May 21, 2018 - The Montenegrin Business Angels Network (MEBAN) was established in mid-April 2018, in Montenegro. The Montenegrin Business Angels Network is the first organization of this type in Montenegro whose primary goal is to connect Business Angels (independent individuals who provide capital for the development of a business) and entrepreneurs with a business plan and a team of people ready to implement the idea and develop the business project.
Business angels (“angel investors”) aim to help entrepreneurial individuals succeed with a business plan by investing their own money. They usually use their wealth to provide capital to start-up and early-stage businesses, and they are willing to accept high risks in the expectation that will, in due time, be able to secure a profitable outcome and see a return on their investment. Angel investors not only invest the capital, but they also provide their professional experience, knowledge, as well as their business contacts all in exchange for convertible debt or ownership equity.
According to MEBAN’s statement, “The idea behind the establishment of the Montenegrin Business Angels Network is a product of the entrepreneurial-project activities of the founders and their partners and associates. During the work on entrepreneurial projects, the need for significant networking of entrepreneurs, investors, and future entrepreneurs was also noted to reduce the gap between the ideas and the available capital (financial, intellectual)”.
The growing role of business angels as the key people in many start-up companies is now well recognized in countries all over the world. The primary goal of MEBAN is to actively work on increasing the number of angel investors involved in investing in early-stage companies as well as to form the fastest path from the business idea to the capital necessary for its implementation.
“MEBAN has significant support in its line of work from international institution’s members such as EBAN (European Business Angels Network) as the oldest and most active European institution of this type and GBAN (Global Business Angels Network). In both mentioned institutions, MEBAN is a full-fledged member and has a representative with the right to vote in the EBAN Assembly. The representative of MEBAN is also a member of the EBAN Committee for South East Europe. MEBAN is supported by the WBAF (World Investment Forum of Business Angels), a representative for Montenegro and one of the founders of MEBAN. Various educational and investment events are planned shortly with the cooperation of EBAN, GBAN and in particular WBAF," said the MEBAN representative.
Business angels have a critical role in the early stage equity financing of high growth entrepreneurial ventures. According to the founders of MEBAN, angel funding is positively correlated with high social responsibility, entrepreneurial education of business people and the broader community, creating new jobs, reduction of unemployment as well as the creation of new products and services.
MEBAN representative’s statement was concluded with the following words: "The latest support of MEBAN for entrepreneurial projects was at the VIII Stock Exchange of Entrepreneurial Ideas held on the Day of Victory and Day of Europe on May 9th at the UDG. The investments which amounted 2000 EUR for the business ideas Treasure Hunt Montenegro and Touristico are directed towards the participation and presentation of companies at Take Invest Summit 2019 in Istanbul. Dr. Milica Vukotić, one of the founders of the network, was elected for President of MEBAN.”
