Is Your Fund Size Your Greatest Strength?

By Allison and Maria
February 14, 2024

In the venture capital world, it feels like everyone’s chasing the next big unicorn. But the truth is, not every startup needs to be a billion-dollar giant to be a success. Actually, most exits happen in the $50M to $250M range. That’s where we, as small fund managers, come in and shine.

The Real Deal About Exits

Most successful exits land in that sweet $50M to $250M spot. It's a range often overlooked by the big VC funds. Why? Because for them, smaller checks don’t really move the needle. Their game is different — they're looking for those rare, massive unicorns. But here’s a secret: this overlooked space is where there’s a ton of value to be captured, and it’s ripe for the picking for small funds like ours.

Our Edge

Big funds aren’t geared to make the most of these opportunities — but that’s exactly where we excel. Our size is actually our superpower. It lets us be nimble, build strong relationships with the startups we back, and dive into opportunities that big funds might not even glance at. This isn’t just about being small; it’s about being smart, strategic, and selective.

Collaboration Over Competition

For this type of strategy, instead of competing with other VCs, we thrive on teamwork. Sharing cap tables with investors who get it, who see the value where we see it, is crucial. It’s not just about putting money in; it’s about pooling our resources, knowledge, and networks to fuel the growth of companies with real potential. This collaborative spirit is what sets us apart and has been a key driver of our success.

Our Track Record Speaks

Following this strategy, we’ve hit top quartile returns. That’s right — focusing on the “smaller” exits doesn’t mean settling for less. It means recognizing where the real, tangible opportunities lie and seizing them.

Let’s Get to Work

If you’re a fund manager nodding along as you read this, we should talk. There’s a vast field of opportunities out there that the big funds are just walking past. Together, we can tap into this potential and support the kind of growth and mission that not only is very profitable but that can make the world a better place.

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