Below you’ll find an audio overview from our CEO and Founder, Tommy Martin. To review all the details from Mammoth’s first full quarter, please read the full update.
Please Click the Video to Listen
All Systems Go
Within 3 days of announcing the opportunity to become a partner at Mammoth Investors, LLC through our Series A raise, we had oversubscribed interest and ended up with a wait list of more than 30 people. Thank you for being a part of the beginning with us and for sharing our vision to Invest Beyond the Ordinary™.
We’ve been covered well in the press since our launch. Check out some of the great coverage we’ve gotten:
In October 2020, Michael Thrasher, one of RIA Intel’s lead editors published an article suggesting that venture capital may never be accessible for the advisory firm channel. Last month, he published new thoughts noting that we may just be proving him wrong.
Can My Colleagues Still Invest in Mammoth?
So many of you have asked about this and we’re grateful. Our Series A Round for investment in Mammoth Investors is closed to new investors. However, the Mammoth Health and Tech Fund remains open for new capital! We’ve moved into Phase II in our Mammoth Health and Tech Fund, where our primary focus is on working with large family office investors and other institutional advisory firms who are excited to refer their clients. We can still accommodate some direct individual investors on a limited basis. If you have colleagues who are accredited investors and may be interested in investing in the Mammoth Fund, please click the button below to invite them.
Our quest to bring high quality venture capital and private investment access to a broader audience has clearly resonated with the market. We know that similar funds typically require at least a $1 million minimum. Our in house fintech and legal teams enable us to function efficiently with a much smaller minimum.
Building for Scale
As some of our first investors, your onboarding experience featured entirely outside technology and user interfaces. We have been recreating the onboarding experience for a proprietary platform that will dramatically reduce the amount of time and increase the comprehension of the process. Your feedback has been extremely helpful through the process.
In addition to onboarding, the platform will feature a more robust cap table and document storage portal. Currently, you can access your countersigned subscription agreements via the DocuSign email sent to your inbox, or simply by emailing Investor Relations if you’re unable to locate that email.
Two in One
As a reminder, you own two great businesses as a partner in Mammoth Investors, LLC. First, you own a piece of the partnership interest in our venture capital funds at Mammoth Scientific, LLC. Secondly, you own part of the private capital online platform that will launch in 2022. The new onboarding experience is the first part of this platform. We will continue to use the platform to onboard our flagship venture fund and will expand access beyond our own Mammoth Funds to other carefully curated private investment offerings.
Regulatory Compliance & an Update
In late July, Mammoth signed a purchase agreement to purchase a broker/dealer that specializes in private investment transactions for hospital systems and other medical practices. We are seeking regulatory approval of this purchase from FINRA and hope to have regulatory finalized by December of this year. The broker/dealer ownership will allow us to expand our platform offerings. We remain laser focused on manufacturing our venture capital funds in house. The broker/dealer will allow us to take what we believe to be best-in-class onboarding and make it accessible to other private investment managers.
The Mammoth Health & Tech Fund 1 closed on our first two investments.
You can see an overview of why we led their Series D raise of $65M by downloading this fact sheet.
Exclusive MiRus Update
Just today, Friday, August 20, 2021, MiRus received FDA clearance of their IOTM expandable interbody. This is the world’s lowest profile, largest expansion and lordosis range interbody. According to MiRus, this interbody “absolutely blows away the current market leaders”. A press release will go out next week from MiRus, but Jay authorized us for early release on this announcement to investors since we were already sending an update your way.
With Washington pushing to nearly double the capital gains tax rate, venture capital is one of the best ways to access special QSBS tax treatment of investments where they can grow up to 10x on a potentially tax-free basis. Not all of the Mammoth Fund’s investments will be eligible to take advantage of this special tax treatment but we will seek to utilize this when available and currently more than 65% of the companies we are evaluating would be QSBS qualified.
Please Note: Only those investors already in the Mammoth Fund at the time it makes a QSBS qualified investment are eligible for any such tax-advantaged growth or benefits.
 For clarity, MiRus was ineligible for QSBS treatment since the valuation has exceeded the $50mm limit since our involvement and MRI Guidance is ineligible due to being an international company.
The Right Stuff
Thanks for the tips you’ve sent our way about potential portfolio companies. As a point of clarification, we are not focused on investing in start-ups.
Instead, we are focused on companies with a few key features:
- They already have significant intellectual property.
- They have a viable product and likely great product market fit.
- They have a solid, dynamic team.
If you have connections with a company who fits that mold and you’d like our due diligence team to consider them, please have them reach out to us at the link below. Be sure to have them drop your name in the notes area, so that we know how they found us.