The Western Balkans Summer Investment Program aims to help tech startups from the Western Balkans close their funding rounds within the next nine months and build global businesses from the region.
In an interview with IT Logs, Igor Madzov, co-founder Investment Director of NEST Group, discussed how the program leverages experience from previous fundraising initiatives to understand the unique approach required for startups to secure funding. Igor is also the President of Startup Macedonia. This program is private by NEST group and it connects all the partners in the region contributing to the program including EBRD SWISSEP Vestbee and startup organizations like Startup Macedonia Uplift Ick Makerspace and others.
The Western Balkans have many capable founders who are great problem solvers and tech innovators, often creating impressive products with limited resources.
The program will bring together investors, corporates, mentors, and experts from the NEST team for two months of advisory sessions and intensive boot camps. The goal is to help startups effectively reach out to investors, get matched, and close their investments as quickly as possible.
What is the Summer Investment Readiness Startup Program aiming to achieve?
Igor Madzov: That’s simple – the Summer Investment Readiness Startup Program targets tech startups from the Western Balkans that aim to close their funding rounds within the next nine months and build global businesses from the Balkans
Leveraging our experience from the previous two fundraising programs, we have developed a deep understanding of the unique approach required for startups to fundraise. This region has bold, capable founders who are incredible problem solvers and tech magicians, delivering products with limited resources.
The program will bring some of the greatest friends in the region, investors, corporates, mentors, and experts from the NEST team to provide two months of advisory sessions and intensive boot camps, ultimately equipping startups to effectively reach out to investors, get matched, and close their investments as quickly as possible.”
How can startups benefit from participating in the program?
Founders often assume that fundraising is easy, but it is actually a complex process that requires a structured methodology, repeated validation, and significant dedication from the founders. I learned the hard way that fundraising takes a lot of time and can be “extra long” in the Balkans.
We aim to facilitate this process by providing guidance and matching startups with Angels and VCs who will most likely commit the necessary funding within the next nine months.
The biggest benefit for startups participating in the program is the shared experience from Startups that have successfully fundraised over the past 18 months. The program aims to demystify the fundraising process and ensure each company has the proper fundraising strategy, fundraising ask, valuation, and all necessary documents that make the company investment-ready.
Participants will also receive valuable feedback from VC professionals and investors who serve as mentors, as well as corporate representatives from the NEST network who help validate the business model and support the go-to-market strategy.
And that is not all. We have secured some great perks and free services for all the companies from our partners from AWS, Zendesk, Hubspot, Notion, Stripe, Microtica, Reaktiv, Finqup and how2web conferences so that the conpanies that get selected to move further will be presented both in Bucharest and Skopje and recieve support in AWS credits and other solution providers.
Can you describe the types of support and resources offered to startups during the program?
Since we wanted to capture a larger number of Startups, we made the whole program Online and remote with several activities in a hybrid form. All startups that meet the criteria will access the online learning platform and have the ability to receive first feedback.
The program starts with an initial assessment to understand each startup’s specific needs and current status. Based on this assessment, we tailor the support and resources to ensure maximum impact. Startups will access one-on-one mentorship from industry experts who provide personalized guidance on refining business models, financial strategies, and pitch presentations. We offer a series of interactive workshops covering essential topics such as investment strategy, documentation preparation, market validation, and go-to-market tactics.
Additionally, startups will benefit from pitch practice sessions where they receive constructive feedback from seasoned investors and mentors. Legal and financial advisory services are also available to help startups navigate the complexities of fundraising. Throughout the program, participants can leverage a robust network of investors, corporates, and fellow entrepreneurs, facilitating valuable connections and collaboration opportunities.
The timeline of activities is as follows:
- Open Call and Application Phase: Startups can apply to the program. All selected companies that meet the minimum criteria will move on to the next phase.
- Fundraising Bootcamp: Selected startups will participate in a boot camp featuring professionals from various fields. Topics covered will include fundamental regional fundraising, investment strategy creation, valuation adjustments, and key document preparation. These documents will be uploaded to the VestBee platform for investor review.
- Investor Review and Selection: Investors with access to VestBee will review the companies and select the top 20 startups. These selected startups will receive tailored one-on-one support from the NEST group, including needs evaluation and advisory services on legal structuring, intellectual property, sales strategy, market strategy, financial modeling, and final valuation.
- Deal Room Preparation: The final documents, including the financial model and valuation, will be submitted to the VEST-B portal for investor access.
- Final Pitching The program will conclude with presenting their startup on several events in October, including How2Web, and Matchin Summit , where the finalists will present their ventures. There will also be one-on-one meetings with potential investors for all program participants.
Are there specific industries or sectors targeted by the program, or is it open to startups from various fields?
The program is open to startups from various fields, reflecting the diverse and dynamic nature of the startup ecosystem in the Western Balkans. However, we focus on specific industries with significant growth potential and align with regional strengths and global trends. These include:
- Business and ICT: Startups leveraging information and communication technologies to drive business innovation.
- AI and Analytics: Companies utilizing artificial intelligence and data analytics to create impactful solutions.
- Fintech and Insurtech: Ventures developing new financial technologies and insurance solutions.
- Smart Cities and Home: Innovations aimed at making urban areas and homes smarter and more efficient.
- Industry 4.0 and Prop Tech: Startups focused on the next industrial revolution and property technology.
- IoT: Businesses integrating Internet of Things technology to enhance connectivity and efficiency.
- Transportation and Logistics: Solutions improving the transportation and logistics sectors.
- Green Tech: Startups passionate about sustainability, renewable energy, and eco-friendly solutions.
- Agritech and Foodtech: Innovations in agriculture and food technology to increase efficiency and sustainability.
We are particularly keen on scalable companies that can utilize the benefits of the region and expand their operations globally.
What do you consider a Western Balkans startup and how developed do the startups need to be?
A Western Balkans startup is defined as one that is based in the region, which includes countries such as Albania, Bosnia and Herzegovina, Kosovo, Montenegro, North Macedonia, and Serbia. This also includes startups that have strong ties to the region and HQ in other countries, which we refer to as ‘Startups with Balkans DNA’. These startups must demonstrate a significant connection to the local ecosystem, either through local founders or substantial operational activities within these countries.
Early-stage ventures should have a solid idea and initial market traction, while more developed companies should be looking to scale and attract significant investment. We expect participating startups to have a clear business model, some initial market validation, and be ready to engage in a rigorous program designed to refine their strategies, prepare their documentation, and ultimately secure investment within the next nine to ten months.”
Who are the typical mentors or advisors involved in guiding startups through the investment readiness process?
Our typical mentors are individuals who have significant experience in fundraising or are directly involved in investing in startups. This includes the NEST Group advisory team and mentors from VCs who have committed their time to evaluate and support fundraising startups. We also have founders from the founder’s group who have successfully fundraised in the past, providing valuable insights and practical advice.
Additionally, corporate representatives are eager to validate businesses and start pilots with the companies in this cohort. We have a set of experts available to support startups on specific topics such as intellectual property, legal structuring, pitching, and sales. These areas are crucial for startups looking to expand beyond the Balkans and leverage the region’s resources to become global successes.
Notable mentors include seasoned investors with extensive experience in the tech sector, and successful entrepreneurs who have raised multiple funding rounds. Their expertise, along with that of other mentors, ensures that startups receive comprehensive guidance and support throughout the program.
What success stories or examples can you share from previous cohorts of the program?
Throughout the program, we have supported more than 90 startups in understanding the intricacies of fundraising. Many companies initially were not ready for a fundraising campaign or needed to be more scalable. Therefore Our program is designed to help businesses seeking between €200K and €2 million, which already have a functioning product on the market or are in the testing phase with clients, to prepare for investment.
We have notable examples from those who have successfully fundraised, like Finqup, CodeWell, Airport Briefing, and Konceptiva. We have supported other companies, including Paket.mk, Reactive, and Orea Bazaar, have collectively raised close to €12 million in alternative funding. These startups have benefited from the program by refining their business models, enhancing their sales strategies, and validating their products with clients who have become their advisors, mentors, and investors.
Many participants have significantly changed their approach to business through the program, leading to stronger market positions and successful fundraising campaigns. The guidance and resources provided have been instrumental in helping these startups navigate the complex process of securing investment and scaling their businesses. Our target is to assist companies interested in fundraising within the next nine to ten months.
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