K Fund has another €70M to back early-stage Spanish startups and is launching a pre-seed program

K Fund’s Jaime Novoa discusses early-stage firm’s focus on Spanish startups

Earlier this month, Spanish early-stage enterprise capital agency Okay Fund formally launched its second fund, which sits at €70 million, up from €50 million the primary time round.

Targeting Spanish startups with a world outlook, the seed-stage agency plans to take a position from €200,000 to €2 million, writing first checks in 25-30 firms. Meanwhile, a portion of the fund may also be put aside for follow-on funding for probably the most promising of its portfolio.

Described as enterprise model- and sector-agnostic, Okay Fund at present has a mixture of B2B and B2C firms in its portfolio throughout all kinds of sectors, akin to journey, fintech, insurtech and others. They embrace on-line journey company Exoticca, HR software program Factorial, insurtech startup Bdeo and Hubtype, a conversational messaging tech supplier.

I caught up with Okay Fund’s Jaime Novoa to delve deeper into the agency’s funding remit, how the Spanish startup and tech ecosystem has developed over the previous few years and to study extra about “Okay Founders,” the VC’s new pre-seed funding program.

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TechCrunch: Okay Fund’s first fund was introduced in late 2016 to again startups in Spain with a world outlook at seed and Series A. At €70 million, this second fund is €20 million bigger however I collect the remit stays broadly the identical. Can you be extra particular on the subject of cheque dimension, geography, sector and the varieties of startups you search for?

Jaime Novoa: We’re each agnostic by way of enterprise fashions and industries. Since our focus is, for probably the most half, Spain, we don’t imagine that the Spanish market is large enough to construct a vertically targeted fund, both by way of enterprise mannequin or sector.

With our first fund we invested in 28 firms, with a barely bigger variety of B2B SaaS firms than B2C ones, and throughout all kinds of sectors. We do have a little bit of publicity to journey and fintech/insurtech, however that’s as a result of we’ve discovered a number of fascinating firms in these areas, not as a result of we proactively mentioned, “let’s put money into fintech/journey.”

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In phrases of verify sizes, the core of the fund can be to make the identical kind of investments as in our first fund: first cheques from €200ok to €2m after which ample capital for follow-on rounds. We’ll most likely do an analogous variety of offers in comparison with the earlier fund, however we wish to have further capital for follow-on functions.


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