TLDR:
- Channel 4 has launched Untapped, an investment initiative to find revenue from non-traditional business founders overlooked by the venture capital funding system.
- Untapped aims to invest in high-growth businesses led by founders with diverse profiles based on gender, education, race, and ethnicity.
Channel 4 has launched Untapped, an investment initiative aimed at finding new revenue streams from non-traditional business founders who have been overlooked by the venture capital funding ecosystem. The initiative, led by Channel 4 Ventures, will seek to invest in high-growth businesses led by founders with a broader range of profiles based on gender, education, socioeconomic history, race, and ethnicity.
Vinay Solanki, head of Channel 4 Ventures, stated that Untapped will enable the broadcaster to invest in and incubate high-growth businesses, delivering significant commercial returns to further Channel 4’s distinctive remit. The initiative aims to grow the UK consumer investment landscape and encourage others to follow in the investment space.
Channel 4 Ventures plans to take a significant proportion of potential deals from Untapped to its investment committee for approval each year, channeling millions of pounds of media value into a new wave of entrepreneurs. The initiative is expected to generate new revenue for Channel 4, which has faced a decline in linear TV ad revenue. CEO Alex Mahon predicted a 14% drop in revenue in 2023.
The initiative is backed by research that found the majority of company founders are men, despite men representing less than half of all UK graduates. Untapped will aim to support founders with diverse backgrounds in an effort to create a more inclusive investment ecosystem.
Channel 4 is inviting proposals for Untapped and will be conducting roadshows across the UK. The initiative is part of a broader trend among UK broadcasters to support startups through airtime-for-equity schemes.
