05.4 Building and internationalising away from home European teams entering Y Combinator are voting with their feet on where to build their business; YC graduates who have returned to Europe have raised 5x more in the past two European teams entering Y Combinator are voting with their feet on where to build their business; YC graduates years than those who moved their startups to the US (the difference in absolute amounts that have returned to Europe have raised 5x more in the past two years than those that moved their startup to the across years is simply a function of the relative age of the different cohorts). US ) M $ ( r $170.6M Funds raised by Y Combinator cohorts, a e y Europe vs US-based ($M) t r o h o c 150.0 C LEGEND Y r pe HQ in Europe s $102.3M e i HQ in US n 100.0 mpa o $71.6M c $66.9M y b d e 50.0 s i $36.6M a $32.3M r $25.6M s d n $8.8M u $5.9M f $5.0M l a t 0.0 o T 2014 2015 2016 2017 2018 Source: Blossom Blossom Capital Capital European founders going through Y Combinator are FOUNDER RELOCATION TRENDS voting with their feet and choosing to return to Europe European founders that have graduated from Y Combinator and returned to Europe 5x have raised 5x more than those that moved their startup to the U.S. Blossom Capital European graduates of YC that elect to build from Europe are attracting investment from the region's leading investors, as well as from top US-based funds. European graduates of YC that elect to build Selected examples of YC graduates that are building from Europe from Europe are attracting investment from the YC Cohort HQ Location Selected Investors Selected examples of YC graduates that are Duffel Summer 2018 London Blossom, Index region’s leading investors, as well as from top U.S.-based funds. building from Europe Let's do This Winter 2018 London Shasta Quit Genius Winter 2018 London Village Global Siite Winter 2018 Paris eFounders, Index Station Winter 2018 Paris Accel, eFounders Veriff Winter 2018 Tallinn Mosaic, ACE & Company Fat Lama Summer 2017 London Atomico, Blossom, Greylock MessageBird Summer 2016 Amsterdam Accel, Atomico Blossom Capital Source: Blossom Capital Around two-thirds of Europe's scale-ups have established an Around two-thirds of Europe’s scale-ups have established an international office international oíce. Share of leading VC-backed European tech companies with an international oíce 61% 60 footprint LEGEND s e International oíce location i 39% n 40 No international oíce location mpa o c f o % 20 0 Companies Note: Based on a sample 120 European tech companies that have reached $B+ milestone and/or raised more than $50M in Source: venture capital. 75 In Partnership with & www.thestateofeuropeantech.com