Case: CaddieON

CaddieOn LogoProfessional athletes use all available information to improve their performance. In golf, collecting the data requires a load of statisticians who follow the players and record each shot. Amateur golfers would love to have the same means to improve their performance as well. However, all the prior solutions either require too much concentration on manual data collection or one needs to pay big money for a live caddie to do the job. CaddieON allows automated golf data collection. The patent pending product enables the round events to be recorded shot by shot, shared and broadcasted in real time. Even better, player can compare his performance with other players and compete in all game details, not only with total round score. Instead of gadgets, you get to focus on game and play better. Now, that’s a strong value proposition for a golfer.

The CaddieOn wristband automatically detects the strokes and the club used for it. There's no easier way to keep track of your golf game play.

The CaddieOn wristband automatically detects the strokes and the club used for it. There’s no easier way to keep track of your golf game play.

CaddieON has launched the product and starting the sales in Finland during summer 2013. Prior to investment it has already announced cooperation with half a dozen golf courses in Finland and collected crowd funding from Finnish golfers worth 13 thousand euro.

”There are 60 million golfers in the world. CaddieON will lead the way in giving the golfers most value for their golf and making golf more rewarding, enjoyable and interesting than ever. The international market potential is worth several hundred millions. We wanted to have an investor who can help us with business models as well as finding the right partners. Butterfly was our best choice and shares our passion for lean customer driven development.” (Tuomo Lalli, CEO of CaddieON, Inc.)

In addition to automatically created golf game play record the CaddieOn mobile app has all the features you would expect from a golf app and there's many more coming up.

In addition to automatically created golf game play record the CaddieOn mobile app has all the features you would expect from a golf app and there’s many more coming up.

Butterfly invested into CaddieON because the patent pending product concept allows superior ease of use and thus stronger value proposition for golfers in a market worth of several hundred millions. Furthermore the business model offers several avenues for monetization. The CaddieON team has shown both the ability and commitment. Finally their ongoing crowd funding campaign has already gained significant traction among their future customers. Butterfly investment will be used to validate value proposition and establish the required metrics to leverage the valuation up for follow-on financing rounds.

Butterfly Ventures Invests Into New Startups

The ramp up of Butterfly Ventures investment activities continues at high pace; it has selected four new investment targets. The companies are: CadFaster, WhileOnTheMove, CaddieON and Fourdeg. With Butterfly Ventures investing in them, the companies will speed up their market-entry and accelerate their internationalization.

CadFaster is employing a modern business model and lean customer centric product development methods. Therefore we also needed an investor who really understands these.” told Raimo Kuismin, Chairman of CadFaster, Inc., “The real added value investor makes the difference. The role of Butterfly while creating our business model and moving towards lean startup practices has been instrumental already before the investment.” he added.

The first investment rounds vary between approximately 40 000 and 250 000 euro, from which the Butterfly Ventures share varies from 20 000 to nearly 70 000 euro. In addition, parties have agreed on the milestone tied follow-on funding that may increase the total investment of Butterfly Ventures up to 500 000 euro per company.

One can divide the investment targets roughly into two distinct groups; pre-seed stage companies where our investment enables the first stages of product development and seed stage companies where the focus is on product and business model validation.” said Matti Kanninen, CEO of Butterfly Ventures.

Butterfly Ventures will make first time investments in approximately ten new target companies per year. Due to investments announced now the number of invested companies rises up to seven for the year 2013. Furthermore, as some of the portfolio companies have already met the performance targets set for the follow-on investment round, follow-on investments are becoming current.

Enquiries and additional information

Matti Kanninen, managing partner
Phone: +358 (40) 5455877

Butterfly Ventures

Butterfly Ventures is an early stage focused startup development and venture fund management company located in Oulu, Finland. Behind the company are Matti Kanninen, Antti Kosunen and Juho Risku as well as Board members Jukka Mäkinen and Jari Pasanen. Butterfly Ventures has offices in Oulu and Helsinki.


Northern Startup Fund

Northern Startup Fund is a venture capital fund managed by Butterfly Ventures that invest into early stage startups. It is the first asymmetric fund in Finland. In the case of Northern Startup Fund the asymmetry means that the public investor, which benefits also in a form of tax income, lowers the risk of a private investor by offering a possibility for returning the invested capital and profit share before the public investor. From the private investors’ point of view this improves the risk – return expectation ratio significantly. The investment capital of Northern Startup Fund will be 10 million €, half of which comes from the City of Oulu and the other half from private investors.


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