We are looking for gaming projects to invest $1,000,000 🛰

We are looking for gaming projects to invest $1,000,000 🛰

It is now extremely difficult to find private investment in the gaming industry. Especially under reasonable conditions.

The reason is quite prosaic: when the key rate is high, money becomes expensive, and the investor has to compare any risky project with the profitability that can be easily obtained from a bank deposit.

For game projects without revenue, the situation is even more complicated. In my experience, private money at this stage is now given mainly in the model of startup studios: the investor does not just finance the team, but takes the studio “under his wing”, deeply involved in the creation of the project, the formation of the business and control over it.

With government support, things are also not so simple - a significant part of the instruments require private co-financing. And to find it for a project without revenue - see. paragraph above.

But for operating companies the situation is noticeably better.

💰 I was approached by investors who are looking for gaming companies with an existing business and, albeit small, but profit. We are considering purchasing a share of about 10% when valuing the business at a reasonable multiple of x3–4. Transaction amount is about $1 million or corresponding to the size of the business.

Jurisdiction is not of fundamental importance if it is clear and acceptable for the transaction.

Investors have been working in the market for a long time and do not plan to take over control, seat their people on boards of directors or explain to developers how to make games. The task is simpler: invest in an operating business, make money on its growth, and if there are overlaps with other assets, help the company scale faster.

My role on behalf of Skolkovo in such cases is to ensure the most environmentally friendly process: to fix the expectations of the parties in advance and eliminate the risk of unpleasant surprises. And in this particular case, I am so confident in the investor and the absence of pitfalls that this allows me to publicly write such a request.

So, I'm looking for gaming companies that need money to scale their existing business. If this is you or you know a suitable team, write pm me ✍️

Let me remind you separately: if you have already become a Skolkovo participant or are planning to receive this status, there is a program for reimbursing investments for business angels to attract private investments. I talked about her in previous post.