Venture capital in the UKIts vital role in driving growth
3 Foreword
4 Keytakeaways
5 UKventurecapital:anoverview
8 VenturecapitalandtheUK
11 Thecurrentlandscapeofentrepreneurialfinance
15 Casestudy:Kano
16 Lookingahead:challengesandopportunities
18 Conclusion
20 Abouttheauthors
22 Furtherinformation
Contents
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BarclaysisstronglyplacedtosupportaVCexpansion,backingonemillionSMEs,developingprogrammeslikeRISEandEagleLabs;andconnectingtothedepthandbreadthofcorporateandinvestmentbankrelationshipswehavefromSiliconValleytoSingapore.
Increasingly,Iquestionwhetherwearenowatechnologycompany,aninformationbusinessorabank–inreality,weareallthreeandwecanpartnerindifferentiatedwayswithVCs.
IamdeterminedtoensurethatthenewworldbeatersofthefuturearesupportedbyBarclayseverystepoftheway–whetherit’sinbiomeds,AI,grapheneorevendriverlesscars.ByworkingmuchmorecloselywithVCfirmsandtheirclients,wecanhelptoacceleratethegrowthofhigh-performingcompaniesanddoourparttoboostnationalandglobalprosperity.
ForewordVenturecapitalfirmsarethecatalystforthegrowthanddevelopmentofexcitingnewcompaniesandnowformavitalpartoftheeconomicinfrastructure.
IntheUKwehaveagreatVCinfrastructureandanumberoffantasticbusinesseshavebeenhighlysuccessful,inpart,becauseofit.Buteveryoneisaskingwhydoesn’ttheUKhaveitsowntechgiants?IfwearetobuildourownweneedmoreactiveVCinvestmentandIbelievebanksmustnowbringtheirvastnetworkofbusinessconnectionsandexpertisetothetable.
WeareexcitedtoseetheburgeoningentrepreneurialtalentintheUKandarekeentoplayourpartinhelpingdrivethissuccess.Barclayshasalwaysbackedthevisionariesandinnovatorsthroughoutour325+yearhistoryandwelookforwardtothepositiveimpactthissectorwillhaveontheUK’seconomyandemploymentforgenerationstocome.
Wehavebuiltastrong,dedicatedhighgrowthandentrepreneursteamandalsoaVCcoverageunittoenableBarclaystohelpservetheentireVCecosystemandtohelpVCsandstart-upsastheydeveloptogether.
AshokVaswaniCEO,BarclaysUK
WeareexcitedtobeabletobringsomeofourexpertisetosupportingtheUK’sburgeoningentrepreneurialtalent.
Barclayshasalwaysbackedthevisionaries
andinnovatorsthroughoutour
325+yearhistory.
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Key takeaways
ScaleTheVentureCapitalmarketintheUKhasbuiltupconsiderablescaleoverthelastdecade.In2016,936dealswerecompleted,delivering€4bnininvestments.Whiledownonthe2015peakof€5.6bn,thisisstillaconsiderablecontributionandrepresentsroughly34%ofalldealscompletedinEurope.1
DisruptionThelargercompaniesthathavebeendisruptedbytheVCsceneandtheecosystemithelpssupporthavebeen,inlargepart,slowtoreact.However,thereisnowamoreconcertedeffortbysomeoftheseorganisationstohelpgrowtheentrepreneurialandinnovativebusinessesthatlooktoVCforfunding.Therehasbeenarecentincreaseinthenumberofcorporate-sponsoredacceleratorprogrammesandfundingcycles.
AtBarclayswehavebeenkeentohelpdeveloptheinfrastructureforsometime–wesetupUKbanking’sfirstdedicatedHighGrowthandEntrepreneursteam,ourRISEprogrammeprovidescollaborativeworkingspacesforinnovativefintechbusinessesandouracceleratorprogramme,inpartnershipwithTechstars,hashelpedmanystart-upswithmentoringandguidancethroughtheirfirstdifficultyears.
WhyisVCimportant?Theoriginationofinnovationhasgraduallyshiftedawayfromin-houseresearchfacilitiesinlargecorporatestowardssmallercompaniesandstart-ups.Early-stagefastgrowthcompaniesrelyonVCwhichgivesitaphenomenallyimportantroleinhelpingdelivertheinnovationwhichcreatesgrowthandimprovestheUKeconomy.TherecenthighprofileinvestmentinLondon-basedsoftwarefirm,Improbable,isjustoneexampleofhowthetraditionalmodelsarebeingbrokendown.
TheUK’sstrongventurecapitalscenehascreatedafertileenvironmentfordisruptivetechcompanies.Today,itisaworldleaderinthefinancialtechnology(fintech),enterprisetechnology,e-commerce,property,andtravelsectors.FundingCircle,DeepMind,ASOS,Zoopla,KanoandSkyscannerareexamplesofUKsuccessstoriesineachofthesesectors.
WhyisventurecapitalsoimportanttotheUKeconomy?Howlargeisthemarketandwhatdoesitdodifferently?
TheUKventurecapitalmarket
UK total deal value (2016)
€4bn1
More than 200 UK firms have
had successful exits in the past 10 years
SOLD
More than 200 UK firms have raised
or more£50m
1Pitchbook2016AnnualEuropeanVentureReport.
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2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
€1.1
€1.4
€1.4 €2
.0 €2.4
€3.8 €4
.0
€5.6
€1.5 €2
.3
386 423 427596
741
987
1,244
1,496
1,382
936
Why is venture capital so important to the UK?
Today, venture capital is one of the most important sources of funding in the UK economy.
The country’s productivity has stalled. Between 2007 and 2015, output per hour rose by just 0.7%. That matters: productivity gains are a central driver of economic growth as a whole, so only an economy that is consistently innovating and becoming more efficient can expect to grow in the long run.
At the same time, there has been a shift in where innovations and technological breakthroughs originate. In previous generations, the most consequential innovations tended to come from large, established companies. Today, they are more likely to come from smaller companies and start-ups, and bigger organisations – Google, Facebook – are now as likely to acquire their innovation as to develop it within their walls. This is happening in part because the technology on which innovation relies is now cheaper and more accessible.
“It has never been less expensive to start a software company,” explains Will Bowmer, Managing Director of Barclays International, who is based in Silicon Valley. “Because of this, the number of start-up ideas that are now viable is amazing – and they continue to proliferate.”
Early-stage, fast-growth companies rely on venture capital, which gives it an outsized role in enabling the innovation that improves productivity.
Overview of UK VC activity
UK venture capital: an overviewVenture capital is vital to UK economic growth, yet the industry is changing rapidly and faces increased competition from Europe.
Repairing UK productivity and supporting long-term growth therefore needs a thriving venture capital sector. “Venture capital is increasingly responsible for the formation of the most exciting and the most disruptive companies that we see in the UK,” explains Sean Duffy, Head of Technology, Media and Telecoms at Barclays. “It’s driving more and more of the growth that we see in the economy.”
Deal Values (€B)
# of Deals Closed
Source: PitchBook 2016 Annual European Venture Report.
The UK’s strong venture capital scene has created a fertile environment for disruptive tech companies.
The UK’s strong venture-capital scene has created a fertile environment for disruptive tech companies. Today, it is a world leader in the financial technology (fintech), enterprise technology, e-commerce, property, and travel sectors.
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2Pitchbook.com 3crunchbase.com/organization/octopus-ventures#/entity 4crunchbase.com/organization/localglobe#/entitylocalglobe.vc/talent/ 5crunchbase.com/organization/index-ventures#/entity 6crunchbase.com/organization/balderton-capital 7eif.org/ 8bbbinv.co.uk/ 9crunchbase.com/organization/atomico#/entity 10crunchbase.com/organization/mmc-ventures#/entity 11crunchbase.com/organization/amadeus-capital-partners#/entity
Selected UK venture capital players
There are a number of VC players in the UK market; this section highlights just a few of those active today.
Dawn Capital seeks to invest in areas of fintech and B2B software. The firm primarily focuses on companies based in the United Kingdom and Europe.Type: Venture capitalSectors: Tech and B2B softwareCurrent Investments: 24 investmentsExits: 10 HQ: London
Type: Seed, early-stage venture, later-stage venture, private equity, debt financing Investment size: £1m–£25mSectors: Mobile, software, fintech, curated web, healthtech, e-commerce, gaming, Current investment: 203 investments Exits: 4 IPOs, 30 acquisitions HQ: London
The European Investment Fund is a public-private partnership and subsidiary of the European Investment Bank. It is mandated to provide £10bn in financing to high-growth, innovative and inherently risky small and medium-sized enterprises across the EU and associated countries.
72
6
The British Business Bank is a government-owned bank, and British Business Bank Investments is its commercial arm.Type: Invests in finance providers such as deb funds, capital funds and challenger banksInvestment size: £5m–£200mCurrent investment: £0.7bn HQ: Sheffield and London
8
Type: Venture capital, early-stage start-upsSectors: IT, healthcare, financial servicesCurrent investment: 45 investmentsExits: 17HQ: London
Type: Venture capital focusing on seed and impact investmentsSectors: Impact investing, SaaS, venture capitalCurrent investment: 135 investmentsHQ: London
Type: Impact investing, financeInvestment size: £200,000–£25mSectors: Mobile, software as a service, security, enterprise software, IT infrastructure, media, healthcare, consumerCurrent investment: 166 investmentsExits: 4 IPOs, 18 acquisitions HQ: London
3
2
4
Type: Seed, early-stage venture, later-stage venture, and private equity investmentsSectors: Consumer internet and mobile, enterprise technologiesCurrent investment: 568 investmentsExits: 14 IPOs & 96 acquisitions HQ: Geneva
5
910
Type: Venture capital, seed, early- and growth-stage investmentsSectors: Information technology, cyber security, internet infrastructureCurrent investment: 388 investmentsHQ: California
Type: Banking, finance, venture capitalInvestment size: £500k–£5mSectors: Enterprise software, fintech, e-commerce, marketplaces, digital mediaCurrent investment: 63 investmentsExits: 7 acquisitions HQ: London
Type: Venture capital that does seed, early-stage venture, later-stage venture, and private equity investmentsSectors: Curated web, mobile, e-commerceCurrent investment: 90 investmentsExits: 20 acquisitions HQ: London
Type: Angel investment, financial services, venture capital, and private equity investmentsSectors: Hardware, software, web hostingCurrent investment: 142 investments in 78 companiesExits: 2 IPOs and 24 acquisitions HQ: London
112
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
HC Services & Systems
Pharma & Biotech
HC Devices & Suppliers
Other
Software
Media
IT Hardware
Energy
Consumer Goods & Recreation
Commercial Services
UK VC deals (€B) by sector UK VC deals (#) by sector
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%Source:PitchBook2016AnnualEuropeanVentureReport.
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TheUK’sadvantages
TheUK’sventurecapitalandstart-upscenesharesmanycharacteristicswithitsUScounterpart:theambitiontobuildvaluable,high-growthcompanies,ahistoryofopennesstonewideasandtalent,awillingnesstoexperiment,andanimplicitbeliefthatmanysectorsareripefordisruption.
ButitalsoreflectscharacteristicsthatareparticulartotheUK:apragmatic,problem-solvingattitude,apredilectionforthepropertyandfinancialservicessectors,andapositionmidwaybetweenUSandEuropeanattitudes.
IntheUK,entrepreneurshipisseenasagoodcareerchoicebymorepeoplethaninFrance,GermanyorSpain,butbyfewerpeoplethanintheUSandCanada12.Financialandlabourregulationis,forthemostpart,moreflexiblethanitisincontinentalEurope,butlesssothanintheUS.“TheUKhasthemostflexibleeconomyofalltheEuropeaneconomies,”saysBarclays’SeanDuffy.
UKattitudestowardsthespeedofmonetisationcanalsorepresentthemidpointbetweenthetraditionalEuropeanimpatiencetoseerevenuesexceedcosts,andSiliconValley’smorerelaxedview–that,inthelongrun,technology’snetworkeffectsmeanthatitisthecompaniesthatinvestdeeplyenoughinrapidlygainingthemostuserswhichbecomethemostvaluable.
OverviewofUKVCactivity
Venture capital and the UK Theventurecapitalandentrepreneurialecosysteminthiscountryhavenotcomeaboutbyaccident;thereareanumberofcharacteristicswhichhavehelpeddriveacultureofinnovationanddisruption.
Asahubforstart-upsandtheventurecapitalfirmsthatsupportthem,theUKalsohasothersignificantadvantages.ItisEurope’searlyadopter,leadingtheworldinpercapitae-commerceandadvertisingspend.Theonlineeconomyaccountsfor8.3%ofGDP–thehighestpercentageintheworldandmorethandoubletheG20average.13
Anditboaststhemostplentifulearly-stagecapitalinEurope,world-classuniversities,governmenttaxincentivesforinvestmentandresearch,andoneoftheworld’sbiggestcustomerbasesforenterpriseandinfrastructuretechnology.“IfyoucangetyourcompanyworkingintheUK,”explainsDuffy,“youhavesomeideathatitmightbetransferableelsewhere.”
€1.8
€1.6
€1.4
€1.2
€1.0
€0.8
€0.6
€0.4
€0.2
€0.0
450
400
350
300
250
200
150
100
50
01Q 2Q 3Q 4Q1Q 2Q 3Q 4Q
2009 2010 2011 2012 2013 2014 2015 2016
1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
Capital Investment (€B) # of Deals Closed Angel/ Seed Early VC Late VC
Source:PitchBook2016AnnualEuropeanVentureReport.
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UKventurecapital:theviewfromtheUS
TheUSventurecapitalcommunity’sviewmatters.Themorecapital,know-howandmediaattentionthatUKfirmscanattractfromtheUS,thebettertheirchancesofscalingglobally.
Afterall,theUKmightbetheventurecapitalcentreofEurope,butitisdwarfedbytheUS.Intheyeartothethirdquarterof2016,forexample,therewasmoreventurecapitalinvestedinthestateofMassachusettsthanintheUKasawhole.14
Still,USventurecapitalinvestmentcontinuestoflowintotheUK:itwastheleadingdestinationforUSinvestmentin2015,withUS-ledinvestorssuchasAndreessenHorowitz,SequoiaCapitalandInsightVenturePartnersinvesting$1.4bninUKcompanies.
UScompaniesoftenseetheUKasaperfectearly‘testrun’forinternationalexpansion.“WhenUSstart-upswanttoexpandinternationally,theUKisthebestmarkettostartwith,”explainsWillBowmer.“It’slarge,it’sgrowing,andEnglishistheprimarylanguage.IfcompaniescanexpandsuccessfullyintotheUKmarket,thentheycantrythehardertaskofmovingtocountriesthatareculturallyfurtherawayfromtheUS,wheretheprincipallanguageisnotEnglish,andwheretheregulatorychallengesmaybedifferent.”
London’spopularityandsuccess,however,couldhavethenegativeeffectofdilutinginnovationandideas.TonyBroccardo,HeadofAssetAllocationatBarclaysUKRetirementFund,pointsoutthatmanyintheUSattributeSiliconValley’ssuccesstothefactthatitisabletofocusexclusivelyontechnology,givenitsecosystemofuniversities,acceleratorsandventurecapitalfirms.Thereis,hesays,aperceptionthatinLondon,technologyisjustoneofmanythingsgoingon,so“itisharderforLondontocreatetheintensityoffocusfoundinSiliconValley.GivenLondon’ssheersize,there’salwaysadangerthatinterestingideasarelost.”
UKventurecapital:theviewfromEurope
IftheUKventurecapitalscenelookstotheUSasamarketwheredealsizes,exitsandcapitalpoolstendtobebigger,continentalEuropeancountriestendtolookattheUKinthesameway.TheUKhasthehighestconcentrationofcapitalinEuropeandisasignificantsourceoffundsfortherestofthecontinent.In2015,UKfundsincludingBaldertonCapital,MosaicVentures,ScottishEquityPartnersandDNCapitalinvested€250minFranceand€400mintheNordiccountries.IntheDACHregion(Germany,Austria,Switzerland),roundsworth€700mwereledbyUKfunds.15
TheEuropeanventurecapitalindustryisseenasagrowingmarket.TonyBroccardosaysthatitisincreasinglycommontoseeideasgeneratedinEuropereceivefollow-oncapitalfromtheUS.“SomeofthebestwinnersintheUShavebeenideasgeneratedinEurope,”heexplains.Hesaysthatthisreflectsthefactthat“theinfrastructureforgathering,funding,andpromotingtheminEuropehasneverbeenstronger”.BroccardoaddsthatEuropeancountriesalsohaveanadvantagewhentheyareabletoinnovatearoundprocessesthathaveaplausiblelinkwithahomegrownindustry–suchastheautomotiveindustryinGermany.
€
€250m
€
€€
€
€€
€
€
€UK
funds invested
The UK has the highest
concentration of capital in Europe and
is a significant source of funds for
the rest of the continent.
In 2015
in France
€700min the
Nordiccountries
andIn Germany, €700m DACH
rounds in Germany were led by UK funds
including Balderton Capital, Mosaic
Ventures, Scottish Equity Partners and DN Capital
Source:ThomasOlszewski,StartupsandVentureCapitalintheUK,FrontlineCapital
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Brexit
In2019,theUKisexpectedtoleavetheEUand,inalllikelihood,thesinglemarket,whichgivesrisetoanumberoffears,butalsoopportunities.
The fears First,thereisthepossibilitythatBrexitwilllimittheflowofnewfast-growthcompaniesbymakingtalentedentrepreneurslesswillingtobasetheirbusinessesandtheirlivesintheUK.
Second,itmightlimittheabilityofexistingcompaniestohirethetalenttheyneedinordertoscalefast.Fast-growingcompaniesrelyonreadyaccesstoapipelineoftalentCurrently,LondonishometoroughlyasmanysoftwaredevelopersasDublin,Stockholm,Amsterdam,WarsawandBerlincombined.16IfEuropeanmigrationisrestricted,and/ortheresidencyrightsofEuropeancitizensarenotassured,thisadvantagemaybeeroded.
12TheGlobalEntrepreneurshipMonitor’s2016-17surveyhttp://www.gemconsortium.org/report13TheBostonConsultingGroup,TheInternetEconomyintheG-20,2012https://www.bcg.com/documents/file100409.pdf14UK:$4.3bn;Massachusetts:$6.2bn.Source:ThomasOlszewski,StartupsandVentureCapitalintheUK,FrontlineCapital15ThomasOlszewski,StartupsandVentureCapitalintheUK,FrontlineCapital.16Ibid.
Third,BrexitmayincreasetheregulatoryburdenonthefinancialinstitutionsthatsupporttheUK’sventurecapitalecosystem.
Fourth,itmaydetercapitalitself.Venturecapitalishighlymobileandflowstowardsrealorperceivedopportunities.IftheUKisseenasbeinginrelativedecline,mobileventurecapitalmaydecidetoturnitsattentiontowardscompaniesandregionsitseesasrising,evenifabsolutedealsizesaresmalleratthetime.
The opportunities However,despitethisuncertainty,therearestillanumberofreasonsforthemarkettoremainpositive,notleastbecausethatuncertaintyoftenbreedsopportunity.
Sincethemobilerevolution,VChasbeenatthevanguardoftechnologicaldevelopmentand,becauseitissodigitallyadvanced,theUKisideallyplacedtotakeadvantageofthenextdevelopmentsinAIandaugmentedreality.
TheUK’strackrecordasearlyadoptersofnewtechshouldmeanthattherewillstillbeacaptivemarketfornewdisruptivecompanies.ThepoliticalpositionvisavisEuropeanUnionmembership,whilstimportant,willbeunlikelytoaffectthis.
BiginternationalcompaniescontinuetomaketheUKtheirhome.FacebookrecentlydoubledthesizeofitsLondonofficeandGooglehavealsocommittedtobuildinganewHQ,creatingupto3000jobs.InJanuary2017,SnapchatlauncheditsEuropeanHQinLondon.
Additionally,theUKmarkethasseenanumberofsuccessfulexitsrecentlyandtheexpectationisthatthoseinvolvedinthesewilllooktore-enterthecycle.Andfinally,thecultureofinnovationanddisruptionthathasbeenbuiltupintheUKmarketoveranumberofyearsisheretostay.Brexitmaybechallengingbutitwon’tbeinsurmountable.
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Theseinvestorshavecommonalities,suchasthedisbursementofriskcapitalinreturnforequity,buttheyalsodifferintermsoftheinvestmenttheyundertakeandtheobjectivesandstructurestheypursue.Thisarticlereviewstheprominentinvestortypes;takentogether,theyconstituterealinnovationinstart-upfinancing.
Thekeyinvestors…
Therearefivedistinctcategoriesofequityinvestorsinentrepreneurialventures:
1. Angel investors
Theseareaccreditedindividualswhoinvesttheirownpersonalwealth.Someangelsareformerentrepreneurs,whileothershavebuiltorinheritedwealthfromelsewhere.Theytendtoinvestatearlierstagesandoftenemployalessformalapproachtoinvesting,bothintermsofthelevelofduediligenceandtheformalityofcontracts.Angelgroupsrangefromalooselyorganisedperiodicgatheringtotightlycoordinatedgroupsthatco-deployfundsandundertakecoordinatedduediligence.
The current landscape of entrepreneurial financeThepastdecadewitnessedadramaticgrowthinthenumberandtypesofinvestors,andtheUKisatthecentreofmanyofthesedevelopments.
2. Crowdfunding
Thisdescribesonlineplatformsthataggregaterelativelysmallamountsacrossalargenumberofindividuals,potentiallyfromallovertheworld.Theplatformplaysaroleinduediligenceanddeal-flowscreening.Theireconomicmodelsdiffer,andmayincludecommissiononcapitalraised,equityallocation,orboth.
3. Venture capital funds
Theyarestructuredaslimitedpartnershipsandinvestinstart-upswiththeobjectiveofgeneratingsuperiorfinancialreturns.Theyraisefundsfromasetoflimitedpartners(e.g.ultra-high-net-worthindividuals,universityendowmentsandpensionfunds),whichtheytheninvestintoaportfolioofinnovativecompanies.Asgeneralpartners,venturecapitalfundsarecontractuallyobligedtoreturnthecapitalandproceedswithinasetperiodoftime,whichisoften7-12years.
4. Corporate venture capital
Thisdenotesthesystematicpracticebyestablishedcorporationsofmakingequityinvestmentsininnovativestart-ups.Thecapitaloriginatesfromaparentcorporation,varyingfromanadhoc,deal-by-dealbasisthroughanannualallocationtoamulti-yearsegregatedpoolofcapital.Investmentobjectivesalsodifferacrosscorporateventurecapitalunits.Someexclusivelypursueventurecapital-likefinancialreturns,whileothersseekabalancewiththestrategicobjectivesoftheparentcorporation(e.g.technologicalco-developmentandjointcommercialisation).
5. Accelerators
Thesearecohort-basedprogrammesthatoffermentorshipandaworkspacetoagroupofstart-upsinreturnforanequitystake.Admissionintothecohortoftenalsoentailsacapitaldisbursement.Interestingly,anumberofacceleratorsofferasetvaluationtoallparticipants–theinvestmentamountandequityaresetatasimilarlevelforeachandeverycohortmember.Someexperiencedacceleratoroperatorsrunmultipleacceleratorprogrammesinseveralcountries.Othersareaffiliatedwithacorporatesponsororanot-for-profitorganisation.
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CopyrightGaryDushnitsky
Comparisonofcommoninvestorstructures
Venture capital fund
(General Partner)
Investors(Limited Partners)
Returns
Equity
Cash(Fundraising)
Cash(Disbursing)
Entrepreneurialventures
Equity Cash
Entrepreneurialventures
(Angel)
Individualinvestor
Entrepreneurialventures
Investors(Diverse pool)
Onlinemarketplace
Entrepreneurialventures
EstablishedCorporation
Equity Cash
Corporateventure
capital unit
Tech &MarketInsight,returns
Cash
Venturecapital Angel Crowd
fundingCorporate
venture capital
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Gary Dushnitsky Associate Professor London Business School
…And a few implications
When start-ups can choose between investors, the onus is on the investor to articulate their unique selling proposition. Characteristics that distinguish the different investor types include:
• Source of capital (e.g. angel investors are investing their own wealth whereas venture capital funds invest capital committed by their limited partners)
• Timing (e.g. period of investment and time to nurture and exit)
• Investment amount (e.g. investment at current round and the capacity for follow-on investment)
• Investors’ value add (e.g. pool of talent and potential hires, scope of reach to key decision-makers and access to unique resources)
• Portfolio characteristics (e.g. number of portfolio companies, portfolio composition and overlap).
Venture capitalists are traditionally respected for their quality advice, drawing on personal experiences as well as a network of past portfolio companies and industry contacts. More recently, some venture capital funds have moved beyond advice-provisioning and into operational support (e.g. the UK’s LocalGlobe and the US’s Andreessen Horowitz). To that end, they employ cadres of coding, marketing and recruitment talent.
Angel investors often offer advice based on deep personal industry experience and scale-up expertise.
A corporate venturing unit can draw on corporate staff; for instance, mobilising dozens of engineers to advise on and assist with technical issues. Corporate venture capital-backed start-ups may speed up a go-to-market strategy by using access to global distribution channels or deep regulatory contacts.
The average accelerator employs a few dozen mentors that bring operational expertise and access to key decision-makers. The more successful accelerators curate a group of high-quality mentors with whom they have long-term relationships.
A successful crowdfunding round raises capital while mitigating market risk. Success is not only about the total amount raised, but also about the fact that it is the sum of hundreds of individual investors. Such a vote of confidence in a start-up and its product sends a strong signal about viable demand.
Entrepreneurs should pick the most appropriate source of funding for their business strategy. For investors, the opportunity to collaborate across different types of investment structure can leverage efficient capital allocation to grow returns.
Venture capitalists are traditionally respected for their quality advice and industry contacts.
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Accelerators Angels Corporateventurecapital Crowdfundingplatforms Venturecapitalfunds
Source of capital Ultra-high-net-worth Personalwealth. Parentcorporation;ranges Aggregatesrelativelysmall Ultra-high-net-worth individuals,corporations, fromadeal-by-dealbasis amountsacrossmultiple individuals,corporations, not-for-profits. allthewaytoasegregated individuals. pensionfunds,university multi-yearpoolofcapital. endowments.
Objective Generatefinancialreturns Satisfyindividualangels’ Contributetotheparent Satisfyasufficientlylarge Generatefinancialreturns fortheirinvestors. objectives. corporation. numberofindividual fortheirinvestors. investors’objectives.
Timing Pre-determined;per Adhoc,basedonpersonal Similartoventurecapitalfor Adhoc,basedonsecuring Pre-determinedand cohortadmissionand discretion. corporateventurecapital asufficientlylargenumber statedinfunddocuments. graduationdates. unitswithasegregatedpool. ofindividualinvestors. Usually7-to12-yeartime Usuallya3-6monthcohort, Adhocforothercorporate horizon,whereinitial withsomepossibilityfor venturecapitalists. investmentsareundertaken post-graduationinteraction. duringfirstcoupleofyears.
Investment amount Pre-determinedvaluationfor Adhoc,basedon Variesbycorporateventure Theaveragetotalfunds Variesbyfundfocus. eachstart-upinagivencohort. personaldiscretion. capitalobjective. raisedisoften>£150,000, Micro-venturecapitaland £25,000-£150,000inreturn Usually>£25,000. Somefocusonearlystage althoughincreasingnumber seed-stagefundsdeploy fora5%-12%equitystake. Angelgroupsmayaggregate anddeploy>£500,000. ofcampaignshaveraisedan >£500,000. Otheracceleratorsnegotiate members’capitalandthus Othersfocusonlaterstages aggregate>£1m. Othersfocusonlaterstages valuation.Someaccelerators deploylargeramounts>£1m andinvestmultiplesof£m. andinvestmultiplesof£m. mayoffergrants(noequity needed),orprovidein-kind support(noinvestment).
Value added Accesstoanetworkof Opportunitytoaccessangel’s Opportunitytoleverage Attractingmultipleinvestors Opportunitytoaccessventure (oftenunpaid)mentors. expertiseandnetwork. parent-firmresources. canservetovalidatedemand capitalist’snetworkconsisting Thementorsofferindustry Theseincludeindustry TheseincludeR&Dinsights anduncoverdesiredproduct ofindustryexperts,serial experience,scale-upexpertise, experience,scale-upexpertise, (e.g.accesstoR&Dteamand features. entrepreneurs,andknowledge ornetworkoftalentand andnetworkoftalentand facilities),scale-upexpertise ofqualitytalent. contacts. contacts. (e.g.useglobaldistribution Successfulaccelerators channelsanddrawon cultivatehigh-qualitymentors, regulatorycompliance). aswellasastrongalumnibase. Commercialrelationshipwith otherparent-firmdivisions.
Portfolio characteristics Cohortsizeisusuallyinthe Portfoliosizeandfocus Followsathematicapproach Portfoliosizeandfocus Followsathematicapproach lowteens.Someaccelerators variesbypersonalpreference. (e.g.bytechnology,market variesacrossplatforms. (e.g.stageorendmarket). aregeneralists,whileothers orsupportofparent-firm Portfoliosizeisusuallyin aresectorspecialists activities).Portfoliosizeranges thelowteens. (e.g.fintechandedtech). fromahandfulofcompanies toafewdozenactivestart-ups.
Comparisonofinvestorcharacteristicsandmotivations
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Makingthemostofthefundinglandscape
ThevisioncatapultedhisfatherSaul,alongwithSaul’scousinAlexKleinandYonatanRaz-Fridman,tolaunchasuccessfuledtechventureinlate2012.TheRaspberryPi,aninnovativesingle-boardcomputer,offeredapromisingplatformtobuildon.NamedafterKanõJigorõ,thefounderoftheartofjudo,thenascentcompanyfacedseveralchallenges.Ithadtodevelopamodularandaccessibletechnologicalsolutionaroundthesingle-boardcomputer,deviseacost-effectiveprocurementstrategy,ascertaindemand,andvalidateitsbusinessmodel.
Kano’searlystepstookplaceagainstabackdropofavibrantedtechsector.In2012,venturecapitalinvestmentinedtechstart-upsexceeded$1.1bnglobally,and70%ofthedealswereinseedandearly-stagestart-ups,manyofwhichwerefundedbyangelinvestors.Anumberofacceleratorsandcorporate-affiliatedacceleratorsalsotargetedtheeducationmarketandestablishedfirmsengagedincorporateventurecapital.
Case study: Kano KanoisthebrainchildofMicahKleinwho,attheageofsix,wonderedwhetheritwaspossibletomake“acomputerthat’sassimpleandfuntomakeasLego”.17
Thecompanydedicateditsfirstyeartobuildingaworkingprototypeandsecuringasupplychain,fundingitselfthroughitsfounders’resourcesandangelinvestors.Bylate2013,thecompanywassuccessfulatmitigatingtechnologyandprocurementrisk,andthefounderswereponderingwhototargetandhow,howmanyunitstoproduceandatwhatpricepoint,andthecompany’ssubsequentfundingneeds.
17https://www.kickstarter.com/projects/alexklein/kano-a-computer-anyone-can-make/posts/1038454
Kano’searlystepstookplaceagainstabackdropofavibrantedtechsector.
InNovember2013,thecompanyoptedforthecrowd-fundingapproach,securingover$1.5mfrom13,387individualsontherewardplatformKickstarter.Indoingso,itraisednecessaryfundswhilemitigatingmarketrisk.
Eighteenmonthslater,Kanocompleteda$15mfundingroundledbyJimBreyerofBreyerCapital,alongwithJamJarInvestmentandtheCollaborativeFund.Inlate2016,thecompanylauncheditscamera-speaker-pixelkitonKickstarterandsecuredalmost$650,000from2,399individuals.
Traditionaldebtfinancealsoplayedapartinthefundingstructuresthatthebusinessputinplace.AnoverdraftfacilityputinplacebyBarclaysenabledtheteamtorampupproductiontomeettheextraordinarydemandfortheirproduct.
TheKanoteamsuccessfullynavigatedtheirwaythroughthemanyfundingoptionsavailableateachstageoftheirgrowth.
In2013,thecompanyoptedforthecrowdfundingapproach,securingover$1.5mfrom13,387individuals.
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2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
€15.2
2016
€11.2
€3.0
€5.0
€4.7
€3.9
€5.9 €6
.1 €7.2 €7
.7
€10.5
905
1,281 1,425 1,4611,951
2,464
2,969
3,776
4,4074,056
3,045
EuropeanVCactivityVCinvestedreachessecond-highesttotalindecade
DealValues(€B)
#ofDealsClosed
Source:PitchBook2016AnnualEuropeanVentureReport.
Challenges
Growth momentum slowing First,thereistheperceptionofrelativedecline.WhilethetotalvalueoftheUK’sventurecapitaldealsin2016remainsaheadofitsclosestEuropeancompetitors,thecountry’srisemayhavestalled.UKtotaldealvaluepeakedin2015beforefallingbackin2016.France’sventurecapitalinvestment,meanwhile,sawacompoundannualgrowthrateof40%between2012and2016,andSweden’swasanenviable140%overthesameperiod.Sowhilebothcountries’totaldealvaluesremainbelowtheUK’s,theyaregrowingfaster.
Cost of living Second,UKlivingcostsareexpensivecomparedwiththoseinotherEuropeancountries.Thisisespeciallytrueintechnologyclusters,andforacost-sensitivestart-up,costoflivingmatters.RentinBerlin,forexample,isover60%lowerthaninLondon,amealisnearly40%cheaper,andamonthlytransportpassisover47%cheaper.Theaveragesalaryofasoftwareengineer,meanwhile,is£56,000inLondonand€50,000inBerlin.
Looking ahead: challenges and opportunitiesVenturecapitalintheUKfacessomeheadwindsinthecomingyears,buttheingenuityandinnovationthathascharacteriseditsdevelopmenthistoryshouldensureitcontinuestothrive.
Brexit and the European Investment Fund Third,investmentfromtheEuropeanInvestmentFundaccountedforoverathirdoftheinvestmentinUKventurecapitalbetween2011and2015,18andnowthecountry’sexitfromtheEUputsitsrightstotheFundindoubt.WhiletheUKdoesnothavetobeamemberoftheEUtoaccesstheFund,EUmembershipconfersautomaticmembership,sowhetherBritishfirmscanaccessfundinginfuturedependsonhowtheinstitutioninterpretsitsmembershiprules.TherearereportsofacoolingtowardsUKinvest-mentsfromtheFund.19However,UKpoliticiansfromallpartieshavestressedtheircommitmenttosupporttheUKtechandhighgrowthindustriesinthefuture.
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Opportunities
TheUKventurecapitalscenewill,however,retainanumberofconsiderableadvantagesinthecomingyears.
Incubator of tech talent First,itwillnotloseitsplaceasafactoryoftalentedtechnologists.EightofEurope’stop20universitiesareintheUK,andthecountryleadsintechtalent.Forexample,LondonhasnearlytwiceasmanyusersofGithub(asoftware-developmentplatform)asParisorBerlin.20
Sub-sector thought leadership Second,healthtech,fintech,andartificialintelligence(AI)arelikelytoremaininvestorprioritiesinthecomingyears,andtheUKhasadvantagesineach.ThecountryishometopioneeringglobalAIcompanyDeepMind–nowasubsidiaryofGoogle–andresearchhubssuchastheAlanTuringInstitute.Infintechandhealthcare,too,theUK’straditionaladvantagesintalent,institutionsandpayarelikelytocontinuetobeattractivetoinnovators.
Barclays’TonyBroccardoaddsthatthereareparticularadvantagesinfintechbecausethebankingarrangementsthatthesectoristryingtodisrupt“arenormallymoresimilarthandifferent”acrossborders,whichmeansthatonceanapphasachievedascalablebusinessmodel,itislikelytobeabletoapplythatmodelglobally.
Corporate engagement is strong Third,corporateventurecapitalintheUKisontherise.Dealactivityincreasedby35%in2016comparedwith2015;globally,itfellby2%.21FooddeliverycompanyDeliveroo’sseriesEroundandsecuritycompanyDarktrace’sseriesCround,forexample,werebothbackedbycorporateventurearms.
Scale of existing investors Fourth,theUKislikelytoremainuniqueinEuropeforthesizeofitslate-stagefunds,suchasAccel,IndexVentures,BaldertonCapitalandAtomico.
Start-up infrastructure Fifth,theUKhasaheadstartonotherEuropeancountrieswhenitcomestoaccelerators.Ithasanumberofwell-establishedandwell-regardedacceleratorsthatarelikelytoincreasethesizeoftheirinvestmentsatseedstage.
Government priority Finally,thegovernmentseemstobecommittedtosupportinginnovation,suchaswitha£1bninvestmentprogrammeindigitalinfrastructure,theEnterpriseInvestmentScheme,andtheSeedEnterpriseInvestmentScheme.
BroccardosaysheisupbeataboutBrexit’seffectonfinancingbecause“poolsofcapitalsuchaspensionfundsandlong-termfinancearemorethanadequatetofundthesegreatideas...becausetherealityistherearen’tthatmanygreatideas.”Inotherwords,thefutureofventurecapitalasanindustryismorelikelytobelimitedbyinvestiblecompaniesthanalackofcapitalduetoanyregulatorychange.
18https://ftalphaville.ft.com/2017/05/10/2188575/brexit-trouble-for-british-venture-capital/19https://www.ft.com/content/8fab88be-34c9-11e7-bce4-9023f8c0fd2e20http://technation.techcityuk.com/21http://techcitynews.com/2017/02/22/uk-corporate-venture-capital-activity-rose-by-35-in-2016/22https://www.timeshighereducation.com/student/best-universities/best-universities-europe#survey-answer
TheUKwillnotloseitsplaceasafactoryoftalentedtechnologists.EightofEurope’stop20universitiesarehere.22
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DespitethechallengesfromBrexitintermsofattractingtalentandeaseofdoingbusiness,theUKislikelytoremainthecentreofgravityforEurope’sventurecapitalscene.
GaryDushnitskyemphasisesjusthowfasttheUK’sventurecapitalindustryisalreadyprogressing.“Whatgivesmealotofcomfort,”hesays,“isthesheerspeedoftheUK’sprogress,evenjustoverthelastdecade.Tenyearsago,therewasarealscarcityofcapitalforearly-stagestart-ups.Eventhoughyouhadthetechnologyandtheenterprisingindividuals,theydidn’tnecessarilyhavetheriskcapitalinthevolumenecessarytosupportthem.”
“Fastforwardto2017,”headds,“andtheUKishometosomeofthemostexcitingseed-stageinvestors,adozenaccelerators,andventureinvestorsthatspecialiseindifferentstagesoftheinvestingprofile,sothere’sarobustinfrastructureinplacetosupportentrepreneursatallstagesoftheirjourneys.Comingupwithsomethinglikethatisnotsomethingthatyoudoovernight.TheUKhasbuiltasystemthatcanserviceitwellinthecomingyears.”
TheUKisalsowell-positionedtotakeadvantageoflikelyfuturegrowthsectors.TonyBroccardoseesbigopportunitiesinanumberofsectors–particularlyinrobotics,wherehesays“innovationswilllastforgenerations”,andinhealthcare,wherebigdatawillenableinsurerstopricepoliciesmoreaccurately.Fintech,wheretheUKalreadyhasaheadstart,islikelytocontinuetogrow.
ConclusionToday,theUKhasastrongclaimtohaveevolvedthemostsophisticatedecosysteminEuropeforyoungstart-upstogrow:education,techhubs,apopulationofearlyadopters,andplentifulfundingrightupthevaluechain.
WillBowmersharesthisoptimisticoutlook.“There’sanexpectationthatanumberofverylargeventure-backedcompaniesaregoingtogopublicinthenexttwoyears,”hesays.“Theavailabilityoflate-stageprivatefundinghasallowedmanyofthesecompaniestostayprivatelongerandgrowbigger.Asthosecompaniesemergeonthemarket,they’regoingtobehuge–andthat’sgoingtohelprebalancethesupplydramaticallyinthenexttwoyears.”
TheUKislikelytocontinuetobeuniqueinEuropeforthepresenceofcapitalfundswhichcanprovidefundingfromearlytolatestage,foritswealthoftechnologyandinvestmenttalentandexperience,foritsvarietyofinvestmentstructures,andforitsentrepreneurialculture.Theseadvantageshavebeenbuiltupovermanyyears,andwilltakealongtimeforothercountriestoemulate.
Today,venturecapitalisvitaltotheUKeconomy–fuelingthehigh-growthstartupswhichdeliverinnovation,productivitygains,andgrowth.Itsroleinfundingandmentoringfast-growingUKcompaniesislikelytobecomeevenmorecriticalintheyearsahead.
Inaddition,entrepreneurshiphasgonemainstream,peoplearedreamingupideasonthesideofthedesk–tryingtostartnewthingsanddisruptthestatusquo.Peoplearebecominglessfearfuloffailure.ThisisashiftinmindsetfortheUKthathasbeenintheUSsincetheadventofSiliconValley.Anditisonethatbodeswellforanuncertainfuture.
AnotherfactordrivinggrowthintheUK’sventurecapitalindustryisthefactthattechnologyhasbecomemorewidelyaccessible.“We’reincreasinglyseeinginnovationdeliveredbysmallercompanies–that’saveryexcitingtrendandsomethingthatwewanttosupportasmuchaswecan,”explainsSeanDuffy.
TheUKishometosomeofthemostexcitingseed-stageinvestors.
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Barclays’ support for the sector Barclayshasalwaysbackedvisionariesandinnovatorsthroughoutour325+yearhistory.Fromfundingrailwayexpansionintheearly19thcenturytomobilepaymentandblockchaininnovationtoday,we’veconsistentlysupportedthedisruptorswho’vechangedtheworld.
Weofferarangeofservicesandinitiativestosupportthecurrentecosystem.
Dedicated Barclays support teamsOurVentureCapitalCoverageUnithasbeensetupspecificallytoco-ordinateourvariousinvolvementswiththeecosystem.WeintendtobringtheexpertiseofthewholeBarclaysGrouptohelpVCfundstomaximisereturnsandtosupportthebusinessestheyhaveinvestedintoachievethehighestlevelsofsuccess.
WehavebuiltanetworkofdedicatedhighgrowthexpertsacrosstheUK,whouseourdeepunderstandingoftheentrepreneurialjourneyandlandscapetosupportbusinesses.
Holistic funding Barclayshascreatedventureloanproductstohelpsupportfast-growing,equity-backedbusinessesaheadofthemreachingcashflowbreakeven,inadditiontoourextensiverangeofmoretraditionaldebtproducts.
Wecurrentlyhaveafundof£200mavailableforventuredebtforSeriesA,BandCstagecompaniestohelppromisingbusinessesscaleup.
EagleLabs
Providingworkspacesandtoolstohelpindividualsgrowtheirbusinessorideas.Designedtohelp
customersandnon-customersinlocalbusinessesandcommunitieslearnaboutnewtechnologies
andboosttheirownandtheUK’sdigitalskillsandconfidence.
UnreasonableImpact
UnreasonableImpact,createdwithBarclays,istheworld’sfirstinternationalnetworkofaccelerators
focusedonscalingupentrepreneurialsolutionsthatwillemploythousandsofpeople,whilesolvingsome
oftheworld’smostpressingsocietalchallenges.
BarclaysAccelerator
DeliveredinconjunctionwithTechstars.PromisingFinTechstart-upsgetfundingfora
13-weekdevelopmentprogramme,withmentoringandnetworking,aswellasaccesstoworkspaces
tohelpthemaccelerate.
Rise
Riseisouraward-winningcommunityoftheworld’sbrighteststart-upsandexpertsworkingtogethertocreatethefutureoffinancialservices.HometotheBarclaysAcceleratorprogramme,theRisephysical
hubsarebasedinstrategiclocationsacrosstheworldfromLondon,ManchesterandNewYorktoCapeTown,TelAviv,VilniusandMumbai.
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About the authors
SeanDuffyHeadofTechnology,MediaandTelecomsBarclays
GaryDushnitskyAssociateProfessorLondonBusinessSchool
SeanleadstheTMTandHighGrowthGroupforBarclaysCorporateBanking.TheteamfocusesonallstagesoftheTMTsectorfromearlystagebusinessestoFTSE100names.Inthelastcoupleofyears,theyhavedevelopedaspecialisminfinancinghighgrowthanddisruptivecompaniesthroughthelaunchofaventuredebtproduct–theonlymajorUKbankcurrentlyofferingthisservice.
SeanobtainedaPhDinphysicsbeforetrainingasanactuary.HeworkedininsuranceandconsultancybeforemovingacrosstoBanking.Hehasbeenactiveintheworldofcorporatefinanceforthelasttenyearsacrossarangeofdifferentsectorsandassetclasses.
M:07775548118*[email protected]
GaryDushnitskyisanAssociateProfessorofStrategy&EntrepreneurshipatLondonBusinessSchool.HealsoservesasaSeniorFellowatTheMackInstituteforInnovationManagementatTheWhartonSchool(UniversityofPennsylvania).Gary’sworkfocusesontheeconomicsofentrepreneurshipandinnovation.Heexplorestheshiftinglandscapeofentrepreneurialfinance,exploringsuchtopicsascorporateventurecapital,crowdfunding,andangelinvestors.Hisresearchappearedinleadingacademicjournals,includingOrganizationScience,StrategicManagementJournal,andNatureBiotechnology.
GaryservesastheCo-EditoroftheStrategicEntrepreneurshipJournal,andaSeniorEditoratOrganizationScience.Hereceivedseveralacademicdistinctionsincludingthe2013SMSEmergingScholarAward,the2009KauffmannJuniorFacultyFellowship,andseveralbestdissertationprizes.GaryadvisescorporationsintheHiTech,Food,CleanTech,andPharmasectorsonahostofcorporateventuringissues,andhasbeeninvolvedinseveralindustryreports,aswellaskeynotesandpanelssuchastheYPO,WorldEconomicForum,OECD,EVCA,BVCA,andothers.HisstudieshavebeencoveredinthebusinessmediaincludingBusinessWeek,DowJonesNews,EntrepreneurMagazine,FinancialTimes,LesEchosetc.
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JulietRoganHeadofHighGrowthandEntrepreneursBarclays
TomEasterbyHeadofVentureCapitalCoverageBarclays
JulietRoganleadsanationalteamofHighGrowthRelationshipDirectorsfocusedonsupportingcompaniesscalefromstart-uptoexit.OverthelastsixyearsJuliethasworkedacrossBarclaysCorporateandInvestmentbank,specialisingintheTechMediaandTelecomsSectorandplayedanintegralroleinbuildingBarclays’highgrowthfranchiseandventuredebtproduct.PreviouslyDirectorforBarclays’Technology,MediaandTelecomsteam,shehasworkedwithaportfolioofsomeofthemostexcitingtechcompaniesinLondonincludingBlippar,KanoandSwiftkey.ShejoinedBarclaysin2010afterqualifyingasanaccountantatKPMG.
M:07585961157*[email protected]
TomleadstheVCCoverageunitforBarclaysintheUK.TheteamhascomprehensivecoverageofUKVCs,coordinatingthedeliveryofbankingservicesacrosstheBarclaysGroupandeffectiveengagementwithportfoliocompanies.Thisrangesfromtheprovisionofcorporatebankingandventuredebtsolutionstolaterstageinvestmentbankingadvisoryservices.Inaddition,theteamlookstocoordinateengagementbetweenBarclaysITandInnovationhubsandourcorporateclientbase,withourVCnetwork.
Tom’scareerbeganincorporatefinanceanddebtadvisory,workingacrossarangeofplcandprivateequity,M&Aandfinancingdeals.AtBarclaysTomhasspentaperiodasaDirectorinDebtFinance,supportingcorporateandprivateequityclientswithfinancingtransactions,predominatelyintheTMTsector,partneringwithcolleaguesrightacrossthebank.InadditiontothisTomhasexperienceworkingwithearlystagebusinesses,focusingspecificallyonfinancingandventuredebt.
M:07793215701*[email protected]
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TofindoutmoreabouthowBarclayscansupportyourbusiness,pleasecall08000154242*orvisitbarclayscorporate.com
Further information Risethinkrise.com
UnreasonableImpactunreasonableimpact.com
Twitter@BarclaysEntpr
LinkedInBarclaysEntrepreneurs
*Callsto0800numbersarefreefromUKlandlinesandpersonalmobiles,otherwisecallchargesmayapply.Tomaintainaqualityservicewemaymonitororrecordphonecalls.
Theviewsexpressedinthisreportaretheviewsofthirdparties,anddonotnecessarilyreflecttheviewsofBarclaysBankPLCnorshouldtheybetakenasstatementsofpolicyorintentofBarclaysBankPLC.BarclaysBankPLCtakesnoresponsibilityfortheveracityofinformationcontainedinthird-partynarrativeandnowarrantiesorundertakingsofanykind,whetherexpressedorimplied,regardingtheaccuracyorcompletenessoftheinformationgiven.BarclaysBankPLCtakesnoliabilityfortheimpactofanydecisionsmadebasedoninformationcontainedandviewsexpressedinanythird-partyguidesorarticles.
BarclaysisatradingnameofBarclaysBankPLCanditssubsidiaries.BarclaysBankPLCisauthorisedbythePrudentialRegulationAuthorityandregulatedbytheFinancialConductAuthorityandthePrudentialRegulationAuthority(FinancialServicesRegisterNo.122702).RegisteredinEngland.Registerednumberis1026167withregisteredofficeat1ChurchillPlace,LondonE145HP.
June2017.BD05607.
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