For business to business marketplaces, sectors that have historically been technology laggards but where technology can create significant industry disruption; for consumer to consumer marketplaces, sectors where both social and traditional media can be used to radically reduce customer acquisition costs; and for business to consumer marketplaces, sectors where scale economies are demonstrable and create substantial switching costs.
Using data, analytics (predictive or otherwise) and/or machine learning to radically improve customer experience and business decision making. In addition, software that radically improves the functioning of data center and/or general IT ops staff.
Any application that has potential for strong viral adoption, long lifetime value, and clear paths to monetization.
Businesses where distribution channels converge, such as web plus mobile or offline and on-line; where repeat purchase rates are demonstrable, and customer lifetime value is significantly higher than customer acquisition cost; and where global brands and brand recognition can be built.
Where there is convergence between off-line, on-line, web and mobile.
Our areas of focus and expertise :
1. Digital Media
3. Enterprise Software
5. Mobile Applications
DN Capital invests in seed stage, Series A and Series B rounds. Selectively, we also invest in bootstrapped companies that have already reached sustained growth.
We generally like to go in early, often times writing seed checks as low as €250,000 in very young businesses to help craft the DNA of the company. We then increase our financial support for the company as it finds product-market fit, expands internationally, and becomes a global leader.
What excites us is finding a great team, in a massive market, with a product that is gaining rapid traction – that’s a winning recipe for us!
“We are a primarily European fund- 80% of our deals will be in Europe, with an emphasis on Germany and the UK as well as selective investments in France and the Nordics. The remaining 20% will be in the US, mostly Silicon Valley.”
“It is not by chance that Steve Schlenker, our Managing Partner is based out in the US. We find that our US presence allows us to a) gain a competitive advantage in winning deals in Europe as we can play an active role in helping expand companies globally and at the same time, is crucial when it comes to supporting and facilitating the exit process – which are still largely to US acquirers.”