Investment Criteria

Early stage technology investing is an art, not a science. It is difficult to list explicit criteria, metrics and threshold, but here are a few insights:

  • Religious adherence to the “Three Asses Rule”
  • Invest in 45 seed stage startups per fund
  • Average initial investment of $1M, ranging from $750K to $1.5M+, with selective follow-on reserves
  • Initial ownership target of 7%-10%
  • Ability to lead, co-lead or follow other firms or angel investors
  • Consumer Internet focus with a great flexibility to opportunistically enter new sectors
  • Geographic focus in Silicon Valley, New York/Boston and some parts of Canada – but open to outside opportunities if we have a strong relationship with a local lead
  • Investments characterize by capital efficiency, great teams, differentiated ideas and flexibility on “how big it can become”
  • Partner with the best micro-vc and traditional firms in Silicon Valley and the East Coast, and a large network of high quality, supportive individual investors
  • A degree of user validation and testing via an advanced prototype or an alpha version; we rarely invest at concept stage, unless we have worked with the team in the past

Learn about our investment process »