Ledgy AG, Zurich (Switzerland), provider of equity software for private companies, has collected 1 million euros in a successful seed round. The company secured funding from a strong alliance of European investors: In addition to btov Partners (St. Gallen, Switzerland),Creathor Ventures (Bad Homburg, Germany) and VI Partners (Zug, Switzerland) are involved. Daniel Gutenberg and Luis Cabiedes, leading business angels in Switzerland and Spain, as well as Paul Sevinç and Myke Naef, founders of Doodle, take part in the round. Just a few months after its launch in Switzerland, around 200 companies are already using the software. Ledgy intends to use the collected capital to launch its product next in Germany, France and Great Britain.
The European market for equity software is fragmented. While US companies have been using online platforms to manage their cap tables and employee shareholdings for sometime now, start-ups in Europe are still busy with spreadsheets. Ledgy digitizesthe equity management and thus ensures clarity for all parties involved.Founders also often find it difficult to use employee shareholdings effectivelyor to model more complex financing rounds with liquidation preferences. Ledgy wants to change that.
Ben Brandt, CEO of Ledgy, explains: “Ledgy sets a new standard for managing the equity of companies in Europe. In particular, employee participation is critical to an emerging start-up ecosystem. In comparison, companies in Europe give their employees ten times less shares than in the USA – which is also due to a lack of tools.”
Ledgy’s medium-term goal is to become the leading online platform for the digital processing of equity transactions in private companies and to offer an unbureaucratic and inexpensive secondary market for private companies. Ledgy will provide liquidity for early investors and employees. This will enable founders to keep their companies private for longer.