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“I’m really sorry I have to leave now but I’ll leave you lots of business cards- Please take one and feel free to contact me, I’ll be happy to hear from you all”

Not words you generally hear from most Managing Directors on departing a networking group of (mostly, to him) strangers. Especially those from a State run institution- and one from Germany too!

But Alex (don’t call me “Herr” or Doktor”) is a refreshing member of a new breed of business leaders.

In one of the best presentations recently seen – he knows when a slide is data heavy and how to skip through it – Alex von Frankenberg from High-Tech Gründerfonds gave a crystal clear overview of the institution he runs; happy, even, to talk about mistakes made along the way.

High-Tech Gründerfonds is a German State (majority) owned Investment Fund with Investor and Advisor participation from some of the biggest German companies – BASF, Daimler, Bosch, Deutsche Post, T-Com and the state development bank KfW.

The business model is simple. A fixed procedure (a matter of weeks) as to whether a proposed company will receive investment. The investment is always €500,000 for 15% of the company. Simple, short, monthly reporting forms. Advice, coaching and mentoring from industry experts.

With 282 investments made so far, and 27 successful exits, Alex’s team is a large one with, between 10 and 15 invested companies per team member.

Understandably, the investments are German company dominated, however High-Tech Gründerfonds can invest globally if there is a logical connection with the invested company and Germany.

Alex delivered the presentation in an extremely friendly and agreeable style. One of the most interesting parts was his list of warning signs – “Early Indicators of Coming Crisis” he called them – that an invested company was going in the wrong  direction including:

• Management taking (even small) amounts of money from the company
• Late Reporting
• Website or other complicated projects not completed
• Too many public appearances- i.e. when a CEO is too busy polishing their TV/radio/print image to attend to the actual company business
• High Staff turnover
• Big cars, or other flashy status symbols, for the company directors.

Alex took a good many questions in an extended question and answer session from the audience of around 60 entrepreneurs, EEF Alumni, VCs and special guests – a good turnout for an early (17.00) start on a summer’s evening.

It will take a special speaker to top Alex’s infectious enthusiasm and he has set a standard for other speakers to aspire too. Another great EEF event!