FoodTech Syndicate

A group of food tech focused investors looking to back impact driven founders shaping our food system,
powered by FoodHack.

We exclusively support investment in food tech companies from pre-seed to Series A

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How it works

FoodHack provides the service for accredited investors to discover investment opportunities in world-class food tech founders; and connects founders with investors who specialise in helping food tech companies. The usual investment represents USD $50k — $300k per deal

Why ?

Over the past year, FoodHack has supported 300+ direct investment introductions between startups and leading investors in this field. Now, we’re extending the support for startups with direct investments via a syndicate. Read more about our why.

Investors

1. Apply to join the FoodHack Syndicate.
2. Get accredited and onboarded via VAUBAN.
3. Receive monthly deals in your inbox. 
4. Attend our Demo Days to meet the Founders.
5. Decide if you want to invest on a deal-by-deal basis.

Startups

1. Submit your startup to the FoodHack Syndicate.
2. Applicants reviewed on a rolling basis.
3. Our team will be in touch with more information.
4.
Selected startups are invited to pitch to syndicated members.
5. We support the investment on a deal-by-deal basis.

Why FoodHack ?

Traditional VC

Huge valuations 
3-6 months process
Opaque
Complex terms 
Pressure to return 10-100x

Traditional Syndicates

Fundraising support 
2-4 months process
Not always food tech oriented
Can be high maintenance

Via FoodHack

Founder friendly 
1-2 month process
Food tech focused
Support with raising further capital
Connection with top AgriFood Funds
Perks via FH events & media

Apply as an Investor →
What is the Syndicate?

The Syndicate supported by FoodHack is a group of food tech focused investors looking to back impact driven founders shaping our food system. FoodHack takes care of finding startups and supports with negotiating deal terms, performing due diligence, writing a deal memo, hosting calls with teams, and advising on each deal. Each investors taking part in the Syndicate can chose if and when they want to invest into a deal.

How does it work?

FoodHack provides the service for accredited investors to discover investment opportunities and to invest via a third-party platform: Vauban. For each deal, the capital is pooled together by a group of maximum 25 investors and deployed via a Special Purpose Vehicle (SPV) registered under UK law.

What’s an SPV?

SPV stands for Special Purpose Vehicle. We supporte the creation of a new SPV for each startup deal with the exception of some pro-rata deals. FoodHack uses a third-party partner Vauban, to set-up each SPVs on a deal-by-deal basis. As the SPV is a non-AIF structure (as the underlying co-participants have pro rata voting rights and day-to-day control), it is collectively-managed by the underlying participants. For more information about Vauban: www.vauban.io

What is VAUBAN ?

FoodHack Syndicate uses third-party VAUBAN to setup each SPVs on a deal-by-deal basis. Vauban automates and facilite SPVs and co-investment vehicles launches. VAUBAN is a private limited company registered in England and Wales under company number 11128704, with registered office at 14 Bonhill Street, London, England, EC2A 4BX.

What is the onboarding and compliance process for investors?

There are two dimensions to compliance to join the FoodHack Syndicate – (1) Anti-Money Laundering; (2) Tax Information Reporting. During your onboarding process, you'll be ask to share further identification information as part of our vetting process. Our third-party partner VAUBAN is registered with the Financial Conduct Authority (FRN 825317) for Anti Money-Laundering purposes.

If I choose to invest, will my name be on the company’s Cap Table?

No. As a FoodHack syndicate backer, you are investing in membership units of the special purpose vehicle (SPV). The SPV invests in the company on behalf of its members.

What is the set-up fee?

There is no cost to use FoodHack’s Syndicate Services, but if you choose to participate in a deal the setup and diligence fee per deal is approximately USD $15k and covers the creation and management of the SPV, filing fees, due diligence fee and wire fees. This fee is split on a pro-rated basis among the investors who opt into the deal.

How is the set-up fee distributed among investors?

The approximately USD $15k set-up fee for each startup deal is charged to the pool of investors investing in the SPV. Typically, each investor effectively ends up paying fees on a pro-rated basis; in proportion to the amount they invest.

What is the minimum amount I can invest?

To enter the Syndicate supported by FoodHack, you must be prepared to invest at least $25,000 in a year. Minimums range from $5,000 - $15,000 per deal, largely dependent upon the size of the allocation. On average, the minimum is $10,000.

Is it mandatory to invest in pro rata?

We will always offer pro rata but you are not obligated to participate. You will never be responsible for more than your initial subscription (investment) amount in the SPV.

What is the "Carry"?

“Carry” is short for carried interest which is a share of the profits. The Carry for the Syndicate is 20% and is paid to FoodHack for its services: sourcing deal flow, negotiating deal terms, performing due diligence, writing deal memos, hosting calls with the teams, promoting the portfolio companies via its media (newsletters, podcasts, etc.) and coordinating the SPV.

What are the tax treatments for investors when funds are distributed?

VAUBAN uses a Nominees/Trust structure and therefore it is a tax-neutral arrangement, and as such investors pay taxes in their respective jurisdictions. For example, German tax resident investors would pay taxes in Germany, Swiss tax resident investors would pay taxes in Switzerland and USA tax resident investors would pay taxes in the USA.

As the SPVs are reportable financial institutions, our third-party partner VAUBAN is carrying out tax information reporting under AEOI (automatic exchange of information), via the FATCA regime for US investors and the CRS regime for rest-of-world investors.

Can I participate in the Syndicate from anywhere?

Yes, you may participate as a foreign investor as long as you meet the Sophisticated Investors, Qualified Investors or Accredited Investors requirements requested during the onboarding process. Please note that the SPV is under UK Law, taxes may apply and you will be solely responsible to ensure the compliance with your local regulation requirements.

What are the benefits of raising with the support of FoodHack ?

One line item on your cap table for up to 25 investors grouped within a Syndicate and our support. Tap into the collective mind of food-tech focused investors and operators. We're also a great alternative to VC if you're operating in a non-traditional category and offer perks through FoodHack.

Is there a cost?

There is no cost to pitch to FoodHack (please don't ever pay to pitch!). Should you successfully raise funds through the FoodHack Syndicate’s Services, the investors in the SPV will pay for fees on a pro rata basis per investment.

Will I get additional perks from FoodHack as a portfolio company ?

Yes, as a portfolio company you'll get additional perks through FoodHack like industry insights, speaker engagements, media coverage and access to our food-tech network / community. More information will be shared in the later stage.

What are FoodHack DemoDays?

FoodHack DemoDays are regular pitch events where selected startups in our network get the opportunity to pitch to our investor network, including VCs, Family Offices, Business Angels and our Syndicate investors.

How much does the Syndicate invest per deal ?

Typically $50K to $300k per startup is invested, but the investment is always on a case-by-case basis.

Who’s in the FoodHack syndicate?

Due to privacy, we cannot release the names of the investors in the Syndicate we support. FoodHack will have participation from mission-aligned business angels, family office, CVC’s and VC’s in our network. The Syndicate is provided through the platform Vauban, for more information: www.vauban.io

At what terms may a startup raise fund?

We’re looking for early-stage ventures with a high potential impact to our food system. If your valuation seems fair, we’re not here to haggle and we’ll come in at the terms of your other investors in the round.

Can I raise fund via the Syndicate from anywhere?

Yes, startups interested to pitch via the Syndicate may apply from anywhere via this form. Applications are reviewed every month and shared to accredited investors in our network. Please note that the SPV is under UK Law, taxes may apply and you will be solely responsible to ensure the compliance with your local regulation requirements.

How hands-on will FoodHack be?

We plan to be hands off and only support if / when valuable with network introduction and media / event opportunities.

Risk warning

Investing in startups and early stage businesses involves risks, including illiquidity, lack of dividends, loss of investment and dilution (see general disclaimer hereunder). This communication is intended for experienced investors, with sufficient experience and knowledge to understand the processes and risks involved. If you feel that you are not in a position to assess your expertise, please refrain from proceeding. In no case shall FoodHack be responsible for any damages, direct or indirect, in any way whatsoever, including damages related to investment or the use of the platform Vauban.

The Syndicate is provided through the platform Vauban. FoodHack does not provide any warranty for the services of Vauban and assumes no liability in this regard. For more information about Vauban: www.vauban.io.

General disclaimer

Through this website, FoodHack does not provide any investment, legal, accounting, or tax advice, but provides intermediary services between investors and startups and acts as an access facilitator to an investment Syndicate. Please note that the investment schemes mentioned on this website are not subject to the supervision of the FINMA, may not be distributed to non-qualified investors in Switzerland, and that investors, therefore, do not benefit from the protection offered by the CISA. The information provided should not be considered as suitable for the personal situation of each investor and the investments schemes, securities, or services offered are not necessarily adapted, suitable and individualized to each investor. 

FoodHack provides its services as an access facilitator to an investment syndicate. The services are provided through the platform of Vauban Technologies Limited (vauban.io). When using the services, you acknowledge and accept the terms and conditions as well as the privacy policy of Vauban. FoodHack does not provide any warranty for the services of Vauban and assumes no liability in this regard. If you do not wish to use the platform of Vauban, please contact us so that we can work on an alternative solution. As an investor into the syndicate, you commit to ensuring that no breach of any laws, regulations, code of practice or guidelines applicable to them, occurs in connection with the operation of the SPV. Prior to any investment sought independent legal, tax or regulatory advice in relation to those jurisdictions it considers appropriate, as FoodHack’ services do not include legal, tax or regulatory advice. In this regards and to the extent permitted by law, FoodHack cannot be held liable for any loss or damage whatsoever.

The information on and the materials accessible through this website and our third-party platform Vauban should not be considered by visitors as an alternative for the exercise of their own judgment, a careful analysis is necessary, and it is recommended to potential investors, before making any investment decision, to always consult a qualified professional advisor to obtain appropriate advises, in particular financial, legal, accounting or tax.

For more information, contact us at team@foodhack.global

Why investing? 🌍🔥

FoodHack exclusively support investment in food tech companies from pre-seed to Series A. We focus on founders that are developing solutions with the potential to make our food system more nourishing, sustainable, and resilient.

Apply as an Investor →

Our food system has helped decrease worldwide undernourishment from 50% in 1945, to less than 10% today, despite the fact that the global population has increased from 2.5 billion to almost 8 billion people in the same time. This was made possible with the help of fertilizer, improved seeds, irrigation and better machinery, which increased yields massively. 

And yet, the food system is failing to meet our expectations for it. 

It’s not nourishing us. Today, poor diets is the leading risk factor for disease, disability, and premature death -- more than drug use, alcohol use, and tobacco use combined. In fact, 11 million people die prematurely every year due to poor diets. The foods that are the cheapest and most readily available are slowly killing us. And people everywhere are under consuming the foods that protect human health; fruits, vegetables, whole grains, legumes, omega-3, nuts and seeds.

It’s not sustainable.
The food system accounts for 25% of greenhouse gas emissions, 70% of all freshwater use, and 50% of all vegetated land use. It’s the leading cause of biodiversity loss, soil degradation, and marine ecosystem destruction. And it’s incredibly wasteful; in fact, one-third of all food produced in the world is wasted.

And there are other issues too.
The system is contributing to antimicrobial resistance, is increasing the likelihood of future pandemics, and is not providing fair returns to the people who produce and distribute our foods. Policy and education will go a long way in advancing a better food system -- but science, technology and innovation are also part of the answer.

A new wave of entrepreneurs are tackling these food system issues. And FoodHack is there to support them, from the very early beginning. Together, we’ll build a food system which is nourishing, sustainable, and resilient.