Investors | Hall Venture Partners

Opportunity Zone

Hall Opportunity Fund 1 has been opened to invest in early growth companies based in Utah, taking advantage of recent Federal legislation to encourage investments into Federally designated “opportunity zones.” The opportunity zone legislation offers huge benefits to investors. If applied correctly, it allows deferral of capital gains, potential original gain reductions of 10-15%, and potential permanent deferrals on any gains realized within a qualified fund. Provo, Utah is home to an opportunity zone that has been identified as one of the top 3 most attractive opportunity zones nationally, and HVP is ideally positioned to deploy capital immediately into investments that will meet the strict opportunity zone requirements. The HVP managing partners (David Hall, Derek Weber, Matt Van Dyke and David Kunz) and their affiliates are seeding the fund with a capital commitment of 10% of the overall target fund size.

The 2017 tax revision temporarily authorized tax incentives for investments into a Qualified Opportunity Fund (“QOF”)

A QOF is a vehicle organized for the purpose of making qualified investments within a federally designated Opportunity Zone.

The following are tax benefits of investing in a Qualified Opportunity Fund (QOF) :

A temporary tax deferral for capital gains reinvested in a QOF. The deferred gain must be recognized on the earlier of the date on which the QOF investment is sold or December 31, 2026.
A step-up in basis for capital gains reinvested in a QOF. The basis of the original investment is increased by 10% if the investment in the QOF is held by the taxpayer for at least 5 years, and by an additional 5% if held for at least 7 years,xcluding up to 15% of the original gain from taxation.
A permanent exclusion from taxable income of capital gains from the sale or exchange of an investment in a QOF, if the investment is held for at least 10 years.(Note: This exclusion applies to the gains accrued from the investment in the QOF, not the gains on the original investment.)

Opportunity Fund Investment Example

Investment Example Facts

Tax Consequences of Investment

$1M Original Capital Gain

$.5M Gain in Opportunity Fund Investment

Provo Campus

Provo Innovation & Growth Campus

Over 130 total acres, nearly all contiguous
850,000+ square feet of lab and office space
Operating businesses employ over 700 people
As companies grow, they may occupy their own building

Campus Highlights

Located within minutes of Sundance
VIPs including the Governor at the groundbreaking of the new Vanderhall building
80,000+ sqft campus headquarters
Located in one of the top Opportunity Zones nationwide
In the Silicon Slopes area, with one of the highest concentrations of startups per square mile in the country

Hall Opportunity Fund 1 Initial Target Companies

Portfolio Companies and Potential Target Companies

Vanderhall manufactures conventional and electric roadsters and off-road vehicles that provide a truly unique motoring experience. Exceptional aesthetics and effortless performance.

SmarterHome seamlessly integrates smart products for the home. Includes the Tilt brand (blinds, windows, lighting, security) and the Garage Smart brand (storage, air, power, and other tools).

Sure-Fi has developed the world’s first radio designed to connect reliably through heavy obstruction. Its patented radio features one-mile range with obstructions and 50+ miles line of sight.

Medic.Life is developing advanced health monitoring systems and hardware that provide meaningful information for individuals and their healthcare team

Bacon is creating a new way to staff teams by connecting companies to pre-qualified available workers who will work on-demand for as little as one shiſt.

MicroClimate is now shipping Air, a personal filter system with unobstructed views. Products for education, healthcare, and other uses are in development.

NeverDump designs a drop-in system for fifth wheels, RVs, and travel trailers that uses combustion technology to completely eliminate black water.

Adaptive provides contemporary housing, office, and flex space. Rather than build single-use rooms, its technologies allow the same footprint to easily be put to multiple uses.

Care.Life focuses on merging innovative technologies with easy-to-use devices to help alleviate the shortage of care workers and help improve the quality of life of those who wish to stay at home or live in a community.

RelChip offers reliable integrated circuit solutions for extreme environments, ranging from -55 to 300 degrees Celsius (-67 to 572 degrees Fahrenheit).

Silicon Slopes

Utah is exploding with growth and it’s through relationships like Silicon Slopes that HVP can identify potential target portfolio companies currently outside the Hall campus.

HVP will leverage the same process, honed and developed over 60+ years, that will supplement our sourcing of opportunities as we look to identify companies that can benefit from the process and structure Hall Labs provides. With more than 6,500 startup and tech companies in Utah, Silicon Slopes is home to entrepreneurs and leaders who have earned global recognition through hard work, and a focus on building exceptional companies.

Dollar-per-deal, Utah leads the nation in venture capital tech funding, and for 3 years in a row, Forbes named Utah as the best state in the nation for business.

Investor Info