b'Strategic report Governance Financial statements02 03CompleteConnectedCapital Stakeholdervalue creationWhat we do Investee companiesMercias Complete Connected Capital means that we can draw upon various pools of Ambitious regional SMEs that require capital across our asset classes, delivering the appropriate relatively modest capital needs and are levels of cash at the right time. priced sensibly.Initial average investment from venture0.5mThird-party investors Solid track record of investing through the cycles and consistently providing returns across all our asset classes.Successful fund exits in 2020Deal flow Pathfinder Early stage & Growth Exit 5sources & seed development & scale0-3 years 1-7 years 3-7 years 7-15 yearsThird-party funds Balance sheet capitalEmployeesc.658million in FuM to deploy into selective,Mercia has 30.2million unrestricted cashhigh-growth SMEs across venture, privateon its balance sheet to deploy as investment93 colleagues whose individual objectives, equity and debt. follow-on capital to promising companies together with our values, drive Mercias in its existing direct portfolio and itsperformance.third-party funds portfolio. Training hoursHow we do it Buy well Support well Sell well1,929Source well Optimised returns areWe are focused onBeyond finance, Our ability to provide driven through deepinvesting in thewe are active advisersfollow-on fundingSee more on page 40industry experiencehighest quadrant ofto our portfolioand capital for and powerfulbusinesses that companies andorganic growth or partnerships thathave appropriateprovide access to ouracquisition supports drive deal origination,pre-moneyMercia network ofoptimum exits and which allows Mercia tovaluations and wherebusiness leaders,timely realisations. see 59% of deals in we can providesector experts and the regions. support in achievingnon-executives to the commercialsupport our drivers of valueinvestments in creation. achieving profitability.Mercia Asset Management PLC 13Annual Report and Accounts 2020'