London-based startup accelerator Bethnal Green Ventures (BGV) has raised £1.3m from Big Society Capital, Nominet Trust and Nesta.
BGV will use the funding to expand operations, build new partnerships and to invest in tech for good startups.
Since it first began accepting applications in March 2012, BGV says it has invested £1.4m in 86 startups that leverage tech to address important social and environmental issues.
Today, the accelerator has 56 active startups in its portfolio, which have gone on to raise more than £23m in funding between them.
BGV CEO Paul Miller, spoke about the raise and the need to expand on the accelerator’s business model, which combines a 12-week programme with a £20,000 investment.
He said: “We’ve proved our accelerator model works, but it’s not enough on its own. Startups require ongoing support and funding to scale up their operations, this is especially true for startups focused on social impact.
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“Last year we expanded our offer by being able to invest up to £50,000 in great teams after the accelerator stage. This year we’re planning a fund to be able to back alumni and other tech for good ventures with next stage capital. This will help to plug a notable hole in Seed-stage impact investment available to startups in the tech for good space,” added Miller.
Tom Bennett, investment director at Big Society Capital, said he was looking forward to working with the BGV team.
“Bethnal Green Ventures has consistently lead the way in building early stage technology ventures that are helping to tackle some of the UK’s most challenging social problems. Big Society Capital are delighted to be able to help fund the next stage of Bethnal Green Ventures’ growth,” the investor concluded.