Ananda Impact Ventures is a so-called 'impact investment fund'. The VC for social entrepreneurs has one office in Munich and a second office in London. Ananda was founded in 2010 by Johannes Weber and Florian Erber. The third fund, amounting to 50 million euros was closed in 2018. The 10-person team invests in young companies that find solutions to the social challenges of our time. We find this exciting and spoke with Johannes Weber, founder and managing partner of Ananda Impact Ventures.
Please introduce yourselves briefly!
Ananda Impact Ventures is a European impact investment fund based in Munich and London. We invest in impact startups, primarily in the DACH and UK regions. Initially, we invest between one and three million euros, and later up to seven million euros per startup. We typically invest in seed and Series A rounds.
Ananda Impact Ventures invests in social solutions
What do you prefer to invest in?
We invest in companies that address the major social challenges of our time. Our investment areas include Digital Health, education, aging, the future of work, and sustainable consumption. We primarily invest in B2B companies, focusing on startups that already have initial revenue and a business model.
Johannes, do personal preferences sometimes influence your investments?
You can never completely escape that. Sometimes I feel particularly drawn to certain topics because of my personal experience. For example, I always look at innovative technologies related to prosthetics because I was deployed to Kosovo in 1999 and saw many people lose limbs there.
Investment is available in scalable business models with positive impact
What kind of startup would you never invest in?
We don't invest in startups that focus on too narrow a niche or lack a scalable business model. Our focus is on market-oriented, sustainable, and scalable business models that have a positive impact at their core.
Do you scout for promising companies yourself or do you have consultants for this?
We scout for companies ourselves. In addition to conferences and industry events, we also regularly receive exciting recommendations from our existing portfolio and personal network.
Do startups have to be afraid that you will interfere too much?
With us, the founder is always in the driver's seat. As former entrepreneurs, we are happy to be active sparring partners, providing expertise, advice, and a network. But we don't confuse the roles of investor and operator.
At what stage do startups ideally approach you?
Founders should have already entered the market and be able to demonstrate initial sales.
Deal closing? We like to be fast!
How long does it take from the first contact to the conclusion of the contract?
We know that fundraising takes a lot of time and effort for entrepreneurs. Therefore, we like to move quickly when we want to close a deal. The process typically takes between four weeks and four months.
To be successful, a startup must…
... have an "unfair" advantage. This could be particularly deep industry expertise, proprietary technology, an exceptional network, or a particular intrinsic motivation of the founder.
Tell us the knockout criteria for the pitch!
We find founders who elaborate on their exit fantasies at the time of a seed investment rather difficult. This indicates a low level of emotional buy-in. However, if a founder absolutely cannot imagine an exit, that's also a warning sign.
What have you ever miscalculated?
Yes, unfortunately, we once made a huge mistake with a founding team. Another time, a company's business model simply didn't work out. In that case, however, the founder herself couldn't help it and has now worked closely with us in deal sourcing for many years.
The trend of the year is…!
In the Digital Health sector We are currently taking a close look at the topic of patient empowerment and related business models.
Munich startups: close to the needs of large B2B customers
What is the Munich startup scene doing right from an investors' perspective? What could it do better?
Munich isn't as loud as Berlin. However, many Munich startups are particularly successful in maintaining close contact with industry and developing solutions that meet the needs of large B2B customers. Our investments are good examples of this. Company Bike Solutions, Verbavoice, Auticon and Media4Care.
Last but not least: Who do startups approach when they want to talk to you?
Feel free to contact our investment team directly. We can all be found on LinkedIn. Alternatively, we would be happy to hear from you. Email.
