Beacon Capital

[Below is an excerpt from the Beacon quarterly LP commentary where we look at the macro conditions/trends of the private and public markets] Market Review: Cast your vote! With Europe in the midst of elections (UK, France and European Union), the global asset allocators are divided as to whether Europe is a hedge or a hazard in their portfolios! We love the dilemma — it creates price arbitrage! In the VC world, the Europe vs. US comparison is a tale of two ecosystems. EU VC continued to contract in Q1 ’24 leading to potentially attractively priced opportunities where the US seems to be entering a new cycle of expansion with the inevitable side-effect of richer valuations. Key Takeaways: Softening in Europe - quarterly VC capital invested down to £4.5bn from £6.0bn the previous quarter — extending the 6 quarter trend of contraction in VC investing. Bumper Q1 in US - This is the highest quarterly investment flow for a year at £22.0bn, up from £15.4bn the previous quarter. Deal Counts -  were generally up across both EU and US: the exception being European Seed and Angel, where deal counts were at historically low levels. European valuations showed a downward picture QoQ: Seed and early stage VC valuations were flat, later stage VC showed a 26% drop, and Angel a 3x increase (!) — although the deal count in this category was extremely low and likely misleading too. Modest US valuation growth QoQ: early stage VC (+9%) and later stage VC (+15%) — whilst US Angel and Seed valuations remained flat QoQ.

Happy Friday! And what better a way to start the day then share a deep posting on our journey in machine learning and the impact it can have a deal sourcing. Check out this article written by our recent intern Dimitris Georgakopoulos who hammered on data, alogo's and creativity to release a new version of one of our favorite internal tools, the "Beacon Opportunity Readiness Index" (BORI) . Sure - there are lot of commercial tools on the market to make up the ever-elusive VC tech tech stack we all vie for - but if u want true edge - sometimes you just gotta go internal and lead from the front! Enjoy the read!

🎓🚀 Empowering Tomorrow's Innovators: Dimitrios Georgakopoulos's Success Story at Beacon Capital! 🎓🚀 We are thrilled to announce the successful completion of our winter internship program by Dimitris Georgakopoulos! Dimitrios, a talented engineering student with a passion for innovation and a keen eye for emerging trends, has truly impressed us with his dedication and AI/ML expertise. During his time with us at Beacon Capital, Dimitrios embarked on a deep research study and AI model development focused on identifying rapidly growing companies in Europe's B2B enterprise software space. His meticulous approach and analytical prowess have resulted in invaluable insights that will help shape our data driven approach to deal sourcing. Dimitrios also published a thought-provoking article on venture capital investment trends, which he recently published on Medium. In this insightful piece, Dimitrios provides an in-depth analysis of the current landscape, shedding light on key opportunities and challenges for USA/EU investors in the software sector. https://lnkd.in/e86Y9kxP We are incredibly proud to have had Dimitrios as part of our team, and we look forward to sharing his AI model research project with you shortly. His dedication, talent, and commitment to excellence exemplify the spirit of innovation and collaboration that drives us here at Beacon Capital! Join us in congratulating Dimitrios on his outstanding achievements, and stay tuned for more exciting updates from our internship program! 🚀👩💻 #Beaconcapital #VentureCapital #SaaS #Devops #Enterprisesoftware

Last month, Beacon's Maria Dramalioti-Taylor took to the Investor Stage #LEAP24 for a fireside chat alongside invygo financial maestro, Dunja Poetschke, CMA. Together, they navigated the world beyond Silicon Valley, exploring what emerging markets have to offer. 🌍✨ Let’s dive into the highlights! 🌏 What makes the emerging MENA region so attractive for VCs?   >Rapid Growth: 📈 Think young, fast-growing populations and booming urban centers fueling unprecedented economic growth. It’s where the action is! >Tech Leapfrogging: 💡 These markets skip steps and jump straight to the future. Mobile banking? It’s yesterday’s news in most emerging markets! >Youthful Vigor: 👥 A burgeoning young workforce equals a hotbed for consumption and innovation. The “demographic dividend” here is real 🌍 How are these startups different compared to Silicon Valley? >Resourcefulness Over Resources: Without heaps of venture capital, startups in emerging markets are masters of making far more out of less >Solving Real-World Problems: From improving access to clean water to revolutionising mobile payments, these startups are tackling the essentials >Understanding Local: They're not just copying and pasting business models; they're adapting and innovating to meet needs in their dynamic environments 🌏 Is launching the same as Silicon Valley? Nope, it’s worlds apart ✨ Silicon Valley: > It’s a high-speed race. Standing out? You’ll need a rocket ship or something truly disruptive > The infrastructure's so slick, you can slide from idea to scale-up. But you're not the only one sliding! >Customers have seen it all. They want the moon, delivered with a bow, by tomorrow. High stakes, high rewards MENA: > You’re MacGyver. Innovation is critical. You're solving real, tangible problems with whatever you've got > Cash flow is more like a trickle. Bootstrapping isn’t just a strategy; it’s survival. It breeds creativity, right? >“Regulatory environment” is a fancy term for “expect the unexpected.” Flexibility is your best friend 🌏 MENA's Transformation: A Glimpse to the Future 🚀 > Beyond Oil: From Saudi Arabia's Vision 2030 to Dubai's global tech hub ambitions, the focus is shifting towards tourism, renewables, and tech > Green Revolution: MENA is embracing sustainability to secure its future > Digital Dawn: From  fintech to e-health and NEOM-style smart cities, MENA is not just catching up; it's aiming to lead It was an incredible experience to attend LEAP 24 again, and a privilege to participate on stage with Dunja Poetschke, CMA. Massive shoutout to the amazing conference crew for rolling out the red carpet especially Sheryl Carvalho and her wonderfully helpful team - you truly know how to design an epic experience and deliver top-tier Saudi hospitality! See you next year at LEAP25!!! #LEAP24 Investor Stage #IntoNewWorlds  #VentureCapital #EmergingMarkets #MENAEvolution #EconomicDiversity #TechInnovation #SustainableFuture