A: Investment from the Davidson Venture Fund is an investment by Davidson College (or a subsidiary of the college) in a Davidson student or young alumni business venture.
While teams may compete and win the investment without being incorporated (or, in the case of a limited liability company, organized), the investment will only be disbursed to a corporation or limited liability company. The winning team(s) will have the option to structure the investment as either a convertible note or a warrant. If the convertible note structure is selected, then the team will enter into a Convertible Promissory Note and a Loan Agreement with Davidson College or a subsidiary of the college (referred to as the “Investor”). If the warrant structure is selected, then the team will enter into a Warrant and Investment Agreement with the Investor.