Lincolnshire-based cyber security firm KryptoKloud Limited (“the Company”) is pursuing new growth following a £500,000 investment from Foresight Group (“Foresight”) using finance from the Midlands Engine Investment Fund (“MEIF”).
The Company is the latest in a number of female co-founded firms supported by MEIF, with the Foresight managed fund investing over 25% in mixed gender founding teams thus far, well above the 10% share of venture capital funding that normally goes to mixed gender teams.
The funding boost will allow co-founders Allison and Paul Burrows to open a new Security Operations Centre (“SOC”) in Lincoln and support the creation of new jobs, with the Company working alongside the University of Lincoln to develop and recruit cyber analysts and a SOC manager.
With Foresight’s support, the Company has also appointed Paul Hughes as Chairman, who brings with him a wealth of knowledge related to scaling early stage technology companies, having founded and exited a number of businesses, the most recent of which, ParentMail Limited, was acquired by Iris Software Group in 2017.
KryptoKloud offers a diverse portfolio of services which include cyber threat monitoring and detection, vulnerability assessment and penetration testing. In November 2019, the Company began offering managed services to SMEs and has experienced substantial growth since, enabling firms to utilise safe remote working practices and ensure workforces remain cyber safe.
Commenting on the investment, Allison Burrows, Managing Director of KryptoKloud said: “After the successful launch of our business in 2016, we required acceleration to the next level and felt that Foresight, with its unique market position, would provide us with that. Foresight has delivered on that expectation and we are excited that our cyber business will be able to go from strength to strength in the years to come.”
Jordan Lavender, Investment Manager at Foresight, added: “We are delighted to be working with KryptoKloud and this investment demonstrates our commitment to finding and supporting early stage, high growth companies within Lincolnshire. KryptoKloud has a superb reputation, nationally and internationally for delivering high quality services. The business has performed resiliently throughout COVID-19 and has continued to grow during this turbulent economic environment. We look forward to supporting management to achieve its goals.”
Ken Cooper, Managing Director at the British Business Bank, said: “It’s good to see MEIF funding being used to support the creation of new skilled jobs in Lincolnshire. The MEIF exists to support SME growth across the Midlands and investments like this illustrate that the fund remains active. I would encourage other firms that have an ambition to grow to consider it as a source of finance.”
Pat Doody, Chair of the Greater Lincolnshire Local Enterprise Partnership, welcomed the news: “It’s very encouraging to see backing from the Midlands Engine Investment Fund for fast-growing businesses in the cyber intelligence sector in Greater Lincolnshire.
“The Greater Lincolnshire LEP is here to support businesses like KryptoKloud, which is based in the Boole Technology Centre on the Lincoln Science and Innovation Park – itself a facility which has received funding from the LEP. Our expertise in digital technologies is growing year on year.
“Congratulations to KryptoKloud both for securing the funding and for being shortlisted as Business of the Year in the forthcoming Lincolnshire Technology and Innovation Awards. We wish them luck!”
The Midlands Engine Investment Fund project is supported financially by the European Union using funding from the European Regional Development Fund (ERDF) as part of the European Structural and Investment Funds Growth Programme 2014-2020 and the European Investment Bank.