Objectives and strategy

About Vaekstfonden

Vaekstfonden is the Danish state’s investment fund. We are an independent fund governed by an independent legal act and an independent board of directors. The act concerning Vaekstfonden stipulates that the fund must promote growth and renewal for small and medium-sized enterprises in order to achieve a greater socio-economic return. We contribute to the creation of new companies by providing capital and expertise. Since 1992, Vaekstfonden has together with private investors co-financed growth in more than 7,900 Danish companies with a total commitment of more than DKK 24.9 billion. Vaekstfonden invests equity and provides loans and guarantees for small as well as medium-sized enterprises in collaboration with private partners and Danish financial institutions. In 2018 these companies had over 65,500 employees in total.

Economic foundation

Vaekstfonden's financing derives from several sources:

  • Initial funding at inception in 1992 was DKK 2 billion. By the end of 2018 our equity had increased to DKK 5.6 billion and our liquid assets including stocks and bonds amounted to DKK 1.5 billion. Our equity is influenced by profits and losses and by capital contributions from the Danish Ministry of Business.
  • A series of state grants that fully or partially finance our loan and guarantee activities.
  • Loans taken in connection with the ”Vækstlån” product (ordinary loans) and green investments.
  • Loans taken to finance Vaekstfonden's capital contribution to the Dansk Vækstkapital initiative.

Vision and mission


Vaekstfonden shall provide a significant contribution to innovation and growth in Danish companies.


Through co-financing, Vaekstfonden contributes to the growth of economically viable yet uncertain small and medium-sized enterprises.

We achieve this by:

  • Taking action when the financial market hesitates
  • Focusing on innovation, entrepreneurship and business development
  • Investing in funds and companies, grant loans and guarantees
  • Collaborating with private investors where possible


As part of the Danish growth and innovation ecosystem we cooperate with other investment funds, private investors, institutional investors and other financial institutions, innovation incubators, regional innovation offices, Accelerace and CONNECT Denmark. Our strategy is reflected in the following three focus areas.

Fund investments
We invest in private funds who then invest capital in companies. Fund investments always occur in close cooperation with private investors, so our capital contributions act as a gearing factor. Everytime Vaekstfonden invests DKK 1 via a fund, the companies who receive funding will ultimately receive more than DKK 10.

Investments in start-ups
We invest equity in start-ups that have significant growth potential yet have trouble raising sufficient venture capital. These investments are carried out in cooperation with other public operators such as innovation incubators. Our initial investment usually takes place in the early stages and we contribute with financing until they are exited.

Loans and guarantees for established small and medium-sized enterprises
We grant loans directly to small and medium-sized enterprises that have sound growth plans, but have insufficient collateral or insufficient equity to be granted a bank loan. We also grant guarantees for small and medium-sized enterprises’ loans, guarantees and overdraft facilities granted by other financial institutions in connection with business development. In this manner we ease access to financing for these companies and entrepreneurs, which they otherwise would not be able to obtain.