Focus on Sportswear and Casualwear in Footwear and Apparel sectors
Our sector focus allows us to develop highly specialized competencies in marketing, design, distribution and supply chain management, which can support our portfolio companies. The Hydra Ventures team has access to a vast network of industry experts who possess a variety of skills and expertise to supplement the team’s current resources.
Focused Primarily on Growth Capital Investments
All of today’s largest players in the sportswear industry were initially start-ups. At the heart of all great consumer-focused companies lies a strong brand DNA, which is why we value the importance in helping shape a brand’s character from the moment of inception. Our deep sector experience gives us the confidence to back start-ups at their earliest stages.
Some of the fastest growing, highest potential markets in the world are fraught with operational challenges that can only be mitigated by local knowledge. The ability of Hydra Ventures to leverage the global footprint of the adidas Group, cultivated through decades of international development, enables us to consider opportunities that most investment firms won’t. We have an extensive network of global and local resources to draw upon in order to minimize operational risk.
Financial Support from a Large, Multinational Group
The most common reason for emerging companies in the footwear, apparel and hardware sectors for failing to reach scale is under-capitalization. With the support of adidas AG, Hydra Ventures is able to commit resources during all stages of the business cycle.
Organic Development Model
We’re looking to back talented entrepreneurs and help them build strong teams to launch new companies. Once a start-up team has been identified, the Hydra Ventures team along with the start-up’s management team determine the most attractive go-to-market strategy for the chosen opportunity and co-develop the business plan. Entrepreneurs enjoy independence in running their businesses but are supported by the Hydra Ventures team on an ongoing basis and when significant adjustments to the plan become necessary. Our management style is to act as an engaged partner.
Unique, Transparent Financing Model
We offer transparent financing terms that seek to minimize the adversarial negotiation element typically found in VC relationships. We believe that entrepreneurs and their teams should be focused on growing their businesses, rather than devoting time searching for and negotiating their next round of funding. Therefore, we’ve tried to simplify the process. Because we co-develop the business plan with the venture teams, determining appropriate and flexible milestones becomes easier. This allows for financing terms to be largely pre-defined by corresponding levels of business performance. Valuation model metrics and parameters are largely agreed up front.