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 syndicate these allocations to allow other accredited investors to co-invest with us through a special purpose vehicle (SPV) that is created for each portfolio company. We offer guidance and advice to the startups in which we invest, and 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.
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)
- 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.