STS Ventures

STS Ventures operates as an early-stage venture capital firm, primarily focused on supporting promising startups within the DACH region. The firm provides initial investments ranging from €200,000 to €1 million, with a commitment to further follow-on funding up to a total of €5 million per company. Their approach emphasizes being among the first investors, seeking exceptional teams with viable business ideas and a clear path to revenue generation.

The firm was founded in 1999 by serial entrepreneur Stephan Schubert, who serves as Managing Partner. Schubert's extensive background includes founding companies such as OnVista, Ligatus, and IS.Teledata, cultivating over 15 years of experience in investing in disruptive internet companies. His insight centered on leveraging his operational expertise to identify and nurture early-stage ventures capable of strong financial performance.

STS Ventures targets early-stage startups that align with its philosophy of active entrepreneurial collaboration. The firm partners with founders to understand their business models and financials, guiding them through their entrepreneurial journey. Its long-term vision involves fostering robust companies by collaborating closely with teams that demonstrate the ability to generate revenue while efficiently managing their cost structures.

High-Level Overview

STS Ventures is a Cologne-based early-stage venture capital firm that operates with the mindset and accessibility of a business angel combined with the capital and infrastructure of a traditional VC.[2] The firm is stage and industry agnostic but typically focuses on pre-seed and seed-stage investments across the DACH region (Germany, Austria, and Switzerland).[1] Rather than chasing unicorns exclusively, STS Ventures prioritizes startups demonstrating capital-efficient, sustainable growth with clear paths to profitability.[1] The firm fills a deliberate market gap between informal angel investors and larger institutional venture capital firms, offering founders not just capital but genuine entrepreneurial mentorship and operational guidance grounded in real-world experience.

The investment philosophy centers on backing what the firm calls "hidden champions"—companies that grow strong and steadily over time rather than pursuing explosive but unsustainable trajectories.[2] STS Ventures leverages its founder's extensive network across German-speaking Europe, diverse industry connections, and proven track record in seed investing to support portfolio companies through their critical early stages.

Origin Story

STS Ventures was founded by Stephan Schubert, a serial entrepreneur with deep roots in the German internet industry dating back to the late 1990s.[2] Schubert has founded and successfully exited four companies, most notably OnVista, establishing himself as one of Germany's most active, connected, and experienced business angels.[2][5] His wealth and investment capital stem directly from these entrepreneurial exits, making STS Ventures fundamentally a single-family office that concentrates all of Schubert's angel investing activities.[3][5]

The firm was formally established in 2010, though Schubert's investment activities began much earlier as the internet emerged in Europe.[2][3] This long tenure in the startup ecosystem—spanning from the dot-com era through multiple technology cycles—has given Schubert and his team unparalleled perspective on what separates durable companies from flash-in-the-pan ventures. The firm's founding reflected a deliberate strategic choice: rather than managing a traditional VC fund with limited partners and exit pressures, Schubert structured STS Ventures to operate with the flexibility and long-term orientation of a family office while maintaining the rigor and professionalism of institutional investing.

Core Differentiators

Founder-Led Operational Expertise

Unlike many VCs that rely primarily on financial analysis, STS Ventures is led by someone who has actually built and scaled multiple internet businesses. This means portfolio founders gain access to a partner who has navigated the specific obstacles they face, rather than a purely financial intermediary. Schubert's operational background translates into honest, timely feedback grounded in lived experience.[2][5]

Capital-Efficiency Focus

The firm explicitly backs founders who prioritize sustainable growth and unit economics over burn rate and vanity metrics.[2] This philosophy attracts a different caliber of founder—those building for longevity rather than a quick exit, which often correlates with stronger long-term value creation.

Network Density in German-Speaking Europe

Operating from Cologne with deep connections across the DACH region, STS Ventures offers portfolio companies access to decision-makers, top talent, and follow-on investors concentrated in one of Europe's most underrated startup ecosystems. This regional focus creates genuine competitive advantage in deal sourcing and follow-on funding.

Proven Exit Track Record

The portfolio demonstrates successful outcomes across diverse sectors. Notable exits include Emma (The Sleep Company), sold to Haniel in 2020 after STS Ventures served as largest investor and board member, and earlier exits dating back to 2011.[1] This track record of identifying winners early and supporting them through exit validates the firm's investment thesis.

Stage Agnosticism with Seed Specialization

While the firm invests across pre-seed, seed, and later stages, its core competency and preference remain in the earliest stages where founder quality and market insight matter most.[1][6] This positioning allows STS Ventures to build deep relationships with founders from inception while maintaining optionality for follow-on rounds.

Role in the Broader Tech Landscape

STS Ventures operates at a critical inflection point in European venture capital. The DACH region has historically been underserved by early-stage capital relative to its entrepreneurial talent and economic output. While Berlin has attracted significant VC attention, Cologne and the broader German-speaking ecosystem remain fragmented, with many promising founders lacking access to experienced, patient capital.

The firm's model addresses a genuine market inefficiency: the gap between angel investors (who lack institutional rigor and capital) and traditional VCs (who often skip seed rounds in favor of larger checks and faster scaling). By operating as a family office with VC discipline, STS Ventures captures deals that might otherwise be missed by institutional funds while providing founders with more aligned, long-term-oriented capital than typical angel syndicates.

The emphasis on sustainable growth also positions STS Ventures ahead of broader market trends. As the venture industry matures and returns compress, the "growth at all costs" mentality that dominated the 2010s is giving way to renewed focus on unit economics and profitability. Founders who have internalized capital efficiency from day one—often because their early backer was STS Ventures—will likely outperform peers who must unlearn wasteful habits later.

Additionally, by concentrating on the DACH region rather than chasing global opportunities, the firm builds genuine ecosystem density. Successful exits and follow-on investments create proof points that attract better founders, which attracts better follow-on investors, creating a virtuous cycle that strengthens the entire regional startup community.

Quick Take & Future Outlook

STS Ventures represents a sophisticated evolution of the angel investor model—one that recognizes that the best early-stage capital combines patient money with operational wisdom and genuine founder alignment. In an era when many VCs have become increasingly commoditized and founder-hostile, Schubert's willingness to operate at smaller check sizes with longer time horizons is a genuine differentiator.

The firm's future influence will likely grow as the DACH region continues maturing as a startup hub. As successful exits from the current portfolio compound and generate follow-on capital, STS Ventures may evolve into a larger institutional player while maintaining its founder-friendly ethos. The key question is whether the firm can scale its model without losing the personal touch and operational involvement that make it distinctive.

For founders in German-speaking Europe seeking early-stage capital, STS Ventures represents something increasingly rare: a partner who has genuinely been in the trenches, who prioritizes sustainable value creation over headline growth, and who brings both capital and credible mentorship to the table. In a venture landscape often dominated by hype and short-termism, that positioning is both countercultural and increasingly valuable.