Quote of the Week: Family Offices Woo Tech Founders


February 12, 2015

“We were approached by private equity groups initially, but when Vulcan Capital approached us we stopped right away.”

Who said it: Pere Vallès, CEO Scytl

In Context: In an article in Reuters, the CEO of Spanish startup Scytl, a platform provider for online voting and elections, outlined the benefits of family office funding over venture capital, as did several other insiders and industry commentators. Last April Scytl received USD 40 million from Vulcan Capital, the direct investment vehicle of Microsoft co-founder and billionaire Paul Allen. The view is that a family office can aid growth better than a venture capitalist because they have a longer term horizon, more than the typical four years a VC fund might hold an investment. One tech company founder was quoted saying that such investors “can spend more hours on the businesses they invest in”. Besides Vulcan Capital, other family offices mentioned were Smedvig Capital and BK Modi. (Image source: Scytl)

Where we found it: Reuters

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