Korona Invest Oy
Capital investment company trusts Accountor
Korona Invest, an Espoo-based company that manages capital investment funds, has been working with Accountor since its inception in 2006. The company’s founder and managing director Vesa Lehtomäki has been working with Accountor even longer.
”Back in 1995, I was Culminatum’s first employee and managing director. I chose Accountor’s predecessor, Innopoli-based Teknopalvelu, as our accountants. I was impressed with the service and the way the company handled the challenging accounting needs of our capital investment fund. When I was setting up Korona Invest, choosing our accountants was easy”, Lehtomäki says.
Accountor handles Korona Invest’s electronic purchase invoices and payroll, and also takes care of the accounting and financial statements of the company and its funds, Terveysrahasto Oy and Palvelurahasto I Ky. The company uses the digital Accountor Online service, which makes reviewing, approving, and paying purchase invoices easy.
Lehtomäki praises the expertise and reliability of Accountor’s accountants. He thinks that it is also important that the company can offer a comprehensive portfolio of financial management services.
”Our organisation is fairly small, with a relatively small number of items to record. For the funds, the main items are related to investments made in the target companies. These can be stock acquisitions or different types of loans. The accountant needs specialist knowledge to ensure that all changes in ownership are recorded correctly. I would say that Korona is a fairly challenging customer for an accountant”, Lehtimäki says.
Palvelurahasto I Ky is investing €40 million in growing enterprises
Korona Invest currently manages two funds, Terveysrahasto Oy and Palvelurahasto I Ky. The investment commitments of the two funds amount to €83 million in total. Palvelurahasto I Ky invests in growing knowledge-based businesses with a proven track record of expertise. Terveysrahasto Oy is not making new investments.
The investors of the funds include the Finnish Innovation Fund Sitra, a number of socially responsible Finnish foundations and funds, insurance companies and private investors. Korona Invest has successfully sold its stake in 12 companies that were funded by Terveysrahasto. These companies include Pihlajalinna Oy, Med Group Oy and Tekonivelsairaala Coxa Oy.
Korona Invest focuses on smaller companies with a turnover of €3–20 million that are often overlooked by the larger players in the investment market. The aim is that by the end of the investment period, each business will be among the top three companies in their segment and have a turnover that is 3–5 times larger than at the start of the period.
”Korona Invest specialises in funding rapidly growing knowledge-based service businesses. During the first 100 months of our operation, the turnover of the funded businesses has grown by €170 million in total while the number of employees has grown by 2,300. On average, the turnover of the companies has grown by 35% every year”, Lehtomäki says.
Korona Invest’s funds look for the most promising and skilled companies in their field. To date, Korona Invest has considered and examined nearly 500 companies. Of these, 18 have been chosen for funding. Lehtomäki says that the key criteria for funding are proven competitiveness, excellent leadership, and positive results.
”We are looking for companies that operate in the private, public or third sector and require both capital and management expertise in order to fulfil their growth potential. Small enterprises rarely receive the level of support required for developing a successful business. We have extensive experience in providing this support”, Lehtomäki explains.