This statement, included in the pitch deck of Ledgy we received back in 2018, triggered an intensive internal discussion. Because yes, isn’t it ridiculous that we as an early stage investor look at multiple new business ideas a day disrupting the status quo in fundamental industries, but when it comes to our own internal operations as a VC firm we use the same technologies as 20 years ago (a.k.a Excel)?
And we are not the only ones, postulating disruption potential in any sector, financing companies in highly advanced technologies such as air taxis (Volocopter) and autonomous drones (Flytrex), but managing ownerships and fund administration — the backbone of our business — manually in detached Excel spreadsheets.
As a result, relevant investment information is spread across paper documents such as shareholder agreements, options grants as well as several Excel spreadsheets modeling the basics of any financing round.
That’s why we decided to actively shape the revolution on how ownership management works for private companies: We invested in and started to become a customer of the Zurich-based equity management solution Ledgy.
The equity management market is nascent in Europe today — so far largely limited to US players with enterprise solutions for later-stage startups and established corporates. No one has cracked the European market with its legal and regulatory peculiarities — so far!