Despite being overshadowed by cities like London and Berlin, Belfast is gaining recognition as a prime spot for startups and scaleups. One notable fintech company, 9fin, has recently expanded to Belfast, highlighting the city’s potential. 9fin, which provides debt market data and analytics, is used by major European investment banks. The company’s expansion into Belfast underscores the city’s untapped talent and supportive environment for startups.
In previous evaluations of Europe’s startup hubs, cities like London, Berlin, and Amsterdam typically dominate discussions. However, recent developments in Belfast show a shift. Not only does 9fin’s expansion highlight this, but Belfast’s growing reputation as a tech and finance hub also indicates a promising future. This trend is supported by local universities producing top-tier talent, which was not previously a focal point in the broader narrative of European startup ecosystems.
Additionally, historical challenges in the region, such as political instability, previously discouraged investment. However, the current environment, bolstered by government incentives, presents new opportunities. This growing recognition aligns with the broader trend of startups seeking alternative locations outside the traditional tech epicenters.
9fin’s Strategic Move
London-based 9fin, with new offices in Belfast, emphasizes the city’s potential for startups. The company’s services are utilized by nine of Europe’s top ten investment banks. Backed by prominent investors such as Redalpine, 9fin raised $23 million in a Series A+ round in 2022, facilitating its expansion plans. Co-founder Stephen Hunter, originating from near Belfast, calls the city a “hidden gem” for startups, citing the high quality of local universities and the availability of legal, finance, and engineering talent.
Talent and Government Support
Hunter believes Belfast’s talent pool is underutilized, with many skilled professionals in the area. He also mentions supportive government schemes that make the city an attractive option for opening new offices. Hunter’s sentiments reflect a growing recognition of Belfast’s potential. The city’s historical issues, which once hampered investment, are now seen as challenges that have been largely overcome, offering a favorable environment for business growth.
9fin currently employs around 230 people, with 60 in New York and 25 in Belfast. Hunter indicates that the company does not need to fundraise soon, as the majority of funds from the previous round remain unused. The company’s long-term contracts with asset managers and investment banks support this stability. Hunter underscores that the focus remains on growth, with the company doubling its revenues annually.
The UK’s political landscape also plays a role in shaping the startup ecosystem. Hunter mentions that the new Labour government appears supportive of startups. He believes entrepreneurs can adapt to varying political environments, emphasizing the flexibility essential for sustaining growth in the sector.
Belfast’s emergence as a viable location for startups reflects broader trends in the tech industry. Companies are increasingly exploring cities outside traditional hubs, drawn by local talent and supportive environments. As more businesses follow 9fin’s lead, Belfast may solidify its status as a key player in Europe’s startup landscape.
