Initialized Capital, an early stage venture capital firm started by former Y Combinator partners Alexis Ohanian, Harj Taggar, and Garry Tan, has raised $115 million for its third fund.
The focus is to invest in companies just getting started by putting in between $500,000 and $1 million — just enough to help startups get some traction.Reports this summer suggested that the firm was targeting $100 million.
Previously, it had raised $7 million for its first fund and $39.15 million for its second.
How much under management hasn t been disclosed.Founded in 2011, the firm seeks out what it calls high-quality founders to help shape solutions or focus markets that need to be addressed:Tan has stated that his firm is spending more time with what he calls file cabinet industries, which are those markets where if you go into a dominant player s office, you ll see lots of file cabinets or fax machines so perhaps productivity, team communication, and other software-based solutions to get things done?Previous investments include Soylent, Vicarious, Kimono Labs, LogDNA, Eero, Weave, Secret, and Cruise Automation.
It should be noted that some of the capital has been given to former participants of the Y Combinator startup program, which shouldn t be surprising in that it can follow up on other opportunities to help entrepreneurs after Demo Day.In a Hacker News Q session, Tan remarked that of the investments Initialized has made, 1 out of 3 startups from the firm s last fund were not associated with Y Combinator, instead coming from other sources.
What s more is that approximately two-thirds of its portfolio is based in the San Francisco Bay Area.