European startup founders have something to celebrate this week, as the venture capital firm Playfair Capital announced the launch of a new pre-seed fund, with a total amount of $70M. The new fund aims to support early-stage companies in Europe, providing much-needed capital for talented entrepreneurs to turn their business ideas into reality.
Playfair Capital has an impressive track record of funding startups, having previously backed companies such as Deliveroo and CityMapper. The firm is now expanding its presence in Europe, with the launch of its pre-seed fund. Speaking on the decision to launch the fund, Benjamin Southworth, the Managing Partner of Playfair Capital, said “We are particularly excited to enable ambitious founders to raise the maximum amount of capital at the earliest stages.” The goal of the fund is to provide long-term capital to startups, with the aim of helping them grow and reach their potential.
The fund is taking a “high conviction, low volume” approach to investing. This means that they will invest in fewer companies and with larger sums of money, as opposed to making many smaller investments. According to Southworth, this is a better approach, as it allows for more resources to be dedicated to each individual startup.
The fund will focus initially on startups based in Europe, with a focus on those that are developing innovative products and services. Playfair Capital will be supporting the development of early-stage startups in sectors such as fintech, ecommerce and healthcare, among others. They are also aiming to be a bridge between Europe and the rest of the world, connecting European startups to international investors.
The launch of the new pre-seed fund is a great opportunity for founders in Europe, as it will provide much-needed capital for them to develop their ideas and bring their business to life. It demonstrates the continuing importance of venture capital in the region, and the potential for startups to succeed in the long-term.