Good question. We’re happy you asked. Why? Because for one, if you are asking yourself that question, then you are already a daring entrepreneur going for something you truly believe in. Or at least we at Starttech Ventures hope so.
We take pride in having built a private, early stage investment organization which offers something different. That’s why I think it’s better to say what we are not first. We are not a traditional quick fix accelerator or short-term incubator. And we don’t just invest in anything that looks like it may bring money.
So who, or what are we? Put simply, we are an early stage investor that offers a combination of capital, Venture Building services and entrepreneurship drive to founders who aim to excel in their journey.
Experience and Expertise = Starttech Ventures
One of the key lessons learned during our 18 years-long journey since September 2000 has been the following. In order to be able to successfully compete in the global market, you have to narrow down the scope of the things you do. Specialization undoubtedly is the only way to success.
What does this mean for an early stage fund? In our case, it is this little list:
Profile of a Starttech Ventures portfolio company
- We only invest in B2B software startups with evident DNA of automation.
- Automation both in the service which they develop (i.e. they help their customers to automate their processes), but also in the actual business model of the startup. For example, we greatly prefer companies with an automated inbound marketing business model over those who require a sales workforce for business development
- Target-market-wise, our portfolio companies should primarily aim to North America and secondarily to North/West Europe. This obviously is quite important for future growth equity investment and M&A opportunities.
- We never invest in single-founder companies; we want to see either two or three co-founders, and definitely one of them to be the software expert who owns the know-how of the product’s technology.
- Stage-wise, we are investing in the MVP stage. We generally require that the founders have invested their time, own resources and their 3Fs’ capital for building a prototype with clear value. On top of that they should have their growth hypothesis and some experimental evidence supporting its soundness.
What we offer
- We initially provide investment tickets in the range of $50K to $100K. If more capital is necessary and as long as the company keeps performing as expected, we shall re-invest. On top of that, we shall mobilize our international network to actively support further fundraising.
- Together with the cash investment, we take our portfolio companies through our 18-month long program, where we guide them in executing methodologies around customer development, lean startup and agile project management. The aim is to get the best possible product at the lowest possible cost, and in the shortest possible time.
- Together with the active guidance, coaching and mentoring, we have an internal agency with 10+ prominent professionals who provide free supplementary services in areas such as branding, UX/UI design and development, growth marketing, content storytelling and project management.
- We also offer a shared scrum master and all the administrative support (business administration, recruitment, finance and accounting, IT support) which an early stage business will ever need.
- All this is done by our dedicated full-time personnel, whose single objective is the success of the fledgling portfolio companies. It also goes without saying that portfolio companies have unlimited free access to our library and labs and, obviously, free work-space as per their needs.
- Last but not least, let’s talk about Athens. We feel lucky to be based in one of the most beautiful cities in the world, with an unparalleled history and culture. More than that, the city has an entrepreneurial ecosystem as vibrant as its nightlife. So we never feel the need to state: ”whole team compulsory relocation’”. We see it as one of the benefits. We’ll let you decide.
Geographical target
- Due to the relocation clause, we have a natural preference for founders coming from the East Mediterranean region. There’s absolutely no “localism” in this approach. It’s simply for practical matters. Should founders from other geographies be open to relocate to Athens and to adapt to the East Mediterranean cost structure, they are of course extremely welcome.
- What does ‘East Mediterranean’ mean for Starttech Ventures? Well, it is quite a broad region. Stating from Italy, it goes eastward to the Balkans, Anatolia, and then South to the coastal countries of the Middle East. And then it stretches East in Northern Africa, all the way up to Tunisia.
- For the combination of the initial investment and a long term Venture Building program, we ask for a flat equity stake of 10%, with international market-standard minority protection rights.
Starttech Ventures Track Record
At Starttech Ventures we are very proud of our track record. We first exited from AbZorba Games and then managed to scale-up TalentLMS to one of the world market leaders in its category. Also Yodeck is en route for becoming a world leader in its category. We have a system in place which just works.
We do want to efficiently and effectively share our know-how with ambitious founders who really believe in the soundness of customer development, lean startup and agile development. Our most important qualities are those of maximum capital efficiency and minimum capital loss ratio.
Let’s bring your business vision to life
If you are a team of entrepreneurs who are excited by the prospect of creating real value for customers in North America and North / West Europe, then we are on your wavelength. If your goals are making revenues, profits and growth in a rather short period of time, then we are on the same page. Also, if you also believe that entrepreneurship is science and not gambling, and that capital-raising is the medium and not the objective, then yes, at Starttech Ventures you will find the best possible co-pilot. We will be there to actively support you with all means available during your entire journey.
In that case, then yes, you should apply for funding from Starttech Ventures. Get in touch with us today. We’ll be delighted to hear from you.
