Click below to review our current list of co-investment opportunities.
(Scroll down page to signup to receive deal flow updates via email.)
At Seed Round Capital we share deal flow and co-invest with our network of Angel investors, and Venture Capital firms.
We hold monthly pitch events to showcase the companies we like, and along with encouraging direct investments from our co-investor community, we often arrange a syndicated allocation for co-investors.
We have an Angel Network of 40+ accredited investor members that co-invest with us, plus 450+ investors that subscribe to our deal flow updates.
We evaluate over 100 companies a month to pick our 5 favorites to share with our members and subscribers. Our members are free to invest or pass on any of the deals. Our Angel Network syndicates every deal for our members via a special purpose vehicle (SPV), structured as an LLC. We hold the securities issued in the SPV. The structure of the SPV is such that capital gains and any passthrough income flows directly to the investors.
Members pay an annual fee which covers the group's legal and accounting fees for filings, K1s, etc. Our typical carry is 5% (after investor capital is returned) which goes to the person that sources the deal and helps with diligence. The typical minimum investment per deal is $2k.
Seed Round Capital is also among the active investor groups that have access to Angel Capital Association resources including investor development tools for every skill level, collaboration and networking, the most current verified and validated angel investment data in the market today and ongoing advocacy efforts on behalf of the angel investment community. Each member of Seed Round Capital's Angel Network is invited to take full advantage of their ACA member access and stay on the forefront of the early stage investing trends.
If you are an accredited investor and would like more information about joining our Angel Network please email firstname.lastname@example.org.
We typically invest in companies that meet the following criteria:
- A Product in Market: We like to see three months of revenue or user growth.
- Current Traction: $5k+ in monthly recurring revenue, or +/-$100k in annual revenue, and 3+ paying customers.
- Current Round Size: $500k - $2.5M total. (We focus on pre-seed and seed round investments with occasional Series A rounds.)
- Pre-Money Valuation: $5M or less. (Above $5M requires demonstrated traction and growth.)
- Prior Funding: Less than $750k in prior outside investment.
- Startup Categories: We focus on tech and tech-enabled businesses, and avoid highly regulated industries that have a long sales cycle or are capital intensive. (We target startups that are doing real engineering and are capital efficient.)
- Founder and Team: We like to see at least one full-time founder working in the business, with other full-time employees or contractors on the team. Two or more full-time founders is preferred. (We like teams.)
- Growth Opportunity: We target business models that can scale to $100M+ in value.
- Location: Although we are based in Houston, we work with startups throughout the USA and Canada. (We occasionally support startups in the EU that have a US C-Corp.)
- Monthly Stakeholder Updates: We love to see at least two to three monthly stakeholder updates before we invest. We like to see companies executing on their plan over time.