Notion Capital Closes Third Fund with $150 Million, Expands Opportunity for European Enterprise Startups
The scale of the opportunity in cloud computing and SaaS was underlined today with the news that Notion Capital has closed its third fund with a first round of $120 million, with a final close of $150 million expected. This achievement brings funds under management to over $300 million, making Notion one of the most significant players in the European venture capital market.
The Story Behind Notion Capital
Notion was founded by partners and brothers Ben and Jos White in 2008 after they sold MessageLabs to Symantec for $700 million, one of Europe’s largest B2B SaaS exits. With their extensive experience in the industry, the duo set out to create a dedicated fund focused on supporting European enterprise startups.
A Leader in B2B SaaS Investing
Notion Capital has established itself as the biggest dedicated B2B SaaS fund in Europe with 33 investments to date. Its portfolio includes some of the hottest SaaS companies in Europe, such as Adbrain, Brightpearl, Currency Cloud, DueDil, IOCS, and MOVE Guides.
A Huge Market Opportunity
The global public cloud market size is around $150 billion, with a 17% CAGR (Gartner). SaaS hit $23 billion in 2013 out of $134 billion spent on enterprise applications (IDC), and SaaS is predicted to be $51 billion by 2018 (IDC).
Co-Founder Jos White’s Perspective
"We think Enterprise SaaS is so big and it has really only just started. Our message to B2B startups are that we are real specialists in that. We have first-hand knowledge and feel that we can be much more than just money. There’s entrepreneurial empathy having sat on the other side of the table."
Notion Capital is looking for opportunities that can turn into real category leaders on a global scale, with a focus on disruption around the world.
Competition from Other VCs
Yes, there are plenty of other VCs focused on SaaS in Europe: Dawn Capital (UK), Episode1 (UK, half their portfolio is SaaS), MMC Ventures (UK), Mosaic Ventures (UK), Point Nine Capital (Germany), and Paua Ventures (Germany). Not to mention the heavy hitters at Index, Accel, and Balderton.
Why Choose Notion Capital?
Given the history of the partners, the portfolio, and the collective experience and ecosystem of other local funds that have co-invested with them, you’d basically be an idiot if you were doing a SaaS startup in Europe and had not heard of Notion Capital.
Conclusion
The opportunity for European enterprise startups is vast, and Notion Capital’s latest fund closing highlights the scale of investment available. With its proven track record, extensive experience, and dedication to supporting B2B SaaS companies, Notion Capital is well-positioned to continue playing a leading role in the European venture capital market.
