KBC Group Launches €100 Million 'Start it Fund' to Boost Belgian Start-up Ecosystem

KBC Group Commits €100 Million to Belgian Start-ups

KBC Group has announced a significant investment of €100 million through its accelerator program, Start it @KBC, to bolster the Belgian start-up ecosystem. This substantial commitment includes the launch of a new dedicated fund, named the 'Start it Fund', designed to provide crucial early-stage financing and accelerate the growth of promising ventures across Belgium.

The investment addresses a long-standing demand from founders for accessible early-stage capital, aiming to create a comprehensive support pathway for entrepreneurs from their initial concepts to a potential Initial Public Offering (IPO).

A Decade of Nurturing Entrepreneurship

The Start it @KBC program, which originated eleven years ago within KBC, has grown to become Belgium's largest start-up ecosystem. Since its inception in 2014, the accelerator has coached over 1,900 start-ups, supporting more than 150 young companies annually.

Johan Thijs, CEO of KBC Group, emphasized the bank's entrepreneurial roots, stating, 'What began as a small initiative has grown into Belgium's largest startup ecosystem. Entrepreneurship is in our genes: KBC was co-founded by entrepreneurs and stimulates innovation both outside and within the organisation.' He added that the new fund allows KBC to 'truly support founders from idea to IPO' by providing not only knowledge and a network but also 'capital tailored to their growth ambitions'.

Innovative Funding Model and Growth Acceleration

The 'Start it Fund' introduces an innovative, founder-centric funding model. While the accelerator's initial 'no equity' philosophy remains for the program's duration, investment opportunities are offered to the top 1% of applicants at the conclusion of their acceleration phase.

Key aspects of the fund include:

• An average investment of €300,000 per start-up at the early stage, with flexibility for higher amounts based on specific needs.
• Start-ups retain full autonomy, with the option to accept or decline the funding.
• Those who accept the investment will receive an additional year of dedicated guidance within the Start it @KBC ecosystem.
• The most exceptional companies from the 'Start it Fund' portfolio may also qualify for follow-up financing of up to €5 million through KBC Securities, addressing a critical gap in scale-up capital within the Belgian market.

Lode Uytterschaut, founder and CEO of Start it @KBC, highlighted that the fund fills a missing piece in their support structure, stating, 'We already had coaching, community, and a European ecosystem - only one thing was missing: investing ourselves at the early stage. We are now filling that gap, at the request of founders, and in a way that centres them.'

Impact and Future Outlook

The initiative is poised to significantly enhance Belgium's standing as a hub for innovation and business growth. Start-ups supported by Start it @KBC have collectively raised over €1.1 billion and created more than 12,000 jobs, making the ecosystem one of Belgium's largest employers.

The program boasts a remarkable 73% survival rate after five years, significantly surpassing the international benchmark of 51% for venture-backed start-ups. Notable success stories include companies like Aikido Security, Bolt, Loop Earplugs, and Crazy Games.

Tim Derycke, Head of Investment Services & KBC Focus Fund at KBC Securities, noted, 'With KBC Securities, we offer not only follow-up financing but also access to the venture capital experience and technological expertise of our investment team.' This integrated approach aims to help top-tier start-ups evolve into stable scale-ups.