LHoFT is valuable because it allows a real synergy and permanent contacts between the fintech ecosystem and the VCs.
In this interview, we speak to Stan Jeanty, an associate at LHoFT partner Volta Ventures, an active Fintech investor in the BeNeLux region. We’ll share their main investment focus, as well as some of Stan’s own views on trends and themes in the world of Fintech and Venture Capital.
What type of investments/segments are you interested in?
At Volta Ventures, we specialize in investing in B2B SaaS solutions across various industries. Personally, I’ve developed a particular interest in FinTech and PropTech. I also find blockchain and Web3.0 to be very interesting, but these technologies still lack solid go-to-market strategies. I have come to understand that every industry has its own unique set of challenges and characteristics that are valuable to learn from.
In your opinion, what are the current biggest trends in benelux vcs industry?
Despite the current economic climate, were many investors are taking a cautious approach, waiting to see who will make the first move, there are signs of activity beginning to pick up again. When attending events, we can still see that VCs are actively looking for great companies to back. There is still enough money for good projects.
Start-ups were, in my opinion, a bit ”spoiled” during Covid, benefiting from high valuations that kept the ”unicorn dream” alive. The “x multiple” factor varied notably between 2020 and now, from 15+x during covid, to 6x today. In this sense, it is not always easy to adjust entrepreneurs’ expectations and lower the [valuation] bar.
VCs have already shifted to the new market; start-ups need to take note of what is happening and follow suit. We have seen an increase in bridge rounds in recent months, indicating that there will likely be a lot of start-ups seeking external funding in Q2 and Q3 of this year.
What changes do you hope to see in the near future?
I hope to see more realism in the market. Pragmatic valuation and expectations will help make the conversation easier between VCs and entrepreneurs. Ambition is good, great even, but as an entrepreneur, you can’t keep expecting very high growth and crazy valuations in a downturn market.
What are your tips for fintech startups looking for funding opportunities?
Start-up founders need to ask for feedback and keep the conversation with VCs going, even when they don’t need funding. They should keep the relationship alive and check in at least twice a year, depending on the evolution of their company.
I also think that in this regard, LHoFT is valuable because it allows a real synergy and permanent contacts between the fintech ecosystem and the VCs.
Investor profile:
Stan Jeanty
Profession: Investor
Passions: avid cyclist, marathon runner and kite surfer (in summer).
About Volta Ventures:
Volta Ventures provides seed and early-stage venture capital for internet and software companies in the Benelux region.
Fund size:
- Volta I: 55M€
- Volta II: 70M€
Ticket size:
400K€-2M€, sweet spot around 1M€
Fintech backed:
- NextGate Tech
- Blanco
- Yields.io
