Nordic Eye Wants to be a Full-Service Venture Fund
The venture fund Nordic Eye has acquired the share majority in well-established English Outsourced Sales Distribution Company to be able to offer the fund’s portfolio companies a full sales and marketing package.
The Danish venture fund Nordic Eye has acquired the share majority in the English sales company Double Six, who will now change their name to Nordic Eye Sales Accelerator.
The acqusition is uncommon for a venture fund that focuses on investing capital in startups. The two founders of Nordic Eye, Peter Warnøe and Lars Tvede, however, have experienced time and time again that the fund’s portfolio companies struggle with sales. An experience that they can recognize from their own background as entrepreneurs.
We want to ease the load for our portfolio companies, so that they can focus their skills where they are best
“New companies don’t have a lot of time, money or sales experience. In most cases it’s a race to the finish line to reach their targeted sales, and then they have an unhappy investor demanding an answer for why their sales numbers are so bad. Investors shouldn’t be like that,” says Lars Tvede, explaining why their venture fund has chosen to buy into a sales company.
“We want to ease the load for our portfolio companies, so that they can focus their skills where they are best. That’s why we also have plans to buy the equivalent within the field of web marketing. That way we can help our portfolio companies to succeed both in sales and marketing,” says Lars Tvede.
Nordic Eye has to date had a close relationship with the English sales company. The venture fund has used the company as a pressure test for startups the fund has considered investing in. If the sales company gave the startup a thumbs up, Nordic Eye knew that the startup had a good amount of sales potential and was a good investment.
According to Lars Tvede Double Six is a successful sales company in its own right and has, for one client, found 340 partners with sales totaling over 540 million kroner. In the future the sales company’s work will focus on startups that Nordic Eye has in its portfolio. Nordic Eye does not wish to disclose the price for the acquired sales company.
Lars Tvede believes that having expert sales knowledge in house will strengthen Nordic Eye’s foundation for investments, and will, at the same time, create value for the portfolio companies with a hands-on boost in sales.
Many of the startups that we invest in haven’t struggled to find investors
Companies in Nordic Eye’s portfolio will be able to get sales help within the English market, and Nordic Eye plans to expand the help given to the Nordic Markets. Peter Warnøe mentions that, in the future, the sales company will also help startups at Nordic Eye with their sales in Asia and the United States.
The acquisition of Double Six supports Nordic Eye’s wishes of becoming a venture fund that helps its’ portfolio companies grow with more than just capital.
“Many of the startups that we invest in haven’t struggled to find investors. Offering professional sales help, allows us to be considered in funding rounds that would not be possible before,” says Lars Tvede.