CirCo raises seed funding from East Ventures
By Digital News Asia July 26, 2018
- Funds will be used to accelerate expansion, improve service quality, promote branding
- Now operates three expansion projects at two locations in Ho Chi Minh City CBDs
VIETNAM-based CirCO, a co-working space provider recently secured an undisclosed sum in seed funding from East Ventures – a Southeast Asia and Japan early-stage venture fund.
CirCO co-founder and chief executive officer Linh Hoang said this investment is intended to accelerate expansion plans, improve the quality of services to connect the startup community in Vietnam and on branding exercises.
“A successful call for investment also brings challenges. If you start a company, finance is a challenge. When you are expanding it, this means you will face bigger difficulties but on the opposite side, it’s a bigger opportunity.”
CirCO co-working space provides a flexible workplace in Vietnam, where people can work alongside like-minded people in a high-energy and productive atmosphere.
CirCO’s mission is to build not just a workplace, but also a place where entrepreneurs connect and engage with each other to create a community.
Founded in late 2016, CirCO targets startups, small and medium-sized enterprises in Vietnam as well as foreign companies entering the country.
CirCO is now operating three expansion projects at two locations in Ho Chi Minh City central business districts. They offer flexible desk areas, private offices, event spaces, meeting rooms and many other services.
“Vietnam has more and more new businesses launched every year, technology adoption is increasingly high and more direct investments into the country are key factors to transform Vietnam into an innovation hub of SEA. We believe that with these key market drivers, co-working spaces will be a fast-growing sector,” said Linh Hoang.
According to CBRE Research on real estate in Vietnam, the demand for office space in the CBD will grow rapidly in the next few years.
The research anticipates that the co-working space model will be widely developed. Compared to a traditional office in the same geographic location, a co-working space has a more competitive rental cost, yet adds a lot of value for businesses.
The company has about 500 members and says it can handle startups with upwards of 50 employees. Tenants typically come from the e-commerce, marketing, recruitment, fashion, food & beverage, blockchain and cryptocurrency industries.
East Ventures managing partner Willson Cuaca says, “We believe that co-working spaces are natural extensions of any startup ecosystem. Entrepreneurs look for a place where they can do more than just work; they want a supportive and collaborative community that they can grow with and learn from.
“CirCo has exemplified those key elements through its more than 500 growing members, 100 annual events with around 10,000 attendees, and partnership with key stakeholders like Amazon Web Services, Deloitte, and UOB Bank.
“We believe that they are on the right track to become one of the main hubs for the growing startup ecosystem in Vietnam.”
CirCO is the first Vietnam-based venture for East Ventures following its early stage investments in Indonesia, Singapore, Japan, Malaysia, and Thailand.