Menu
As minorities with disadvantaged backgrounds, we have firsthand experience of the barriers, discipline and sacrifice needed when launching and scaling viable businesses.
So we’ve opened a fund that supports diversity in the innovation ecosystem by helping startups led by underserved and disadvantaged founders to overcome the educational, capital, operational and network challenges that often stifle growth.
A fund that looks to inject over $10M into 50+ companies, equip them with capital, counsel, tools, and resources and empower them to create the future of digital.
The Fund’s focus is to invest in 50 seed-stage capital-efficient internet companies led by underserved and disadvantaged founders that have high impact and potential over the next five years.
The Fund is targeting an annualized return of 30% over 6-10 years by deploying the experience of its own investment management team and multi-disciplinary team in building and scaling companies.
Seed stage startups have the potential to produce 10x+ investment returns at sub-$50 million valuations. Also, exits in the sub-$50 million M&A tend to come in 3-6 years rather than 8-12 years for >$50 million M&A exits.
The Fund plans to make investments up to $100,000 in startups incubated internally by our venture studio and startups that have been screen, selected by WebTheory to build and scale. The Fund will also make follow-on c0-investments of approximately $200,000 in selected key startups.
The Fund is designed to be aligned with our interests with both investors and founders to close the funding gap while building the future of tomorrow.
As an LP, the Fund will have exclusive rights to invest in every company that is developed by WebTheory as well as the right to make follow-on investments that receive future funding. Once invested, the Fund will benefit from the active ongoing operational support by WebTheory as well as the monitoring and mentoring assistance of follow-on investors.
Open:
2023 Q1
Closed:
2023 Q4
Size:
$10M
Investment Duration:
5 Years
Harvest Duration:
5 Years
Target IRR:
30% IRR
Carry:
20%
Management Fee:
2%
GP Commitment:
$100k
The Fund’s focus is to invest in 50 seed-stage capital-efficient internet companies led by underserved and disadvantaged founders that have high impact and potential over the next five years.
The Fund is targeting an annualized return of 30% over 6-10 years by deploying the experience of its own investment management team and multi-disciplinary team in building and scaling companies.
Seed stage startups have the potential to produce 10x+ investment returns at sub-$50 million valuations. Also, exits in the sub-$50 million M&A tend to come in 3-6 years rather than 8-12 years for >$50 million M&A exits.
The Fund plans to make investments up to $100,000 in startups incubated internally by our venture studio and startups that have been screen, selected by WebTheory to build and scale. The Fund will also make follow-on c0-investments of approximately $200,000 in selected key startups.
The Fund is designed to be aligned with our interests with both investors and founders to close the funding gap while building the future of tomorrow.
As an LP, the Fund will have exclusive rights to invest in every company that is developed by WebTheory as well as the right to make follow-on investments that receive future funding. Once invested, the Fund will benefit from the active ongoing operational support by WebTheory as well as the monitoring and mentoring assistance of follow-on investors.
© 2023 WebTheory LLC. All Rights Reserved.
