Hiring 

Chief of staff: the ‘must-have hire’ for startup CEOs

What do Revolut, Depop and Hopin all have in common? Well, their chief executives have all recently hired chief of staffs.

But what is the role really? A premium assistant or someone close to a chief operating officer? And does every startup CEO need one?

Sifted's Miriam Partington finds out.

🌍 Top global expansion advice 🌍

How did big companies like EVBox, WeTransfer and Dott expand internationally? Find out and watch video testimonials from fellow entrepreneurs in GoGlobal, Techleap.nl’s expansion guide.

Expand your business now. [Sponsored post.]

 Venture Capital 

The EU starts investing directly in startups

The European Union has for the first time become a direct shareholder in regional startups. This marks a fundamental shift in the way Brussels supports early-stage tech companies.

Officials told Sifted that startups have now started receiving between €500,000 and €15m from the new European Innovation Council Fund in return for a 10% to 25% stake.

Previously the EU only put money into tech companies through grants or via the European Investment Fund, which invests in VC firms. This new model is a "paradigm shift", said one official.

What does it mean?

[Tech guru Benedict Evans said this would lead to "fucked-up cap tables". Tell us what you think and email michael@sifted.eu]

 Predictions 

Will employees leave if they can't continue remote working? 

On Monday, we published a piece with our journalists' predictions for European tech and startups in 2021 — and asked you to send in some of yours.

Turns out, our readers are a brilliant lot! From challenges keeping hold of talent to the rise of the venture studio, thank you for sending in so many smart ideas.

Here are some of the best.

 Deeptech 

In data: 2021 will be a pivotal year for European deeptech

In the 1990s, it was the expansion of the internet, in the 2000s, the rise of mobile computing and in the 2010s, the emergence of cloud computing.

But for the 2020s, it’s 'deeptech' that’s set to drive technological change across the next decade and, according to a new report from the European Startups Project, Europe is investing at a rapid pace.

So what in store for 2021? We look forward to a big year ahead.

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News that matters

🏦 A mega fintech round in Germany as banking-as-a-service company Mambu raised €110m at a $2bn+ valuation. The company competes with Germany’s Solaris Bank, which closed a €60m Series C last year, and the UK’s ClearBank. The idea behind them is to provide banking infrastructure to consumer finance companies, meaning their clients don't have to worry about the back-end technology. It's a growing area in a world where more and more companies — e.g big tech firms — are offering financial products.

💸 France’s fintech year has also got off to a flying start with Paris-based bookkeeping startup Pennylane raising an $18.4m Series A. The company is part of a growing number of French fintechs and its raise comes after Cedric O, junior minister for the digital economy, said he believed Paris could overtake London as the fintech capital in Europe, particularly in the context of Brexit.

⚕️ Peptone, a UK-based startup that is helping pharmaceutical companies unravel the secrets of proteins, has raised a $2.5m seed round from backers hoping the company can unlock one of the most pernicious problems of medicine. The money from Hoxton Ventures, dRx Capital (a venture arm of Novartis Pharma AG) and Founders Factory will help the team finish building their Protein Engineering Operating System, a computer programme that combines computational molecular physics and neural networks to help analyse the behaviour of proteins.

🥛 Vegan milk brand Oatly, which is backed by Blackstone, Oprah Winfrey and Natalie Portman, has hired bankers to manage its 2021 initial public offering which could raise $1bn, according to CNBC. We reported here that Oatly was planning an IPO but hiring bankers is a big step suggesting that it is really going to happen soon. 

♻️ Too Good to Go, a marketplace for surplus food, has landed an investment of €25.7m led by VC firm blisce/. The company said that the fresh funds will go toward expanding operations, particularly in the US. For more on Too Good to Go — and why it might not be so good after all — see this Sifted piece here. 

If you're a fan of our 'News that matters' and 'Sifted Suggests' sections, check out our newsfeed here, where we collect all of these gems — and more.

Sifted Suggests 

💄 Despite growing consumer interest, VC investment into European impact fashion startups was severely impacted last year, with a drop from €272m in 2019 to an estimated €97m in 2020, according to Dealroom. Full analysis here. 

🤑 Guide to the term sheet, from byFounders. 

🤷‍♀️ This is what startups need to know about the Brexit deal, according to Cracking the Code. TLDR: some of the biggest issues still need to be worked out. 

👩‍🎤 Who are the biggest influencers in femtech? Find out here.