Ventech is a global VC with offices in Paris, Shanghai, Munich, and Helsinki. Founded in 1998 in France, the VC opened its office in the Bavarian capital in 2013. Some successful Munich-based startups in which the firm has invested include Speexx, FinTecSystems and the European Games Group.
Please introduce yourselves briefly!
In Europe, we are currently investing in our fourth fund, which has a volume of €110 million and is focused on Series A. Since its inception, Ventech has invested in more than 120 companies in Europe, China, Russia, and the US. Our partnership has been investing for almost 20 years and brings together extensive hands-on experience from all investment cycles, extensive international expertise, and a strong network.
Ventech investments that were sold in 2015/2016 include Withings (IoT/Nokia), StickyAds (Adtech/Comcast) and Webedia (Media/Fimalac).
Focus on Series A – across industries
What do you prefer to invest in?
Ventech invests in high-growth technology companies, both B2B and B2C. The sectors include internet, media, e-commerce, mobile, IoT, big data, software, and communications infrastructure.
We like entrepreneurs who develop high barriers to market entry. These can arise, for example, in the form of network effects, technology/IP, partnerships, proprietary customer access, or deep sector expertise.
In addition, we generally rely on founders who have relevant experience for their business and who build a complementary and strong team.
What kind of startup would you never invest in?
We try to avoid undifferentiated business models. Companies without traction—i.e., growth—, in very small niche markets, or with high capital inefficiency are not our focus.
“We are there when we are needed”
Do startups have to be afraid that you will interfere too much?
We want to support entrepreneurs with our experience and act as a good sparring partner on the crucial issues that arise in business development. We can often contribute our experience and best practices from other investments.
But ultimately, this always refers to important decisions and rarely to operational details, which we generally see solely in the hands of the founders. In other words, we are there when we are needed and can generate real value for the company.
Ventech provides particular support for internationalization
At what stage do startups ideally approach you?
In the series, we're looking for companies that want to raise €1 million to €7 million and can demonstrate initial customers and revenues with strong growth. Growth can be commercial in nature, but in B2C models, it can also be represented by strong user numbers (MAUs, DAUs, installs, etc.). We support entrepreneurs whenever possible during this phase, especially with the internationalization of their business.
How long does it take from the first contact to the conclusion of the contract?
A Series A round usually takes at least four weeks, although the average is closer to two and a half months. In earlier stages, such as seed stages, we often invest within a few weeks.
Reputation is crucial
Tell us the knockout criteria for the pitch!
There's no specific co-criterion, but it's always good if founders know their numbers well. Reputation is crucial in our industry, and entrepreneurs who exude competence through transparency are not only highly valued but also authentic.
Munich — stop comparing yourself to others!
What is the Munich startup scene doing right from an investors' perspective? What could it do better?
We think the Munich universities and colleges' support for entrepreneurship is great and appreciate the excellent training they offer for engineers, computer scientists, and business economists. The numerous and growing number of meetups and hackathons, where many different people meet, demonstrate how dynamic the scene has become.
The state government also supports startups at the political level with funding programs, which we naturally appreciate very much. Munich should continue to pursue its own path toward digitalization and stop comparing itself to other cities.
Last but not least: Who do startups approach when they want to talk to you?
Just talk to us at conferences and events, or send us a message via LinkedIn or our website. Of course, it's always best to come through someone we already know—like an angel investor or an existing portfolio company.
