Kade Stroude

The Autumn Budget 2024 is out, and there's crucial news for the UK's startup and VC ecosystem. Here's the general guidance on what you need to know: 𝗧𝗵𝗲 𝗴𝗼𝗼𝗱 𝗻𝗲𝘄𝘀 𝗳𝗶𝗿𝘀𝘁: - SEIS, EIS, and VCT tax reliefs are staying put - providing continued stability for early-stage investment - EIS/VCT sunset clause extended to 2035 (with EU approval already secured) - Chancellor explicitly committed to "working with leading entrepreneurs and venture capital firms" 𝗕𝘂𝘁 𝘁𝗵𝗲𝗿𝗲 𝗮𝗿𝗲 𝗰𝗵𝗮𝗻𝗴𝗲𝘀 𝗮𝗵𝗲𝗮𝗱: - Capital Gains Tax is shifting: - Basic rate: 10% → 18% - Higher rate: 20% → 24% - Business Asset Disposal Relief increasing to 14% (2025/26) and 18% (2026/27) The big shift comes in inheritance tax planning: From April 2026, Business Property Relief drops from 100% to 50% for assets over £1M - including SEIS and EIS investments. AIM-listed companies take a similar hit. 𝗪𝗵𝗮𝘁 𝗱𝗼𝗲𝘀 𝘁𝗵𝗶𝘀 𝗺𝗲𝗮𝗻 𝗳𝗼𝗿 𝗳𝗼𝘂𝗻𝗱𝗲𝗿𝘀? The core venture funding ecosystem remains stable - your SEIS/EIS raises can continue as normal. But exit planning and later-stage considerations need a rethink, especially for family-owned businesses and larger startups. The message is clear: while supporting early-stage innovation, the Treasury is looking for more contribution from successful exits and larger enterprises. Are you planning a raise in 2024/25? How will these changes affect your strategy? Reach out to one of the Greenbackers team.

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It’s always nice to see lower mid market PE firms successfully raising capital. Yes, fund raising since beginning 2023 has shifted quite strongly into much larger hands making fund raising harder for the smaller funds. However, this news from Apiary Capital LLP shows that the mid market continues to have a compelling investment story to tell and owner-managed companies in this space that are looking for capital to grow should be encouraged. #privateequity #midmarket Stuart Clowser Francesca Merlini https://lnkd.in/ezdjEw3D

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📊💡 Check out our latest blog analysing each party's policies on VC for the upcoming 🇬🇧 general election. Labour aims to boost VC investment and support start-ups, while Conservatives focus on creating investment zones and tackling late payments. Liberal Democrats, Greens, and Reform UK also have brought forth some interesting proposals. We will be updating this blog throughout the run up to July 4. Stay informed and stay ahead in the game! 🌟 #VentureCapital #UK Election2024 #StartUpSupport

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I could not be prouder to announce that I've joined the board at Furthr | B Corp™ Tikto Capital + syndicate have been invested in Furthr for 1.5 years over which time we've seen the business > 4x revenues which is a direct read-across to brilliant environmental outcomes for businesses like Aspen Insurance Group, Form3 and Gattaca + their employees too. I've watched the business grow, delight customers (*very* positive NRR), build a platform, make acquisitions and level up internally. What's more, they've done this with a business model that is core-profitable. Never have I come across a business which delivers on its promises to employees, customers, shareholders and the environment in such a way. A lss act. Here's to the next chapter Henry, Paul, Margot, James, Crawford, and team.

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Extremely worrying data about VC funding in the UK. While we all understand that taxes must go up to pay for the mismanagement of the Covid crisis by the then administration - allied to economic headwinds caused by Brexit - surely we must also protect the parts of our economy that can stimulate jobs and growth...ie - early-stage business?! In my opinion the most impactful and simple way to do this would be to increase the SEIS allowance to £1m from £250k and make it applicable to companies upto 5 years from their initial trading date from the current 3 year limit. This will bring a huge amount of fresh capital into the early-stage investment market...especially if the govt increases CGT overall. If we don't protect early-stage innovation we will never get out of economic trouble. #earlystageinvestment #venturecapital #SEIS #funding

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Private markets hold immense potential, yet they remain significantly underutilised in the UK. While private markets represent 15% of client assets globally, in the UK, they account for a mere 2%. This gap is an opportunity waiting to be seized. According to a recent NextWealth survey, several challenges keep advisers hesitant: 👉 Regulatory complexities create #uncertainty 👉 Concerns about #illiquidity make advisers cautious 👉 Valuation complexities add layers of perceived risk 👉 Accessibility barriers limit client engagement Even more striking, two-thirds of advisers never discuss private markets with their clients! The conversations that do happen tend to focus on accumulation, overlooking the potential of private markets as a diversification and growth tool across various strategies. We are at Mara, believe these barriers are not insurmountable. With the right structures in place, private markets can be simplified, accessible, and aligned with the needs of advisers and their clients. Our mission is to bridge this gap. We specialise in bespoke SPVs and feeder fund structures, enabling fund managers and advisers to access private markets efficiently, reduce complexity, and engage a broader range of investors. Through partnerships with different sponsors, we’re making private markets accessible in ways that weren’t possible before. The UK has a tremendous opportunity to embrace private markets as a mainstream asset class. By simplifying access and overcoming these long-standing challenges, we can unlock significant value for both investors and advisers. If you’re ready to explore how private markets could work for you, Drop me a message! #PrivateMarkets #InvestmentManagement #WealthManagement #FinancialAdvisors #AlternativeInvestments #PrivateEquity #VentureCapital #AssetManagement #CapitalMarkets #InvestmentSolutions #FinancialInnovation #InvestorEducation #PortfolioDiversification #UKFinance #MaraInvest https://lnkd.in/e4m2TnFg

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How did the UK venture fundraising market perform in Q1? According to Beauhurst data, there was £2.42bn in fundraisings invested across 492 deals; a mild 3.7% increase from Q1'23 but a 36% decrease from Q4'23 (by value). Last week I posted about the positive news stories in #ukvc with a few mega rounds announced, as well as ongoing interesting funding occurring at the #seed and #seriesa stage, however these statistics are a stark reminder that while there may be positive sentiment towards the #uktech sector for the longer term, we're still facing tough times. As a result, founders (and their existing investors) need to continue rigorously assessing their capital forecasts and needs, balance the conservation of cash with opportunities for growth, and double down on activities and markets that generate positive ROI in the short to medium term. As always - happy to speak to those in the ecosystem facing these challenges, or be challenged on views to the contrary! Link to report here: https://lnkd.in/ebCz-KXC #investment #startups #scaleups #seriesa #seriesb

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Startups aiming to secure venture capital often face considerable challenges. In the United Kingdom, however, certain schemes, namely the Seed Enterprise Investment Scheme (SEIS) and the Enterprise Investment Scheme (EIS), can significantly facilitate this process. Here are some key points for consideration: 🎯 SEIS and EIS accreditation schemes enhance the investment appeal of startups. 💰 SEIS offers a 50% tax rebate, and EIS offers a 30% tax rebate, significantly enhancing the financial appeal of investing in startups. 🛡️ These accreditation schemes mitigate some of the traditional financial risks associated with investing in new ventures. 🌉 Startups can effectively utilise SEIS and EIS to bridge the gap between themselves and potential investors. 🚀 By capitalising on SEIS and EIS accreditation, startups can significantly boost their chances of securing venture capital, thereby aiding their growth trajectories. Insights into how these schemes have assisted ventures are greatly beneficial for the broader startup community and are therefore welcomed and encouraged.

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September is gone. It came with quite a lot of interesting, yet under-the-radar news from FinTech and VC spaces. Here’s FinTech Wire 67 - our curated list of the most interesting recent developments: Outward VC has raised €60.5M to help early-stage FinTech founders. The UK VC firm will lead pre-series A funding rounds up to £5 million. Qonto, a French neobank, is expanding into four new markets - Austria, Belgium, the Netherlands, and Portugal. Qonto is also looking into M&A options. Apple is finally opening up its NFC payment access to third parties. This means banks, neobanks, and other providers will soon be able to leverage Apple’s pay technology. AKUR8, Frech InsurTech has raised €107.8 million Series C round. The company aims to accelerate the growth of its next-gen actuarial platform. Paybyrd chooses Mangopay to optimize merchant payment experiences. Mangopay’s customizable e-wallet and FX capabilities will boost Paybyrd’s payment services across Europe. Minna Technologies has been acquired by Mastercard. The company’s payment scheme services enable customers to manage subscriptions efficiently across the web. Bitlayer, Singaporean Crypto FinTech completes $9M Series A Extension. It will be spent majorly on product development, especially on the launch of Bitlayer V2. InDebted has completed a $60M Series C capital raise, valuing the digital debt collection company at $350M. Monese will be acquired by Pockit. Still pending the FCA approval, the newly-formed alliance aims to create a platform serving lower-middle-income customers in the UK and EU.  Fifth Dimension AI has raised $7M in Seed Funding. The company aims to scale the genAI solution and transform the document-heavy workflows in major real estate firms. Cariqa has raised €1 in Pre-seed funding. The startup plans to launch a consumer-facing EV charging marketplace. Full #FinTechWire 67 (September) is now out on our website: https://lnkd.in/d-uSPes6 

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7 of the most active seed stage funds in the UK. 💸💸💸 These are the funds that have been the most recommended to me for the B2B software space. SFC Capital - An SEIS fund that typically invests at Pre-Seed, Seed and Series A. From what I could see funding is usually between £100k and £300k at pre-seed. Octopus Ventures - Typically invests up to £1m for Seed funding rounds. Ascension - Typically invests between £500K and £5m. Fuel Ventures 🚀 - Check size of £1-3M at Seed stage LocalGlobe - Seed and Series A fund. Mercia Asset Management PLC - Mercia manages a number of different funds and can invest from Pre-Seed through to Series A with ticket sizes of up to £10m. Haatch - Invests between £300 - 800K at Seed stage. If there's any other seed stage funds you'd recommend please let me know in the comments 

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💡 First Look into the North’s Thriving Startup Ecosystem 💡 I’m mapping out the startup and investment ecosystem in the north of England, and my first hour of research has already uncovered some standout highlights: 1️⃣ £660M Boost for the North: The Northern Powerhouse Investment Fund II (NPIF II) is driving regional growth with a £660M, aiming to level the playing field for northern businesses and scale-ups. 2️⃣ Top Northern VCs: Leading firms like Northstar Ventures, Mercia, and Praetura Ventures are key players funding innovative startups across sectors. 3️⃣ Key Hubs Emerging: Leeds, Manchester, and Newcastle are seeing unprecedented growth, with FinTech and Healthcare startups leading the charge. The North is buzzing with potential, and this is just the start. Stay tuned for a more comprehensive deep dive into the region’s exciting evolution! 🚀 #Startups #VentureCapital #NorthernEngland #Innovation

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Maven Equity Finance leads £2m investment round in Bristol's Q5D Technologies 🪙👀 Investment company Maven Capital Partners has invested £500,000 in Q5D Technologies, which is pioneering robotic additive manufacturing, through the British Business Bank’s South West Investment Fund. This funding is part of a larger £2 million investment round, which aims to support Q5D's mission to revolutionise wire laying processes across multiple sectors, including automotive, aerospace, and consumer electronics. The investment will enhance Q5D’s capacity to scale its innovative 5-axis platform, which automates the complex process of adding wiring and electronics to 3D surfaces. This technology offers a faster, more efficient, and cost-effective alternative to traditional manual processes. Continue reading... https://lnkd.in/eFg_qzdK Kelpi, Blu Wireless, Covestus Healthcare Limited #finance #investing #funding #technology #innovation #millions #manufacturing #engineering #businessnews #businessintelligence

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📣 CALL FOR INVESTORS 📣 DEADLINE: 20 NOVEMBER 📣 £1.2bn in private investment unlocked / 150+ curated investor partners📣 The Innovate UK Investor Partnerships programme is open again for investor selection. The programme is specifically seeking funds that align with the mission to channel private capital into innovative UK companies, particularly in regions outside of London. There is a focus on sectors that will shape the future economy: healthy living & agriculture, net zero, digital technologies, and ED&I. The opportunity is open to foreign investors, and there is a particular interest in late-state investors (Series B+). I am especially interested in finding investors who are interested in joining this pool who have an interest in spatial computing, which falls under the digital technologies remit. FOV Ventures has already joined and made a successful investment through the programme. Further details can be found here: https://lnkd.in/gP2TySkc The recording from the investor briefing event can be found here: https://lnkd.in/g8R77zrF If you would like to discuss your suitability for the programme, please reach out. #investors #funding #investment #VC #venturecapital #angelinvestors #investornetworks #angelnetworks #grantfunding #businessgrowth #innovation #researchanddevelopment #seedfunding #preseedfunding #seriesA #seriesB #InnovateUK #spatialcomputing #digitaltechnologies

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167 out of the 184 UK FinTechs that gained (VC) investment in H1 were at seed to series A. But in the last 10 years, staggeringly, 2 in 3 UK FinTechs failed to get beyond seed. Despite the proliferation of the ‘founder support model’ - accelerators, content, platforms, investor communities etc. - there is still a deep-rooted issue with scaling. The issue is not due to availability of capital. So why aren’t we producing more companies that fit a venture model? #fintech #ukfintech #financialservices #founders #innovation

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New data shows UK VC funds raised significantly less in Q1 2024 compared to last year, causing a decrease in “dry powder”. VC funds raised £700m across 10 vehicles from January to March, on track for £2.8bn this year, down from £7.4bn in 2023. Smaller firms are taking more LP capital, and dry powder decreased as deal activity stayed robust but fundraising struggled. Despite this, Dealroom reports $25bn raised over three years, indicating some dry powder remains. VC investments totaled £2.3bn in Q1, a decrease amid a challenging macroeconomic environment. UK private equity funds raised half of 2023's total in Q1, with notable closes from Permira and Apax. London led with £87.7bn in VC investment from 2014-2024, followed by Cambridge (£6.8bn) and Oxford (£4.4bn). #UKTech #StartupFunding #Innovation #TechNews #HealthTech #Fintech #ClimateTech #Cybersecurity #EdTech #EnergyTech #Startup #Fundraising #uk

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