From medical technology to travel app: BayStartUP is providing over € 62 million in capital to startups.
From medical technology to 3D printing and digital twins to apps for last-minute flights – the content of startups from Bavaria is extremely broad. The current financing figures from the BayStartUP investor network show that their business models are also well received by investors. In the financial year 2018, BayStartUP brokered 62.7 million euros of start-up and growth capital in 50 financing rounds. 42.7 million euros came from venture capital companies, public investors and strategic investors. Private investors come to a participation of 20 million euros and are involved in a total of three quarters of the deals. Successfully funded startups include teams like Inveox, All3DP, Hofmann & Stirner and Let’s Yalla. The BayStartUP investor network is one of the most important contact points in Bavaria for startups looking for capital.
Business angel capital is indispensable
The focus of the deals brokered by BayStartUP is at an early stage: 44 of the financed teams (88%) are younger than 3 years old. 26% of the rounds of financing fall on the pre-seed phase, 52% on the seed phase and 22% on the Serie A. Business angels participated in 74% of the deals.
“This shows that business angels from early-stage financing are indispensable and that the importance of angel capital has continued to increase over the years,” says dr. Carsten Rudolph, Managing Director of BayStartUP. Overall, the financing rounds range between 50,000 and 6,000,000 euros. The highest investment by a business angel was just under 2 million euros. In the financial year 2018, the BayStartUP investor network gained around 40 new business angels. “The topic is particularly interesting for entrepreneurs from German SMEs,” says Rudolph. Currently, startups have contact opportunities through the BayStartUP investor network to around 300 private and more than 100 institutional investors.
BayStartUP is a neutral mediator between startups and investors
BayStartUP acts as a neutral and non-commercial contact for startups and investors in the financing brokerage. The network is supported by the Bavarian Ministry of Economic Affairs. “We will continue to keep our Startup activities at a high level in the future. Offers supported by the Bavarian Ministry of Economic Affairs, such as those of BayStartUP, make a significant contribution to providing young, innovative companies with access to capital and expert knowledge, especially in the Bavarian regions, “says Bavaria’s Economics Minister Hubert Aiwanger. “This is an important prerequisite for successfully establishing their business models on the market.”
Companies supported by BayStartUP are currently active on the market with more than 13,100 employees and generate sales of almost € 1.4 billion (2017 figures). Many successful companies today have launched by BayStartUP, including Flixbus, eGym, Magazino, Voxeljet, numares, Transporeon or va-Q-tec AG.
Also published on Medium.