Game Funding Bootcamp – the first comprehensive program on funding gaming projects
One of the biggest challenges faced by gaming teams at the very beginning of their project or when the game is ready for scaling and further development is the lack of finances. On the other hand, there are various models and possibilities for funding gaming projects.
Game Funding Bootcamp was created with the idea of bringing different aspects of funding gaming projects closer to companies in various stages of development, all in one centralized and comprehensive program. It was realized through multi-hour hybrid sessions (in-person and online) organized every two weeks starting from February 1, 2022. Each session was dedicated to one of the mentioned funding models. The program’s specificity lies in the participation of representatives from SGA members, stakeholders of the local gaming industry who have had direct experiences with specific funding models for their projects and the challenges they pose. These experiences were generously shared with the Serbian as well as the game development community in the region.
We started Game Funding Bootcamp with the topic of collaboration with publishers and their role in funding projects and teams. We delved into the world of PC/console publishing as well as the realm of mobile publishing, alongside some of the leading global companies, partners of SGA, such as Epic Games and Voodoo. Additionally, we learned more from speakers about the Epic MegaGrants program, dedicated to supporting development projects using Unreal Engine as their platform. The program, launched by Epic Games almost two years ago, has financially and professionally supported numerous projects worldwide.
Participants shared their experiences with Rocco Scandizzo (Head of Unreal Engine Games, EMEA region @ Epic Games), Vrinda Batra (Publishing Manager, Voodoo), Adam Kovač (Solutions Specialist, 3Lateral / Epic Games), Nenad Tomić (CEO, Mad Head Games), Igor Simić (CEO & Creative Director, Demagog Studio), and Nemanja Divjak (CEO, Tummy Games) with the attendees.
Izvorima finansiranja iz takozvanih javnih sredstava i fondova bavili smo se u narednoj epizodi. Sagledali smo koji oblici državne i institucionalne pomoći su na raspolaganju za timove i kompanije koje rade na razvoju igara, VR projekata ili imerzivnih i višemedijskih projekata, kako iz Srbije tako i iz regiona.
Prvi deo programa realizovan je na engleskom jeziku i pokrio je teme posvećene evropskim fondovima i programima finansiranja kao što su Horizon Europe ili Creative Europe. Učesnici su imali prilike da razgovaraju sa predstavnicima srpskog Deska Kreativna Evropa MEDIA (Una Domazetoski, Head) kao i sa pojedinim predstavnicima timova koji su imali direktna iskustva u apliciranju na slične fondove – Nikola Mitić (COFA Games / Playstudios Europe) i Attila Szantner (Co-Founder & CEO, MMOS).
Mere podrške i olakšica koje je država Srbija primenila na domen startap kompanija, u koje spadaju i gejming firme i studiji, su predmet diskusije drugog dela programa. Učesnicima su se obratili predstavnici Vlade Srbije (Nenad Paunović, Team for IT & entrepreneurship) i Fonda za inovacionu delatnost (Mlađan Stojanović, Program Manager) koji je samo tokom ove godine objavio nekoliko konkursa relevantnih za game developere, pre svega Katapult akcelerator (koji smo već predstavili kroz zaseban SGA program), ali i Smart Start koji je posvećen razvoju MVP-eva i prototipova.
In the next episode, we delved into the sources of funding from the so-called public funds and funds. We explored the forms of state and institutional aid available for teams and companies working on game development, VR projects, or immersive and multimedia projects, both from Serbia and the region.
The first part of the program was conducted in English and covered topics dedicated to European funds and financing programs such as Horizon Europe and Creative Europe. Participants had the opportunity to converse with representatives from the Serbian Creative Europe MEDIA Desk (Una Domazetoski, Head) as well as with some representatives of teams who had direct experience in applying for similar funds – Nikola Mitić (COFA Games / Playstudios Europe) and Attila Szantner (Co-Founder & CEO, MMOS).
The second part of the program focused on the support measures and incentives implemented by the Serbian government for startup companies, including gaming firms and studios. Participants heard from representatives of the Government of Serbia (Nenad Paunović, Team for IT & Entrepreneurship) and the Innovation Fund (Mlađan Stojanović, Program Manager). The Innovation Fund has announced several competitions relevant to game developers this year, including the Katapult accelerator (which was previously introduced through a separate SGA program) and Smart Start, dedicated to the development of MVPs and prototypes.
In this special program, the practical workshop was led by Jes Bailey, a crowdfunding expert from the UK. At the same time, we took the opportunity to introduce Dobri dabar, a new domestic crowdfunding platform. Ivan Rajković, one of the creators of the most successful crowdfunding campaign from Serbia – Forest of Radgost, raised almost $300,000 from 3,000 people worldwide, and it is now well into production, shared his experience with the participants.
Investments are one of the key and desirable ways to scale your studio or product. Our reliable partners and experienced lecturers, Ivan Nonković (Partner, Karanović & Partners), Pavle Kutlešić (LL.M. Deloitte), Ivan Đukanović (Manager, Deloitte), and Martin Macmillan (Founder, Pollen VC), explained the challenges associated with investments and the best ways to anticipate and overcome them. Serbia has great potential for investments in startups, but building an ecosystem that would attract investments from around the world is essential. This has been a common conclusion in numerous panels and conferences dedicated to the development of domestic startup companies.
We approached the topic of investments from a slightly different angle, as we are not able to offer a golden recipe on how to obtain the desired investment. Instead, we focused on preparing for the moment when you are truly in a position to form such a partnership. We also emphasized the legal and financial aspects of these agreements and transactions, explained the due diligence process, and many other aspects of closing such a deal, highlighting the most common mistakes startups make when presented with seemingly ‘juicy’ opportunities.
What is particularly valuable in these transactions, despite being part of global trends where ‘big’ companies acquire ‘small’ ones to gain new IPs, employees, and markets, is that none of these companies have been turned into outsourcing centers for their new parent companies. They were acquired precisely because of the originality of the products and games they had developed up to that point. Through these transfers, they gain invaluable experience from major players, better conditions for employees, and numerous developmental opportunities, which have a positive impact on the entire ecosystem. Of course, there are smaller or lesser-known studios going through similar processes or aspiring to.
We heard from representatives of our members and partners – Goran Radošević and Miloš Jakovljević (Karanović & Partners), and Milica Stublinčević, Ivan Đukanović, and Aleksandra Jojić (Deloitte Serbia) – about how the entire process works, various scenarios, what to pay special attention to, what due diligence entails, how to prepare for it effectively, negotiating positions, and much more. Kristina Šarenac, a representative of Mad Head Games, who participated in the M&A transfer as an in-house legal counsel, provided insight into what M&A looks like from the perspective of an in-house lawyer employed by a company selling a stake to another firm, and what the differences are between in-house counsel and lawyers or consultants hired specifically for the mentioned process.
The Game Funding Bootcamp program is conducted in collaboration with several SGA partners, including Help Serbia (as part of the RECONOMY project), the Swiss Entrepreneurship Program, Deloitte Serbia, Karanović & Partners, and others. Numerous SGA members will also share their past experiences with interested game creators from the entire region.