Blue U: Fundraising and Company Development
CEO: Ian Clague
We were extremely interested in the computer based training space because of our
experience of training professional staff in our previous lives. Ian had created of a new web
based learning concept. Ian put together a small team financed by his own resources. Now
he needed resources to create content and develop a market.
We started working with Ian to develop a business and financing plan for the business that
would give us the best chance of raising funding. Crucial to this process was:
The focus and positioning of the business;
Analysing the size of the market;
Identifying the right pricing level;
Developing an IP strategy.
We initially closed a strategic funding round of £1,000,000 from private investors through a
private placement. Six months later a further £1,000,000 was raised from Jupiter Fund
Managers. Development of the business proceeded apace. The Company had already signed
contracts with over 100 corporate clients, including – Compaq Computer, BP, Toshiba,
Dresdner Bank, Rabobank International, Legal & General, BBP, tempz.com and Aberdeen
City Council. BlueU was able to demonstrate key advantages over other forms of training,
including: proven effectiveness on retention and completion rates; substantial cost savings;
and interactivity, flexibility, speed and convenience. On the basis of this success a further
funding was closed a year later when Net Partners invested £2.5 million.