David Cohen of Colorado Startups and TechStars announced today that he is launching a new seed fund designed to invest in early stage web/software startups nationwide. The $2.5 Million fund was finalized last week and will begin investing immediately.
As many of you know, I have personally invested in about a dozen startups over the past four years and have been fortunate enough that many of those have been successful. I have also been very encouraged with the results of funding pre-seed investment through TechStars, the mentorship-driven summer program based in Boulder and Boston. Based upon the successes I’ve had with these activities, I am humbled to now be joined by an amazing group of investors who are also providing capital for this new fund that I am managing.
The new fund will invest in approximately 20 startups over a five year period. It will invest between $50K and $200K per company, with a typical “bite size” being $100K. While this new fund will choose the best available investments nationally, we believe that some of those will naturally include companies exiting TechStars. With this fund, I will lead some investments and will follow other funds or angels in other cases. I am especially honored that the advisors to the fund are Howard Lindzon, Brad Feld, Howard Diamond, Lisa Rutherford, and Jason Mendelson, so the range of experience represented by the fund is quite extraordinary.
More information about Cohen’s fund is available on his personal site – DavidGCohen.com.