Thursday, August 11, 2016

In the Spotlight: DealMatrix – Digital Matchmaking Platform for SMEs and Investors

DealMatrix is an Austrian-based company providing software and services to ease the interaction between investors, corporates and start-ups.

DealMatrix started off based on an idea by a venture capitalist himself, who was looking for a tool that would optimize his investment process. In 2015, Christoph Drescher began turning his idea into a product, integrating his expertise stemming from more than 20 years of executing projects and building companies. The first funding was provided by the founding team as well as through an incubation programme by venture capitalists. The starting capital was extended thanks to various business angels, among them Markus Ertler, named Austria’s “Super Angel 2015”.

There is a clear distinction between the investors who support DealMatrix monetarily and those who also provide guidance and expertise. Even though the funding scene in Austria is still difficult, recent progress have been made both by governmental and private players, who have pushed startups into the spotlight and enforced a more transparent funding environment. As DealMatrix cooperates with international startup conferences, it is in the ideal position to meet new potential investors. Moreover, due to constant interaction between investors and corporate scouts, satisfied customers have turned into potential investors.

DealMatrix is now expanding offering its services to include a startup portal, via which startups find the funding and exposure they need.

Key lessons for other start-ups

  • Find the right match: What do you really need? Simply money or “smart money” investors who actively support your startup and aid you through their connections and experience.
  • Consider the current market situation and trends in investing – if the market is in a downturn it pays to be prudent with your valuations and funding sizes as to avoid a down round.
  • The younger the start-up, the more important the factor “team” is. A great team track record can be supported by external factors such as speakers at events, interviews with team members in the media, and joint connections.
  • Make sure to keep potential investors updated on your progress, as many like to confirm that the potential they see in your startup can actually be executed.
  • Patience – there’s a thin line between waiting too long for investors to actually commit and writing them off too early.