A: We make investments at three different stages: Seed (only in Denmark), Early stage and Growth stage. We look for Northern European IT companies preferably within B2B and B2B2C. Companies should have market traction and annual revenue of €1-2 M or more. In Denmark, we invest a bit earlier, from around first revenue.
A: The process is relatively informal. Typically, we start uncovering mutual interests and the potential for a future collaboration. If there is a mutual match of interests, we make further analysis of the business case, agree upon the formal conditions for the partnership and start due diligence, which leads to the final agreement. The whole process usually takes two months.
A: Yes, we like to syndicate/co-invest with local as well as international VCs. Syndicating can provide advantages both to the company and to the investors. The company reduces its refinancing risk by typically raising larger rounds of capital, it has more investors to lift the coming rounds, and may get more value add from having more investors on board. The VCs reduce their risk by syndicating.
A: All team members in Northcap have operational backgrounds from international businesses and founding startups. Typically, we help in strategy, internationalization, sales processes, recruitment and organization.