Round2 Capital invests a total of Euro 4 million in Vainu
Vienna/ Helsinki — Round2 Capital, the leading European revenue-based finance provider, is further expanding its commitment to the Nordic tech market by investing a total of EUR 4 million in the Finnish SaaS company Vainu in several tranches. The investment fund, based in Vienna, Berlin and Stockholm, has already been working with Vainu since 2019 and has provided both revenue-based finance and equity in the current round. With the fresh capital, Vainu was able to transform its business, doubling its annual average customer value (ACV) while systematically moving away from the small and standalone customer segment.
Vainu is a leading software-as-a-service (SaaS) provider that offers its customers an enterprise information platform that enables them to achieve comprehensive sales and marketing personalization through real-time enterprise data.
The Helsinki-based company currently employs 130 people and has already partnered with Round2 Capital in 2019. The fast-growing European investment fund, which supports the growth of leading SaaS companies through revenue-based financing and selectively with equity solutions, has since invested a total of €4 million in Vainu.
“Over the last three years, we have invested a lot of time and effort in building solutions that are needed by mid-market and large customers as well as large enterprises. At the end of the day, it comes down to the reach and quality of the data and our ability to deliver proprietary information in a modern way. Sometimes it’s our native CRM connections, sometimes it’s our online platform, and sometimes it’s the APIs we need. A good example of our capabilities in the enterprise space is our new Vainu developer portal that we are launching today,” explains Mikko Honkanen, one of the co-founders of Vainu.
“Vainu plays a critical role in enabling sales and marketing teams across Northern Europe to keep their customer data up-to-date and ready to use. I am convinced that the financing structure offered by Round2 fits very well with the needs of the company and creates a solid basis for the next phase of Vainu’s development,” said Jan Hillered, Founder and Managing Partner of Round2 Capital.
Forecast: 40-fold growth in revenue-based financing
Sales-based financing has been growing rapidly for years and is regarded as a fast and comparatively simple form of investment that enables companies to expand sustainably without having to dispose of company shares. According to a recent study by Allied Market Research, the market for revenue-based financing is expected to grow 40-fold over the next five years, to more than $40 billion. An important factor for this is that a new market is developing in Europe for forms of financing that represent an alternative to traditional equity. Revenue Based Financing is an innovative form of financing that takes advantage of the unique characteristics of software companies, recurring revenue and intangible assets.
Vainu is building an enterprise data platform that helps B2B companies personalize sales and marketing at scale. The company collects and analyzes a vast amount of structured and unstructured online information and makes this real-time business insight easily actionable directly within its customers’ existing systems.
Headquartered in Helsinki, Finland, the company launched in 2014 and now helps more than 10,000 sales, marketing and data professionals better understand their customers and prospects and create targeted business profiles and segments.
About Round2 Capital
Round2 Capital is a fast growing European investment company with offices in Vienna, Berlin and Stockholm. It is a strong partner for European companies with digital and sustainable business models. Headquartered in Vienna since 2017, Round2 Capital is the pioneer of revenue-based financing in Europe. The company is active in several European countries and has a focus on Germany, Switzerland, Austria and Scandinavia. To date, Round2 Capital has invested in 23 companies. With the investment in Vainu, Round2 Capital further expands its market position in Finland. www.round2cap.com