This one has been a long time in the making, and LAIN, is now officially launching.
LAIN, the Lebanese Angel Investor Network, is Lebanon’s first curated angel investment vehicle, designed to mobilize diaspora capital behind the next generation of Lebanese founders, in Lebanon and around the world.
And the need for it is hard to overstate: in 2023, only 12 Lebanese startups raised a combined $1.1 million. By 2024, total early-stage funding had fallen to around $500,000 for the entire year.
On May 11, 2026, Lebanon’s Minister of Technology and Artificial Intelligence, His Excellency Dr. Kamal Shehadi, joined the founding partners of BY Venture Partners and a coalition of ecosystem leaders to make it official.
The initiative is backed by a seven-member Advisory Board of senior Lebanese investors and business support organizations, including Endeavor Lebanon, LEBNET, Beirut Digital District, AUB iPark, Razor Capital, >>T/S//A/, and IMFndng, supporting LAIN’s governance and deal access, without holding decision-making power at the investment committee level.
During the launch webinar, Ghaith Yafi, Co-founder BY Ventures, framed the opportunity clearly: more than $60 billion in company value has already been created by Lebanese-connected founders building outside Lebanon, across companies like Ramp, Kalshi, Kitopi, Huspy, Toters, NymCard, and others.
Together, they have created almost twice Lebanon’s GDP, across three continents.
The question now is: how do we make sure Lebanese capital, Lebanese investors, and the Lebanese ecosystem can be part of these journeys going forward, not spectators of them?
The challenge has never been a lack of capital. Lebanon’s 14-million-strong diaspora includes many successful entrepreneurs, executives, and professionals with both the means and the desire to invest back into the country. What was missing was a trusted, transparent, and professionally managed platform to channel that investment.
LAIN was created to fill that gap.
What is LAIN and Who is Behind it
LAIN is an initiative of the Lebanese Ministry of Technology and Artificial Intelligence, operated by BY Venture Partners. Dr. Shehadi was explicit: this is a private-sector-led initiative, the ministry holds no role in directing where investments go. What it brings is institutional conviction and a clear policy direction
BY Venture Partners, founded by brothers Ghaith and Abdallah Yafi, brings a track record that goes well beyond the region: $200M+ in assets under management, 100+ investments, five unicorns, 30 category leaders, and a founder NPS of 87. Sixty percent of their deal flow comes directly from their founder network, and roughly a third of their existing portfolio is already Lebanese connected. The sourcing engine is already in place.
The fund
LAIN Fund III is structured to back early-stage tech and tech-enabled startups with strong Lebanese talent connections, regardless of where those companies are headquartered globally.
The strategy focuses heavily on the AI application layer and targets companies at the Pre-Seed and Seed stages where conviction is highest and upside potential is greatest.
Key structural details include:
- Fund domicile: Luxembourg
• Single upfront commitment structure
• No capital calls
• Average investment target: $150,000 per startup
• Portfolio target: 35–40 seed-stage companies
• Individual angel participation ticket: $25,000
The $25,000 ticket size was intentionally designed to attract committed angels seeking meaningful exposure rather than purely symbolic participation.
According to Dr. Shehadi, the network has already secured $5 million in soft commitments , a signal the founding team described as an important early validation for the initiative.
Angels don’t just invest. They decide.
One of the more distinctive aspects of LAIN’s structure is its governance model.
Unlike many angel vehicles where investors play a largely passive role, LAIN gives the angel community direct participation in investment decisions.
The Investment Committee consists of five votes:
• Three votes from the LAIN investment team
• One collective vote representing the broader angel network
• One rotating annual seat reserved for one of the largest-check angels
Investment approvals pass by simple majority.
Additionally, if a BY Venture Partners portfolio company is introduced to LAIN as an investment opportunity, at least one angel vote is required for approval.
The structure was designed to ensure angels remain active participants – not passive LPs.
As portfolio companies mature and raise Series A and B rounds, LPs will have opportunities to follow on. Angels who want to go deeper in specific companies will be accommodated where possible. The spirit of the structure, as stated during the launch: “You decide, you help the founders along the way, we put the money to work.”
What success looks like
The team set concrete benchmarks — not vague impact language — for what a well-functioning LAIN looks like.
Lebanese founders have already proven their ability to build companies worth tens of billions. LAIN is a vote of confidence in Lebanese technology entrepreneurs, and in the belief that even stronger opportunities lie ahead.
