Today Ukrainian firm Roosh X, based in Kyiv and London, and Canadian startup builder Tiny Studio launched an investment partnership to challenge private equity orthodoxy in Europe. The partnership will deploy tickets ranging from $500,000 to $10 million, targeting profit-focused tech sector companies with $5 million+ revenue whose aims to grow securely are currently unmet by traditional financing options.
The partnership is spearheaded by Roosh X, one of the investment wings of Roosh. The firm's platform of engineers, ops experts, and business strategists will be made available for the companies backed by the partnership, providing cost-effective support across AI/ML transformation, operational optimisation, R&D, and new revenue stream building.
Not all founders desire or require an immediate exit, nor endless rounds of fundraising, and there is a burgeoning demand for optionality via more adaptable, founder-centric capital solutions.
The Roosh X and Tiny Studios partnership's flexible VC investment terms and collaborative co-building approach prioritise profitability alongside growth. This enables founders to maintain greater control over their company's direction as they expand and guarantees the business's long-term viability.
Roosh X and Tiny Studio will specifically focus on profitable businesses in need of revenue-based-terms capital, guidance, and support to fuel expansion, and/or an eventual exit.
The partnership offers businesses:
- Growth capital, to increase revenue.
- Developer and talent outsourcing, to increase profit.
- Enhanced distribution, to increase revenue-New product R&D and transformation, to increase revenue and/or profit.
- Creation and implementation of new revenue streams, to increase revenue.
- Strategic advisory and guidance for leadership teams.
- The pathway to an exit as an option, rather than a must-have.
Although sector-agnostic, Roosh X's centres of expertise align with the gaming, fintech, AI/ML, consumer apps, marketing/adtech and entertainment sectors.
This will be fused with Tiny Studio's company-building knowledge and its track record of creating and facilitating exits.
Den Dmytrenko, co-founder and General Partner at Roosh, comments:
"This is a radically different proposition to traditional PE. Combining unapologetic ambition with our ecosystem's extraordinary array of talent and Tiny Studio's expert startup-building capabilities, this alliance will provide leadership teams with access not only to capital, but to support of breadth and depth simply not currently available from traditional financing options operating in the European market.
We're creating cash cows, not unicorns."
Oliver Low, CEO of Tiny Studio, comments:
"Through our partnership with Roosh X, we aim to deploy our skills in building, scaling, and exiting startups to help founders on their path to startup freedom.
We believe that together we can achieve incredible, sustainable, and achievable outcomes for founders and startups on a profit-centric path.
With traditional VC drying up and more founders making the pivotal switch away from a growth-at-all-costs mindset, this is the perfect moment for such a fund."
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