We started Standout Capital with the mission to support growth-stage, outstanding companies run by great teams. Along the way we have got questions about our investment firm, strategy and what we are looking for. This blog is meant to provide the basic facts about Standout and our approach to investing.
What is Standout Capital?
Standout Capital is a private firm investing in Nordic-based growth companies with strong positions. Our purpose is to help exciting businesses run by great teams realise their full potential.
What do you invest in?
Growth-stage companies, typically with revenues of 50-100 million SEK (5-10 MEUR) and proven profitability. We favour good growth and scalable business models, enabled through technology.
Do you invest in seed and early stage?
No. Standout is a growth capital fund, investing in later stages.
Do you invest all over Europe?
Standout has a Nordic focus, we invest primarily in Sweden, Finland, Denmark and Norway. As an active owner we want to be close to our companies.
Where are you based yourself?
Our office is in Stockholm, Sweden.
What ownership stake do you normally seek?
Our goal is to take responsibility as a main owner and our ownership will typically be 30-70%. We will usually be the largest owner, but not always a majority owner. We work in partnership with founders and other owners.
What is your investment per company?
We usually want to invest 50-150 million SEK (5-10 MEUR) per company during our ownership period, which varies between 4-7 years.
Will you invest in a company by buying shares from existing owners?
Yes, we are interested in funding growth by providing new capital, as well as buying shares from existing owners, for example from passive owners.
How do you help companies to grow?
We are an active owner and partner, supporting companies with capital and operational decisions like expansion, sales & marketing, key people recruiting, digital strategy, acquisitions and ultimately exits. We work from the board of the company, together with management and the other owners.
How do you differentiate yourself from other investors?
There are several success factors that we think are key to maximise a company’s growth. We bring technology expertise to understand tech businesses, operational experience from building our own companies, we have a “both sides of the table” perspective (combining the views of both entrepreneurs and investors), strong global and local networks, and think we also add the ability to unlock companies’ full potentials.
Who are the founding team?
Standout was founded by Klas Hillström, Fredrik Arnander and Erik Wästlund. The co-founders combine experience in investing, entrepreneurship, operations and technology, having made 30 investments, starting 10 technology companies and serving on 30+ boards. Each partner has been the CEO of a technology growth company.
Do you have an overall mission?
Yes, our main mission is to support outstanding companies run by great teams. We believe in businesses that can capitalise on the rapid digital and technology transformation in business and society. We think this will be one of the main drivers for change in our lives during the coming decades. Assuming we do our job well, we will create value for the companies we invest in, and also for the investors in Standout Capital.
We hope this short Q & A was useful. If you have any more questions about Standout, or are looking for a partner in growth, please contact us. Look forward to staying in touch!
Originally published on Standout Capital.