The Vigo Programme
What is Vigo?
• Vigo is a new type of acceleration programme designed to complement the internationally acclaimed Finnish innovation ecosystem.
• The Vigo Programme assigns selected independent accelerator companies to provide drive, experience and financing opportunities for high-potential Finnish start-ups.
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Key objectives
• The key objectives of the Vigo Programme are to: – Motivate the best business developers to help the most
promising start-ups grow into successful companies – Ensure early stage funding for the target companies,
increase their shareholder value, and make them attractive targets for venture investors
– Raise significant venture capital investments for continued expansion of the target companies after the acceleration stage
– Develop the Finnish venture capital market and bring more international acceleration and venture capital players into Finland
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Programme Governance and Execution
• The Ministry of Employment and The Economy (TEM) decided to start The Vigo Programme in March 2009 in cooperation with Tekes* and Veraventure**.
• A Steering Group representing significant experience and expertise in the international growth business was nominated by the TEM in August 2009.
• Tekes coordinates the programme and Profict Partners Oy manages the execution of the program.
*Finnish Funding Agency for Technology and Innovation**Currently Finnvera VC (The VC part of Finnvera investing public funds in early stage companies)
8. huhtikuuta 2023
Vigo Accelerators
• The Vigo Accelerators are private companies that are run by experienced entrepreneurs.
• The Accelerators offer their proven business expertise, funding, and extensive contact networks to the target companies.
• The Accelerators invest both money and time into the target companies and take on both a strategic and an operative role in the companies.
• The Accelerators have been selected from the best applicants in their respective fields in a public procurement process.
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Vigo accelerators 2011:
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• 43 high profile teams applied for Vigo accelerator status at the first round 2009
• Six (6) highly respected accelerators were selected and in operation
How does Vigo work?
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2009
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2.
3.
4.
Company applies directly to the accelerator of it’s choice.
Acceptance is based upon eva-luation of the business idea, team and sui-tability of the company for the program.
The accelerator managers take a hands-on role in operations and biz development
Fast Growth
Description
The acceleration period lasts 18 to 24 months The accelerators’ main revenue model is based on the growth in the
company’s value at the point of exit. Monthly fees may also be included in the model.
The companies are able to utilize Tekes’s and Finnvera’s funding (grants, loans and investments).
The accelerator invests time and money and becomes a shareholder in the company
Great case stories!
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Total portfolio more than 40 companies !
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International Investors
MHS Capital
AMBIENT SOUND INVESTMENTS
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Angel Investors
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Esther Dyson is an active angel investor in a variety of start-ups, for-profit and otherwise, around the world. She also operates as the Internet’s court jester, a person of no institutional importance who somehow manages to speak the truth and to be heard when and where it matters. She does business as EDventure, the reclaimed name of the company she owned for 20-odd years before selling it to CNET Networks in 2004.
Esther Dyson
What’s in It for Me?• For investors:
• Professionally qualified opportunities
• Experienced and committed management teams
• High leverage initial funding (R&D and BD grants& loans)
• For start-up companies:• Business competence
• Experience• Drive for growth
• Customers, contacts and further financing
>> Accelerated growth, increasing value
• For the accelerators:• Significant public leverage in target
company financing• Financial returns with successful
exits• Rewarding and challenging career
options
• For the community• Jobs and tax-payers• Wealth and prosperity
Excellent Results After the First 20 Months
• Currently 6 accelerators (ict, web, health, media, cleantech, food) with totally 20 + managers working hands-on with start-ups.
• Over 40 start-ups in portfolio (forecast 50+ by end of 2011).• Good deal flows and active process in accelerators to grow
portfolio and develop the companies.• Almost 60 m€ raised, 60% private (36% of total is foreign)• First international A-rounds 2010, biggest so far 7 Meuros.• First exit Zokem was aquired by Arbitron (US) for 11,7 MUSD• Several hundred new jobs created (direct and in-direct).
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April 8, 2023
Public and Private Funding in Vigo ProgrammeCumulative, M€
April 8, 2023
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14 months 19 months 23 monthsBy 30.9. 2010 By 28.2.2011 By 30.6.2011
0.00 €
10.00 €
20.00 €
30.00 €
40.00 €
50.00 €
60.00 €
70.00 €
Total privateTotal publicGrand total
Cum
ulat
ive
fund
ing,
M€
Distribution of Cumulative Funding by Source (28.2. vs. 30.6.2011)
April 8, 2023
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Accelerators own 5 % _x0019
_Domestic non-accel-erators
21%
_x000f_Foreign private24%
Tekes NIY21%
Tekes R&D20%
_x0008_Finnvera
9%
By 28.2. 2011(Totally 39,6 M€)
Accelerators own5%
Domes-tic non-accel-erators
18%
Foreign private34%
Tekes NIY19%
Tekes R&D17%
Finnvera7%
By 30.6.2011(Totally 57,3 M€)
Future
• Enhancements– More accelerators– Accelerator funds– Connect and strengthen deal flows
• Strengthen international network– Create awareness and visibility for start-ups, accelerators and the program
within selected communities– Invite and attract (through results) investors, VC’s and accelerators
• Renew and invigorate early stage financing• Strengthen exchange of information and experience with
leading international programs
April 8, 2023
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Thank you!
For more information:
www.vigo.fi
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