Venture Capital - Belgium

Belgium

Highlights

Belgium is projected to reach a Total Capital Raised of US$304.50m in the Venture Capital market market by 2024.
In Belgium, the Early Stage market is expected to dominate the market with a projected market volume of US$144.20m in 2024.
When compared globally, the United States will lead in Capital Raised, generating US$136.6bn in 2024.
In Belgium, the Venture Capital market is seeing a surge in investments in tech startups, signaling a growing appetite for innovation.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Venture Capital market in Belgium has been experiencing significant growth in recent years, driven by customer preferences for innovative startups and a favorable investment climate.

Customer preferences: Belgian investors have shown a strong appetite for investing in startups and emerging businesses. This is partly due to the potential for high returns on investment, as well as the opportunity to support and be part of the growth of innovative companies. Startups in sectors such as technology, biotech, and renewable energy have been particularly attractive to investors, as they offer the potential for disruptive solutions and sustainable growth.

Trends in the market: One of the key trends in the Venture Capital market in Belgium is the increasing number of early-stage investments. Investors are recognizing the potential of startups at their early stages and are willing to take on higher risks in exchange for higher potential returns. This trend is fueled by the availability of government grants and tax incentives for early-stage investments, which has created a supportive ecosystem for startups to thrive. Another trend in the market is the growing interest in impact investing. Belgian investors are increasingly looking for opportunities to invest in companies that have a positive social or environmental impact. This trend is driven by a growing awareness of sustainability issues and a desire to align investments with personal values. Impact investing has gained traction in sectors such as renewable energy, healthcare, and social enterprises.

Local special circumstances: Belgium's central location in Europe and its well-developed infrastructure make it an attractive destination for startups and investors alike. The country has a highly educated workforce and a strong research and development ecosystem, which fosters innovation and entrepreneurship. Additionally, Belgium's supportive regulatory environment, including tax incentives and government grants, has created a favorable climate for startups and venture capital investments.

Underlying macroeconomic factors: The Venture Capital market in Belgium is also influenced by underlying macroeconomic factors. The country's stable political environment and strong rule of law provide a solid foundation for investors. Furthermore, Belgium's membership in the European Union allows for easy access to a large market and facilitates cross-border investments. The low interest rate environment in Europe has also contributed to the growth of the Venture Capital market, as investors seek higher returns in alternative asset classes. In conclusion, the Venture Capital market in Belgium is experiencing growth due to customer preferences for innovative startups, the availability of government support, and a favorable investment climate. The increasing number of early-stage investments and the growing interest in impact investing are key trends in the market. Belgium's central location, supportive regulatory environment, and stable macroeconomic factors further contribute to the development of the Venture Capital market in the country.

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on the amount of capital raised, the average of deal size and the number of deals.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use data from OECD, annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, CPI, number of small and medium-sized enterprises (SME), new businesses registered (number) . This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.