Capchase launch new European HQ on the back of making $200m available to UK startups in six months
Capchase, a leading provider of non-dilutive capital for recurring-revenue companies, has announced it will open a new European HQ in London. The news follows a surge in demand for Capchase’s services with more than $200 million already being made available to UK startups.
Capchase expects its London team to grow to 15 employees in the next two months with Alex McCracken their first major hire.
The move will help consolidate Capchase’s rapid growth across Europe. In the past two months alone it has expanded to the Netherlands, Belgium, Denmark, Sweden and Finland. The European market now accounts for 25% of Capchase’s business, having served hundreds of companies since launching in the region in mid 2021.
Capchase estimates that 15% of the capital it has provided has been to female and minority-led startups. In contrast, only 2-3% of venture capital deals struck in 2021 went to female and minority-led startups.
Capchase provides growth capital to a range of leading companies in the UK, across enterprise and SMB SaaS, as well as consumer subscription businesses. Clients include companies like Bankable, Craft Gin Club and more.
Alex McCracken has been appointed as Head of Venture Relationships and will lead Capchase’s relationship with venture capital firms and clients from the new London office.
Alex joins Capchase from Silicon Valley Bank where he spent over a decade as Managing Director for Corporate and Venture Relationships in Europe. As one of the early members of SVB’s UK team, Alex was instrumental in building out Silicon Valley Bank’s venture debt offering and presence in UK and Ireland, securing over 1,000 new technology clients for the bank and originating more than £500million in credit facilities.
Prior to this, Alex was Investment Manager at TTP Ventures, a $50m venture capital fund. Earlier in his career Alex co-founded TISS Ltd which developed and sold fuel efficiency systems for road haulage vehicles. Alex grew TISS in Europe and USA before making a successful exit by selling his shares to a Family Investment Office.
Henrik Grim, MD of Europe at Capchase, said: “Expanding in the UK and appointing Alex is the latest in a series of major milestones for Capchase in an incredibly short period of time. Our new London HQ will give us an even greater presence right at the heart of Europe’s tech and financial industries.
“Alex’s considerable experience and network in the venture capital industry and as an entrepreneur will enable us to increase our footprint, provide a launchpad for further expansion, and enable more founders to grow faster without dilution.
“It is also worth noting that 15% of the funding we have made available has gone to founders from underrepresented groups. While there’s still much more work to be done, we’re delighted that this is significantly higher than the averages for VC deals.
It shows that the Capchase model opens the door to many more founders to secure capital.”
Alex McCracken, Head of Venture Relationships at Capchase, said: “Being a former entrepreneur, VC and then a lender has given me experience on all sides of fundraising. Since Capchase is half the cost of venture debt and requires no security or warrants, I can see why demand for Capchase’s range of non-dilutive funding products is so high. I look forward to helping drive our growth even further in Europe.”
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