Two Armenian IT start-ups get a total of $ 41,000 financing from local business angels

YEREVAN, May 23. /ARKA/. Two Armenian IT start-ups, which won a competition for financing innovative start-ups, have attracted a total of $ 41,000 from local business angels, the ministry of transport, communications and information technology said on Tuesday.

The competition was an initiative of the ministry, backed by local IT entrepreneurs, who will provide the financing.

The two winners- AR magic and Webextechnologies – were chosen from 30 start-ups. The winning teams will receive a financing in the amount of 10 million drams each (about $20,500) for the implementation of the ideas.

In late March several private Armenian investors set up a special fund with the initial capital of $200,000 to finance IT start-ups. The initial capital of about $200,000 is expected to increase to several million, after which the fund will be reorganized into a club of business angels or a private venture fund.

At the first stage, 10 projects were to get financing to the tune of $200,000. They were to submit their projects before April 13. The beneficiaries are selected by a council that considers such factors as the teams’ knowledge, ideas and goals. The fund will provide not only financial, but also venture assistance, as well as accounting advice. -0-

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17:34 05/23/2017