UNITED KINGDOM, November 24, 2021 /EINPresswire.com/ — First Edinburgh app developers business Erbo announced the closing of a Â£ 5.3million funding round led by Scottish Investors, a seed-based venture capital fund in Scotland. The latest round includes support from the Scottish Government, Apple, Google and other investors focused on mobile app development. Its aim is to help Scottish businesses make effective use of mobile application technologies to grow and compete internationally.
Adopting mobile application technology offers many benefits to Scottish businesses, including the ability to engage with customers through superior technology, develop new services and products, and sell in an international global market 24 hours a day at relatively low cost.
The latest Â£ 5.3million fundraising fund has pledged to improve the level of Scots mobile technology proficiency and increase the number of people employed in the digital sector over the next five years. The investment fund is also committed to providing digital support to Scottish start-ups and SMEs to help them become globally competitive.
Erbo’s team commented: âTechnology is expected to be the fastest growing sector in Scotland by 2025. We are delighted to launch this new phase of funding support which will help even more small and medium-sized businesses in Scotland to achieve their digital aspirations. . The program has already helped many companies develop their digital capabilities and expand into new markets internationally.
How much does it cost to hire an app developer?
On average, plan to invest between Â£ 10,000 and Â£ 100,000 when hiring a top Edinburgh app developer agency. The apps themselves are affordable; it’s experience, knowledge, engineering and design talent that comes at a premium.
Building a successful mobile app is not a cheap process and there are many essential moving parts, all of which require funding. The initial investment of app development can be significant on its own, and that does not include the capital required to research and market your app at a later stage.
A good idea for a new mobile app is a great starting point for a business, but unreliable or insecure funding is a big risk to the success of even the most innovative and creative ideas.
This is where venture capitalists come in. Investment in mobile apps has not slowed down even during the pandemic, and half of UK venture capitalists are looking to build their funds. portfolio in 2022. In fact, 92% of these investors are confident about future growth.
As the mobile phone market continues to soar, investors are looking to the future.
According to market research, the global apps industry is on track to reach Â£ 189 billion by 2022. That’s up from Â£ 70 billion in 2015, which is a 170% increase in just five years. There are only a few other industries that are growing so rapidly. While most of the big brands have now ventured into the mobile space, they’re not the only ones reaping the rewards of the âapp boomâ.
In fact, many of today’s most popular apps weren’t created by established companies. For example, Airbnb was started by three friends (Brian Chesky, Joe Gebbia and Nathan Blecharczyk) in 2008 and is now valued at over Â£ 30 billion. Uber, WhatsApp, Monzo and Snapchat are just a few more examples of entrepreneurs and partnerships who have created a âUnicorn Startupâ as a result of app development.
This has led to gigantic growth in the mobile application development market. From entertainment to utility, all kinds of applications are used every day; you can do almost anything with a cell phone, from banking to Tinder!
The apps are popular: Whatsapp was valued at Â£ 19bn and SnapChat at Â£ 10bn. The list is long and includes over 500 startups valued at Â£ 1bn or more.
All of the major market investors believe the next big idea will be an app. The result – a bubble-like situation where all investors are looking for interesting startups to invest in.
Investing and acquiring are also viable options when it comes to making money with apps. For example, WhatsApp was bought by Facebook in 2014 for Â£ 19 billion. We live in a world where a large active user base is viewed as valuable whether or not you generate significant user revenue. In fact, many of the previously mentioned unicorns don’t even make a profit. In 2016, Uber and Snapchat recorded losses of Â£ 2.8bn and Â£ 515m respectively, but Uber is valued at Â£ 70bn and Snapchat at Â£ 25bn.
Many Scotland-born applications have been acquired recently. Success in this industry is based on three main principles: (1) a quality application that meets a market need; (2) an appropriate monetization strategy (or prepare your business for acquisition if that’s the strategy you have chosen) and (3) grow your user base through marketing. You don’t have to create the next Airbnb or Uber to come out on top.
Investing in an app is by no means a âset and forgetâ strategy. It is also not a low risk investment. It’s a bold move that takes a lot of hard work and dedication. After all, you’re not just building an app; you are starting a business. However, with a good idea, a carefully crafted strategy, a good local app development agency, and a little luck, making a dream investment from an app is definitely possible.
You can find more information about Erbo at www.erbo.uk/apps