Cybersecurity Angel Investor Network

This proposal outlines a research and engagement project addressing the huge investment gap facing cybersecurity startups in the Southwest. DSIT's 2024 Cybersecurity Sector Analysis found these startups attracted less than 1% of the UK total. The Western Gateway's Investment Review identifies a staggering regional investment shortfall between £3m to £9m per business. With the highest concentrations of cybersecurity businesses outside London and disproportionately high numbers of net-worth individuals; there is a pressing need to enhance investment into the Southwest's cybersecurity ecosystem.

Targeting early-stage investment for start-ups, we will take initial steps to stimulate growth and investment, better understand barriers, look to bridge the early-stage funding gap; unlocking potential angel investment. Support programs for startups exist, but few (if any) look to grow an ecosystem for angel investors in cybersecurity.

CyNam, which currently runs the 'Securing Emerging Technologies' programme funded by Barclays Eagle Labs, proposes to expand its investment workstream; amplifying its activities and outputs between January and March 2025\. This will maximize efficiency and accelerate delivery within the Cyber Local timeline, enabling our appointed specialists to expand their brief, undertake wider research and delve deeply into the investment challenges.

The outputs will help us drive the next steps to create a more effective investor network in the Southwest, as part of our mission to develop a strong and innovative cyber security ecosystem. As the network grows opportunities to fund this activity will increase. It is of vital importance for our region due to this significant investment deficit.