The Community Bankers Association of Georgia will invest in the latest fund from BankTech Ventures.
The association said in a press release that its board approved an investment in BankTech Ventures’ Fund 2. The investment was made possible by a special purpose vehicle formed by the Community Bankers Association of Illinois that lets Georgia community banks invest as little as $50,000 in the fund.
The amount of the association’s investment wasn’t disclosed.
“You can consider this fund as R&D for community banks,” Heath Fountain, president and CEO of Colony Bank, said in the release.
“BankTech Ventures performs a deeper level of analysis, on a large scale,” Fountain added. “Finding the tech companies, evaluating the choices, doing due diligence, and selecting potential winners has a cost, takes time, and requires the right skills, which most community banks do not possess in abundance. Investing in the fund potentially gives community bankers preferred access to pre-screened and vetted companies with a large level of industry support.”
The fund’s first closing is scheduled for April 15, with a final close set for June 30.