Although the last 50 funding announcements have taken a little longer than usual, there are some very positive aspects to them, primarily the location of the companies that have raised investment recently. Not only have all 5 Nordic countries seen their companies raise money recently, but 17 different cities were represented in the last 50 investments, as location diversification continues to increase in funding across the region.
- While impressive, this is by no means a new phenomenon. If you bracket the last 250 investments into batches of 50 then we can see that this diversity in where investors are placing their money geographically could certainly be considered a trend.
- As short back as 2014, it was rare to see any investments happening outside of the capital cities, with a few exceptions to the rule such as Malmo.
- Therefore to see 17 different cities represented across the last 50 investments certainly provides us with a progressive picture.
- It also demonstrates that 1) Investors are looking at and present in some of the smaller, less obvious cities and 2) That clearly there is an opportunity for more investors to be looking outside of the capitals and more established hubs for opportunities.
- This overspill from action in the main hubs typically happens when an explosion in capital and competitiveness occurs in these ecosystems, meaning investors begin to look elsewhere for opportunities. In general, this is a very positive development in the wider picture for an ecosystem’s health both in maturity of companies and investors.
- This data also lends itself well to the sentiment that these days you can build companies anywhere, even in remote Nordic wildernesses it appears.