STING has established a new investment company, SPARK, which, starting this fall, offers all companies admitted to the accelerator program STING FastForward an investment of approx. 28 000 Euro (250 000 SEK). The venture capital comes from over 20 reputable business angels who are coming together to invest in new Internet/media companies.
The formation of SPARK makes STING the only accelerator in the Nordics that, like Y Combinator in the U.S., invests in companies that are admitted to the accelerator. In addition to the 28 000 Euros, the companies in the FastForward program get access to the approx. 20 highly qualified angel investors who invested in SPARK. The business angels have the opportunity to meet companies before other investors and get to know them directly at the start of the program in the premises of SUP46 in central Stockholm.
Some of the angel investors who have invested in SPARK are:
- Kristofer Arwin, founder of Pricerunner;
- Hampus Jakobsson, co-founder of The Astonishing Tribe (TAT);
- Magnus Bergman, investor in Prezi and TrueCaller;
- Erik Byrenius, founder of OnlinePizza.se;
- Carl Palmstierna, one of Sweden’s most active business angels
Pär Hedberg, founder and CEO of STING (Stockholm Innovation & Growth) says: “We know that entrepreneurs who have come a long way, but not yet has a finished product or service to present, often have trouble finding capital. It is known as the “death valley”. We do not want the companies at STING to devote all their time to seek money – they should develop their business. Therefore we have taken the initiative to SPARK”
SPARK may also invest in other selected STING companies in Internet/media/ICT, and plans to invest in a total of 15-20 promising startups during the 12-month period SPARK will invest.
- The investment from SPARK helps startups to focus on the business instead of chasing capital. This opportunity is something I want to contribute with and give companies the best chance to succeed, which is why I invested in SPARK, says Erik Byrenius, founder of OnlinePizza.se.
The business angels in SPARK are entrepreneurs themselves with knowledge in the Internet/media industry. The angels can make their own direct investments and engage more deeply in the companies where they can make a difference, both through its own expertise and through its network.