A £1 million competition has been launched to encourage start-ups to move to London and highlight the capital as a ‘prime location’ for building global digital and technology businesses.
A new initiative, called the Million Pound Startup, is offering one business the chance to net a £1 million investment in the hope that it will go on to become the next £100 million technology company.
Facilitated by Digital Shoreditch, and backed by the likes of Boris Johnson, the Tech City Investment Organisation (TCIO), crowdfunding platform Seedrs and KPMG, the winning company will receive support and assistance from partners in setting up in London as well as the £1 million investment.
Under the criteria of the competition, entrants must have a turnover of less than £1 million a year and be fewer than ten years old.
The £1 million investment is being sourced through a combination of angel funding, institutional capital and equity crowdfunding, with Seedrs running the process.
London Mayor Boris Johnson comments, ‘London is a terrific home for technology start-ups and a world leader in this booming sector.
‘This competition is an aptly innovative approach which I hope will unleash even more of the entrepreneurial talent for which this city is renowned.’
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The Million Pound Startup award is part of London’s Digital Shoreditch 2013 festival, an event which celebrates the creative, technical and entrepreneurial talent of East London and Tech City.
Benjamin Southworth, deputy CEO of TCIO, adds, ‘The Million Pound Startup competition perfectly demonstrates how London and the UK are open for business.
‘Entrepreneurs based here can benefit from the world’s most ambitious package of policies, business incentives, tax and visa support as well as the diverse and vibrant start-up ecosystem in Tech City.’
At time of press, the Seedrs pitch had attracted investments of £213,290 from 35 investors in less than a day of being live.
Jeff Lynn, co-founder and CEO of Seedrs, says, ‘We’re excited to be opening up access to the contest to eligible investors, who can invest from as little as £10 into a potential great new company.’