Having already supported FinTechs such as FintechOS, LAUNCHub Ventures is gearing up to support more European startups on the back of its new €44m fund.
The new fund, which is Bulgaria’s biggest to date, could grow to €70m and will be used to invest in approximately 25 different early stage startups across southeast Europe.
The new fund will focus on seed and Series A round for startups operating in the B2B, SaaS, FinTech, PropTech and big data sectors.
However, the size of the fund and its prime position, hints at how underfunded the region is, especially considering that there are between 250 and 280 million people in the region, generating $2.5trn in GDP, according to Todor Breshkov, LAUNCHub’s founding partner.
“It’s ridiculous to have such a large region where the largest fund is €200m,” he told Sifted.
He added, “There’s a clear gap at the stage where we’re trying to operate, where you already have some kind of a product on the market but you still have to prove the product market fit and develop the repeatability of sales.”
That does not mean that Bulgaria is completely void of FinTechs. The aforementioned FintechOS is one, with Paynetics, Stikcredit and phyre being three others that picked up funding in 2020.
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