Wales Technology Seed Fund hits £3 million investment milestone
Since its launch in April 2014, the Wales Technology Seed Fund
has invested £3 million, leveraging an additional £3 million in
co-investment –a pound-for-pound funding ratio.
The £7.5million fund makes investments in early stage science
and technology companies from £50,000 through to £250,000.
Companies looking for investment from this fund must have a
technology-focused business plan and be located in, or willing to
relocate to, Wales. So far the Wales Technology Seed Fund has
invested in 21 ambitious companies. Most investments are equity
Recent deals have included equity investments in software
companies Paperclip, Hudman and Koherent.
A six-figure investment in Cwmbran-based Hudman took the
Technology Venture Investments team at Finance Wales to the £3
The software firm provides cloud based enterprise and accounting
software for manufacturing, engineering and construction
industries. The latest deal follows angel investment from David
James who was put in touch with the company by xénos – The Wales
Business Angel Network.
James, who is now the managing director of Hudman, said: “This
investment is going to help accelerate our company’s growth. We’ve
already seen success in the B2B market with our software and we’re
looking forward to building on this success over the next two years
The fund was launched by the Welsh Government to address the
lack of early stage capital identified by the Innovation Wales
Economy Cabinet Secretary Ken Skates said: “The fund is
supporting young technology starts ups at a critical stage of their
development and providing the seed funding needed to support the
commercialisation of their intellectual property.
“I am pleased to see the fund is having an impact and businesses
are also benefiting from Finance Wales’ links with private and
institutional co-investors. We need to support home grown talent
and attract more of these types of business with high growth
potential to Wales.”
Last financial year Melanie Goward, Finance Wales’ Technology
Seed Fund Manager, led investments into three technology start-ups
– Nemesis, Trecento and Kitlog.
“The impact of the fund has been tremendous,” explained Goward.
“We’ve been able to work with a range of ambitious companies
starting out. We’ve been able to support home-grown talent as well
as luring exciting early growth firms to Wales.”
One firm to benefit from seed funding is North Wales based
software company Kitlog. They secured a six-figure
co-investment deal through the fund. The company created and own
the Papertrail platform, an online tool for logging statutory
paperwork and records. Their software is already saving thousands
of staff and contractors time and money managing safety compliance
and statutory inspections.
“Finance Wales has helped us to mature our business into a
better position for success,” explained Kitlog CEO and co-founder
Ben Scholes. “Melanie has contributed at our Board meetings, which
has been a big help. We’re looking forward to gaining more
experience working with her and tapping into future networks via
The firm, which has offices in Conwy and Newcastle-upon-Tyne,
launched Papertrail in 2013. The B2B software is now being used
internationally and has helped businesses from a range of
industries improve their compliance requirements, reducing risk and
improving operational efficiency.
“The Wales Technology Seed Fund provides excellent opportunities
for technology-focused early stage companies based in Wales,” added
Goward “We’re active co-investors and have experience of
structuring competitive equity and debt packages. The Finance Wales
Technology Ventures team is hardworking and creative, and we really
enjoy working with high growth potential firms across the science
and technology sector.”
Early growth technology companies can find out more about the
Wales Technology Seed Fund on the
Finance Wales website. The team can also be contacted by emailing