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T=The Berlin-based VC known as Earlybird, which has funded various German and European startups is expanding its reach in Europe with a team and adjunct fund based out of Paris
FREMONT, CA: According to most yearly European surveys, the timing seems favourable as France is consistently ranked as Europe's third largest startup ecosystem (after the United Kingdom and Germany), and investment in French businesses increased last year. Last year, startups raised more than €11 billion, which is more than double the amount expected in 2020. Part of the growth has come from venture capitalists in the United States entering an industry that was previously undervalued and underfunded. In 2021, foreign investors provided 76 percent of the funds raised by French startups.
Due to Earlybird's "family of funds" structure, it funded the Earlybird Digital East Fund, a "cousin" fund in Turkey. With the "Earlybird Digital West" fund, it is now doing the same in France. The fund's principal would be Salomon Aiach, a former executive at Facebook in France and Goldman Sachs in New York. Cécile Treboit, an expert in crypto, web3, and gaming businesses, joins him. The fund is likely to support French entrepreneurs with initial investments ranging from €1 million to €10 million, with an emphasis on early-stage enterprises.
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Earlybird recognised that France had simply become the place to be for digital investors from all over the world, and decided to go all-in by forming a local team to support creators as early as the seed stage. With Brexit and the demand for rapid internationalisation, Germany has become the first European market for French entrepreneurs looking to expand internationally. Earlybird offers the people, the connections, and the game plan to assist almost anyone to succeed. As a pan-European early-stage fund, experts regard closeness to local founding teams as one of the most important factors in ensuring that teams get the assistance they need from their investors. It is also assumed that, with Germany, France has one of Europe's most dynamic and fast-moving innovation ecosystems. Experts are also anticipating bringing a combined 24 years of venture capital experience to France and collaborating with local young tech professionals.
The background to this is that European venture capital is becoming more competitive as it feels the heat from both U.S. VCs and other European VCs who use remote working and deal-making to suck up transactions well outside their territories.
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