As the demand for software as a service explodes across the marketplace in all industries across the globe, SaaS businesses are no longer considered “alternative investments,” and more investment firms and funds are targeting the SaaS world. Investors are paying close attention to up and rising SaaS companies and products.
SaaS products have a strong performance across industries indicating steady demand, high valuation, and growth potential, which is highly appealing to those who have money to invest. Due to the popularity of subscription-based models, which yield high recurring revenue and high margins, investors are interested in SaaS companies now more than ever before. Investors are looking for innovative, disruptive software that will solve real-world problems that will transform industries and platforms that change the way people and businesses operate.
Following is a list of international venture capital investments firms, ranging from capital investment firms to angel funds, that invest in SaaS and cloud-based companies, ranging from seed companies to mature companies and everything in between:
1. SaaStr Fund
SaaStr has invested more than $100m into seed and late seed SaaS and Cloud companies. They focus their energy on early-stage funding, usually allocating between $500k and $6 million per startup. They work with SaaS/B2B/B2D enterprise startups that focus on business software, APIs, and tools for software building. The SaaStr Fund focuses on launching, scaling, and promoting SaaS companies and their products while offering their experience to support the company with business operations by helping build management and marketing teams.
SaaStr has invested in companies like Mixmax, Automile, and Teamable.
2. Point Nine Capital
Based in Berlin, Point Nine focuses on funding SaaS companies, online marketplaces, and mobile apps. They invest at seed, occasionally making pre-seed investments and assist in the expansion of the company from acquisitions to employment through their mentorship forward approach. Though Europe is their home marketplace, about 40% of their investments are in other countries.
They have investments in Geckoboard, ChatMogul, Container xChange, and Zenaton.
3. Accel
With more than 30 years of experience, Accel is one of the most well-known venture firms in the investing world. With companies such as Facebook, Etsy, and Spotify in their repertoire, they are a prime choice for upcoming tech firms to angle. Their targeted investment sectors include computing and storage infrastructure, consumer internet and media, networking systems, security, and technology-enabled services, to name a few.
SaaS companies like Dropbox, Atlassian, DocuSign, and Slack make up their portfolio.
4. New Enterprise Associates
With a focus on technology and healthcare, New Enterprise Associates often combines the two industries. In operation since 1977, they lend their expertise and experience to funding early-stage companies to fuel the growth of market leaders with their proven investment strategies for all stages of a company’s development. They have invested more than $19 billion of capital for their companies while also building the operational aspects.
New Enterprise Associates have backed companies like MindTrickle, VividCortex, and greyHR showing their SaaS-heavy portfolio.
5. Tiny Seed
TinySeed, founded in 2018, works closely with SaaS bootstrappers. More than early-stage funding, they provide mentorship as well as funding for startup founders to live for a year as they build their business. Tiny Seed, run by two serial entrepreneurs, is an accelerator that focuses on SaaS and “non-unicorns” (companies not planning on reaching a $1 billion valuation). They specialize in early-stage funding as they are a startup accelerator. They are an alternative early-stage funding for startups, especially those in the SaaS sector.
Their cohorts include Aurelious, Breachsense, Cloudforecast.io, Postaga and Zentake.
6. LTV SaaS Growth Fund
LTV SaaS Fund has over 10+ years of industry experience and specializes in mid and long-term investment with a core focus on SaaS businesses and recurring marketplace apps. They focus on acquiring, optimizing, and scaling SaaS businesses and have an approximate return rate of 174% over a 3-5 year term. They excel at having a diversified investment base while managing risk for the companies they invest in.
Their SaaS product portfolio boasts of apps like Txt2Giv, Trackify, Website On-Demand, and In Cart Upsell.
7. Sequoia Capital
With a focus on investments in energy, finance, healthcare, enterprise, and the internet, Sequoia Capital is one of the giants in the SaaS investment world. With investments in more than 1220 companies, they lean heavily towards SaaS companies, assisting small entrepreneurs to reach their full potential. Sequoia-backed companies make up more than 25% of NASDAQ’s total value. Partnering at every stage, usually early, their investments founders have a public market value reaching $3.3 trillion.
Some of their companies include AdMob, Alkira, Found, IPG, and Qualtrics.
8. True Ventures
With more than $1 billion under management and $2 billion invested into 300+ teams, True Ventures invests in Israeli and European entrepreneurs. 83North focuses on enterprise-related startups providing industry-specific expertise and offering operational advice to help companies use funding wisely.
Their portfolio boasts of companies like HashiCorp, Automattic, Madison Reed, Tray.IO, and Puppet.
9. Andreessen Horowitz
With an eye on disruptive technologies, machine-learning, SaaS realms, and big data, Andreessen Horowitz invests in seed to late-stage technology companies. They have invested in companies that span the industries of consumer, enterprise, bio/healthcare, and fintech spaces with an eye towards disruptive technologies. Their network of experts combines their technical and executive knowledge to provide entrepreneurs with expertise and insights that span the spectrum of company building.
Some of Andreessen Horowitz’s portfolio standouts include Alluxio, Granular, and Journera.
10. PROfounders Capital
PROfounders Capital, a European-centered firm, focuses on early-stage investments in the technology sector with products that seek to transform and improve customer experience. They believe there is more to investment than a financial commitment; it is about being partners. Their investment partners have a deep knowledge base, having independently built successful businesses themselves. They aim to create partnerships through a proactive approach and honest advice-seeking out early-stage companies with an eye for disruptive SaaS models that aim to transform the user experience.
They have backed companies like Syft, Unity, Packhelp, and Tweetdeck.
11. Draper Esprit
Draper Esprit is on the hunt for high-growth companies with disruptive products, innovative tech, strong IP, and highly driven management teams that have global potential. They seek to collaborate between entrepreneurs and investors so that teams can get innovative products into the tech ecosystem. With a focus on the European market, Draper Esprit invests heavily into the tech world by seeking to establish long-term commitments and partnerships with the companies they invest in, setting them apart from many other venture capitalists who have much shorter investment models.
They have backed many SaaS companies including Aircall, Crosslend, Bright Computing, and Conversocial.
12. Bessemer Venture Partners
Though Bessemer Venture Partners invests in companies starting with seed and Series A stages, they are in it for the long term at every stage of growth. They seek the people and companies that are out to shape the tech world landscape with innovative and revolutionary SaaS enterprises, especially in the healthcare, enterprise, and consumer industries. As the modern business will become increasingly connected to and dependent on SaaS, Bessemer knows that the future is in software that has accelerated product innovation and flexible operations that can outmaneuver the competition.
Some of the most impressive SaaS companies in their profile include SendGrid, DocuSign, Yelp, Skype, Wix, and Shopify.
13. SaaS Ventures Capital
SaaS Ventures specializes in early-stage ventures and invests in the best enterprise tech companies. They typically partner with other venture firms to give SaaS companies what they believe is a village that will build great enterprise companies. They invest in software as a service companies as they feel SaaS companies have the highest potential for success and represent the best opportunities for investment. Though they may not offer the total investment, they specialize in finding and collaborating with other quality investors to get SaaS companies on the road to success.
Their portfolio of companies includes Idelic, Mimecast, Rosy, Lanehub, and Klir.
14. Boldstart Ventures
Boldstart Ventures ideally gets involved with technical founders before company creation. They are looking for companies seeking to reinvent the enterprise stack and create new categories. Boldstart Ventures is a first check lead for founders, and they help with pre-product rounds and rally their developer-first and SaaS network. With their community of experts, both advisors and executives alike, they want to accelerate ideas into action.
Some of their startup investments have been notably acquired by Salesforce, LinkedIn, and Google. In the SaaS world, they have invested in BigID, Synk, Superhuman, and SecurityScorecard.
15. Atlanta Ventures
Atlanta Ventures does more than invest in startups; they seek to equip SaaS companies with the tools and resources of community, content, and capital so that entrepreneurs are empowered to succeed. They focus on investing in early-stage companies by systematically starting and growing subscription companies with the goal to elevate the next generation of entrepreneurs to solve real-world problems.
Their portfolio companies include Calendy, Terminus, SingleOps, Salesloft, and Teamworks.
16. Northzone
Based out of Sweden, Northzone is an early investment firm. They seek out disruptive technologies that will shake up enterprise-level workings across industries. Northzone wants companies that will be category leaders that redefine those categories. As former entrepreneurs, having sat on both sides of the investment table, they have the skills and experience to offer as they build long-term partnerships focused on growth and success. With a focus on partnership and collaboration, Northzone is committed to their entrepreneurs for their long-term growth and potential.
Notable SaaS companies they have worked with are HappyOrNOt, Aevy, and iZettle.
17. Emergence Capital
With the belief that enterprise software could move the cloud before it was popular, Emergence is one of the giants in SaaS investing. With only 5-7 investments a year, they focus their collective powerhouse of experience and expertise using a hands-on approach to invest in people who will change the way the world works. Instead of a wide cast net throughout industries, they have chosen their niche to be early-stage enterprise SaaS.
Their impressive portfolio speaks for their model, which includes companies like Zoom, Welltok, Yammer, and Veeva.
18. 500 Startups
Spread over 20 countries and with over 25 languages spoken and investments into more than 75 countries, 500 Startups is one of the most accessible companies in the world for venture capital and mentorships. While SaaS is not their primary focus, it ranks 4th in their areas of investment. They have invested in over 2200 tech startups internationally and are committed to helping early-stage companies find their momentum. They have a Seed Accelerator Program specializing in supporting startups through marketing, customer acquisition, and fundraising for pre-Seed companies.
Their SaaS investments include YayPay, Inagrab, Canva, Udemy and Ipsy.
19. Matrix Partners
As company builders turned investors, Matrix Partners has over 40 years of industry experience. They focus on company building and long-term partnerships with early-stage startups to help young companies amplify their potential. Though they are US-based, they have been expanding into China and India in recent years.
They have invested in HubSpot, Carmera, CloudBees, Salsify and Namely.
20. Battery Ventures
Focusing on collaborative, research-driven investing, Battery Ventures makes early investments as well as growth and buyout investments in the tech sector. They support companies by focusing their expertise on building branding, communications, business development, scaling IT infrastructure while developing leadership and growth in their investments. They work with companies around the globe from seed to buyout. Their core focus industries are application software, infrastructure software, consumer, and industrial tech.
Some of Battery Ventures’ SaaS portfolio consists of Bonfire, Collibra, Chargify, and Boost Media.
21. Scale Venture Partners
A Silicon-based venture capital investment firm, Scale Venture Partners, focuses on enterprise software companies building cognitive apps and intelligent business software. The goal is to transform how the enterprise works. They are also the founders of Scale Studio, a benchmarking tool that accesses the metrics of SaaS and cloud companies so that companies can understand and compare their performance to similar businesses.
Some of the cognitive application businesses they have invested in are Comet.mi, Techsse, Viz.ai, and Observe.ml.
22. OpenView
OpenView wants to take software companies and turn them into market leaders who seek to improve people’s working lives. As an expansion stage venture firm, they help companies hire the right team, acquire and retain quality customers by partnering with industry leaders for market domination. OpenView specializes in the SaaS and enterprise fields and provides mentorship and partnership. Their expansion platform is designed to help entrepreneurs with acquisition and conversion, retention and expansion, corporate development, pricing and packaging, and executive networking.
Some of their projects include DataDog, Expensify, Highspot, Fieldlens, and Deputy.
23. In-Q-Tel
As a non-profit strategic investor, In-Q-Tel identifies and partners with cutting-edge and innovative technologies that enhance, protect and preserve U.S. national security. As an extension of the CIA, they are ideal for companies with technologies and products that contribute to national security. IQT has provided the intelligence and national securities sectors reliable technology and innovation for over 20 years.
Some companies that have received IQT funding include Lynq, Spotfire, and Coder. In-Q-Tel
24. Frontline Ventures
Frontline Ventures specializes in B2B SaaS companies that have their sights set on global ambition. As a team of entrepreneurs, Frontline has built many businesses and has helped numerous founders and CEOs around the globe. They strive to fast-track development moving towards expansion, assisting with everything from recruitment to funding with their expertise and their investments of capital and experience.
They have partnered with some of the most successful B2B companies, including Segment, Looker, Linkdin, Google, and Workday, and have backed companies like Pointy, Currencyfair, People.ai, and Brightflag.
25. Uncork Capital
A pioneer in the micro-VC market, Uncork Capital, has invested in over 220 companies. They are invested in helping early-stage companies find the talent they need to build a qualified and quality team and establish the building blocks for success by creating an infrastructure that will make a future. With a primary focus on SaaS and consumer services, they seek to launch companies to compete with the best in the world. They are on the hunt for outliers and out-performers who are determined to solve real-world problems with technology.
Their SaaS companies include SendGrid, Launch Darkly, and Front.
26. Eight Roads Ventures
Eight Road Ventures is a global-reaching investment firm that has invested more than $6 billion in the healthcare and technology sectors. They have a highly selective process, but when they choose to invest in a software company, they provide funding and recruitment advice, optimization of operations, and marketing while helping brands with international expansion.
They have worked with SaaS companies like ForceClouds, Silot, and Neo4.
27. Frog Capital
With an emphasis on enterprise-level technology, Frog Capital has been named the VC and Growth Capital House of the Year for 2019 and 2020 Unquote British Private Equity Awards. They focus on long-term success by choosing the best scale-up phase investments. Frog Capital focuses on providing a blend of team, process, and insight to enable productivity through aggressive planning for success and building a resilient team and business that are the building blocks of a sustainable and profitable business.
Their portfolio includes companies like Sellics, Dealfo, Vulog, and Dynamic Action.
28. Forum VC
Forum VC, formerly known as Accelprise, is young on the market compared to some of the giants in the venture capital world, but they are making a name for themselves. They focus on investing in early-stage B2B SaaS and enterprise tech. They have also invested heavily in pre-Seed capital into SaaS companies with disruptive SaaS technology. Knowing that the way companies work is ever evolving, they are looking for companies to help shape a more productive and flexible work environment. Forum is also committed to investing in vertical SaaS, API first companies, applied AI, supply chain and logistics enablement, and B2B marketplace and eCommerce.
Forum has invested in companies like Courier, Oncue, Exact Target, Indio, and Firstbase.
29. Insight Venture Partners
Insight Ventures seek to create, build, and grow innovative companies that generate exceptional results from new startups to business revamps. They are a growth-stage firm that focuses on scaling tech companies to provide innovative products across the labor marketplace and economy. Insight prides itself on being knowledgeable about industry patterns, emerging tech markets, and software trends. Insight Venture Partners are experts in SaaS pattern recognition, project building, and execution.
Their SaaS portfolio includes Veeam, Hello Fresh, Exact Target, Yext, Calm, and JFrog.
30. Prime Ventures
A Euro-focused venture capital investment firm, Prime Ventures leverages its capital, experience, and network for companies in the technology industries. They are looking for entrepreneurs with the highest potential to become the leaders of global companies. They focus on consumer internet, digital media, software, communications, and clean technology, among other interests. Prime Ventures only invests in high-growth companies that they believe will achieve international dominance.
Their SaaS portfolio includes Perpule, 4CInsights, and Falcon.io.
Finding the Right SaaS Investors
As varied as the software as a service sector is, so are the investors that fund innovative SaaS technology. Finding the right investors to back your SaaS company and SaaS product is critical to your success. An investor will be a partner, collaborator, and mentor as they invest money into your idea, product, and company. More than money, investors bring their wealth of experience, their network, and their team on board to take your idea to the next level.
If you are looking for an investor for your SaaS product, know the investor market. Though this list is extensive, there are hundreds of more venture firms and angel investors worldwide. Do the research and find the investors targeting the market you are in and those that match your geographic location and startup stage. Most importantly, find investors excited about the SaaS products you seek to bring to the market