each prior adversity.
While billions of dollars have been generously donated from the diaspora Jewish community for much-needed tzedaka purposes, for those that can, investing into the Startup Nation now will help keep Israel’s most sought-after export thriving. Sarona Ventures created an avenue that embodies the spirit of Israeli innovation to overcome the skepticism some investors may have in investing in a traditional fund.
TechShield is a profit-driven impactful initiative that allows investors to continue investing in Israeli tech within a secure and transparent framework. It is a “reverse fund” program, meaning the companies have undergone due diligence and have been chosen first. Our investors know ahead of time where their money is going.
Resilience in Numbers
Let’s take a moment to look at the numbers, as they tell a story of remarkable resilience. Following the unsettling events of October 7th, a less sturdy economy might have faltered. However, the New Israeli Shekel’s recovery, from 1 USD = 4.1 ILS to a stable 1 USD = 3.62 ILS, is nothing short of impressive. This isn’t just a figure on a chart; it’s a testament to the robust fundamentals of the Israeli economy and the global market’s confidence in it.
In this environment of resilience and strength, TechShield’s novel “reverse fund” prioritizes certainty, transparency and security, all key concerns for global investors.
Due Diligence and Selective Excellence
The launch of TechShield comes after two months of rigorous planning, selection and evaluation of hundreds of companies that kept their business growing amidst the war. The process was led by notable figures like Phillipe Bouaziz and Toot Shani of Sarona Ventures, and Igor Ryabenkiy of Altair VC, along with other VC members. Dozens of startups were thoroughly assessed. The seven companies that were selected demonstrated solid potential, impressive growth metrics and resilience. This diligence is reflected in TechShield’s data room, accessible to investors through scheduled meetings with our investor relations team. TechShield’s portfolio companies are backed by renowned venture capital firms such as NFX, Hanaco, Vertex, PlugnPlay and North First. This backing is a testament of the quality and potential of the TechShield reverse-fund portfolio.
Enhanced Benefits of The Reverse Fund
Another distinct advantage of TechShield’s reverse fund model is its expedited investment cycle. Unlike traditional funds, which take 1-2 years post-initial closing to curate a portfolio, TechShield’s compilation of pre-selected companies significantly cuts down this timeframe. This translates to a faster path to liquidity and equivalently higher IRR for investors.
TechShield’s Core Mission
At its heart, TechShield is a commitment to the Israeli economy and its tech ecosystem, a global symbol of innovation. This initiative isn’t just about fostering growth in tech; it’s about securing the future of Israel itself. As TechShield gears up to raise nearly $9 million, having already secured 30% in commitments, your involvement can significantly impact this transformative endeavor.
I invite you, as a member of the Jewish and pro-Israel community in the USA, to become part of this revolutionary initiative. Your support and involvement are not just investments in a highly performant portfolio, but a collective statement in the legacy of Israel’s technological and economic prowess. To learn more and become a part of TechShield’s journey, visit TechShield.sarona.vc or schedule a call with our investor relations team.
Toot Shani is a managing partner of Sarona Ventures.
