Newcastle-based Atlas Cloud has turned to equity funding to finance the expansion of its business software services.
The IT services company has banked £350,000 from Northstar Ventures, a venture capital firm with in excess of £80 million under management, as well as private investors.
Founded in 2010, Atlas Cloud designs, builds and manages hosted desktop services, allowing companies to access systems remotely.
Commenting on the investment, Atlas Cloud CEO Pete Watson says, ‘We have been well supported by Northstar, Watson Burton and investors – both our existing and new investors – as we closed this round of investment at £350,000.’
The investment is the second time that Northstar Ventures has backed Atlas Cloud, with a previous commitment made from the firm’s Proof of Concept Fund.
Michelle Cooper, investment manager at Northstar Ventures, adds, ‘It was a real opportunity for us to back a growing business at a time of rapid interest in cloud technology.
‘It has been great to see the company grow and secure some large customers, including Age UK and J&B Recycling.’
More on Northstar Ventures investments:
- Northstar backs WhatUsersDo with £150,000
- Third round of funding for Deminos to ramp up hiring
- Northstar investment allows LoveYourLarder to expand
Alongside its Newcastle headquarters, Atlas Cloud also has bases in Leeds, Sheffield and London. Its customers include solicitors firm O’Neill Robson Palmer, property management and lettings agency KIS Lettings and environmental consultancy Ecus.
Growth using the equity funding will be pursued on both a regional basis in the North of England and nationally throughout the UK.
Northstar Ventures focuses on high-growth business in the North East and is backed itself by the European Regional Development Fund and the European Investment Bank.