muru-D Singapore First to Adopt SAFE Notes in South East Asia, Opens Applications for Third Cohort of Technology Startups
SINGAPORE – 27 June 2017 – Telstra-backed accelerator muru-D Singapore today announced that applications are open for its third cohort. muru-D will be recruiting ten technology startups for its six-month accelerator program, which begins in September 2017.
It will also be adopting a new financing instrument for this cohort: the SAFE (Simple Agreement for Future Equity) which simplifies terms for fundraising and ensures that muru-D continues to attract the best digital talent from across South East Asia. muru-D is the first program to adopt the SAFE in South East Asia.
“The startup community in South East Asia continues to blossom and, as local governments increase investments in areas like artificial intelligence, data analytics, medtech and advance manufacturing, we aim to invest in local ecosystems, and enable digital talent in these areas and beyond to grow and mature,” said Craig Dixon, Entrepreneur in Residence, muru-D Singapore.
muru-D will provide each startup with SG$60,000 in upfront seed capital. They will also be given access to six months of business support, a collaborative workspace in the heart of Singapore’s central business district, a guided trip to Silicon Valley and introductions to world-class mentors, coaches, investors and Telstra experts.
The SAFE is a simpler, startup-friendly agreement that provides investment to the company on a convertible note which converts to equity when the startup does its first post-program qualifying raise at the valuation of that raise.
“Complex terms and agreements might be expected between larger entities, but are not necessarily appropriate for startups. These new terms put muru-D’s funding structure in line with global best practice, ensuring that our startups are getting the best deal possible and can focus on growing to become sustainable global businesses. SAFE notes will allow muru-D to attract both early and later stage startups, which we believe our program will continue to add considerable value to,” said Dixon.
Through muru-D, Telstra aspires to attract the region’s best digital talent, foster local technology innovation and grow the entrepreneurial ecosystem. A core component of the muru-D program is adopting a global mindset and accessing big markets through an international network that includes alliances with other global accelerators – 500 Startups, The Icehouse, The Junction, Chinaccelerator and HAX.
To date, 17 startups from across South East Asia have graduated from muru-D Singapore’s first two cohorts. In March 2017, the eight startups from muru-D Singapore’s second cohort completed the accelerator program, collectively adding more than 12,000 new customers and increasing revenues by more than SG$300,000 in the process.
muru-D Singapore will also be conducting roadshows across South East Asia for interested startups and investors to get more information about the program.