BUSINESS angels have pumped a second tranche of seed funding into Edinburgh-based technology outfit My1login, taking the total amount invested in the business to £1 million.
In the latest round, the company – which allows businesses and individuals the ability to access their systems using just a single password – has raised around £700,000 from angel syndicates Equity Gap and Tweed Renaissance Investors Capital (Tri Cap), along with the Scottish Investment Bank (SIB).
News of the second seed-funding round comes after the firm raised £320,000 last year.
Jock Millican, a director at Equity Gap and the chairman of business angel trade body Linc Scotland, said: “We invested in My1login because the company is addressing a serious problem for businesses and individuals, which has real market potential.
“The founder – Mike Newman – has a clear vision and drive, which was also a key factor in our investment.”
Tri Cap chairman Rob Dick added: “Members of the syndicate have been very impressed with My1login’s technical and market knowledge in a challenging sector.
“We are looking forward to developing our relationship with the team at My1login, during what should be an exciting period for the company.”
Newman, who founded the firm in 2007 and launched its consumer product last year, hailed the latest investment as “an important milestone”.
He quoted recent figures from telecommunications giant Verizon, which suggested 40 per cent of security breaches are a result of hackers guessing, cracking or re-using passwords, while 25 per cent of breaches are caused by “phishing” scams, where criminals try to trick users into typing their passwords in to fake websites.