Initialized Capital is a venture capital firm headquartered in San Francisco, California that was founded in 2011 by Garry Tan and Alexis Ohanian. The firm specializes in investing in high-potential software start-ups. The firm believes every industry will be remade by software engineers with the purpose of making goods and services better, cheaper, and faster. It invests at the seed stage, has $36 billion in market value, and has raised more than $446 million in funding (as of July 23, 2019).
Product thesis
The firm invests in companies that have products which are significantly better than products on the current market and can prove with specific data points that they have already created successful products. Initialized capital also seeks start-ups with clear plans for the first 18-24 months after receiving their investments. Upon accepting a company into its portfolio, Initialized Capital states that it aids start-ups in areas such as technical hiring, user acquisition, media, press launches, and product design.
The Process
Initialized Capital utilizes customer relationship management software that was built by co-founder Garry Tan to gain insights into the potential of a start-up. Those companies that could be backed by the firm are then logged and voted on by Initialized Capital's nine investors. The vote is done digitally and blindly in an attempt to avoid bias.
Progress
The firm is significantly progressive with inclusion and diversity within the company, with female investors accounting for 40% of the team (the industry average is 10%). Furthermore, one of the co-founders is vocal about companies in the United States being mandated to offer Paid Family Leave and encourages companies in Initialized Capital's portfolio to offer that benefit.
Investments
Initialized Capital has made a total of 116 investments, 35 lead investments, and had 6 exits (Cruise, PlanGrid, eero, Kimono Labs, Framed Data, and Mast data.
Investment funds
The following table contains information related to investment funds raised by Initialized Capital:
Investment funds
Initialized Capital Fund I
$7 million
February 7, 2012
Initialized Capital Fund IV
$225 million
October 2, 2018
Initialized II
$39.2 million
August 1, 2013
Initialized III
$125 million
July 7, 2017
Initialized Superclass Iss
$50 million
June 24, 2019
Timeline
Initialized Capital announces their Initialized Superclass Iss fund with $50 million in funding.
Initialized Capital announces their Initialized Capital Fund IV with $225 million in funding.
Initialized Capital announces their Initialized III fund with $125 million in funding.
Initialized Capital announces their Initialized II fund with $39.2 million in funding.
Initialized Capital completes their Initialized Capital Fund I with $7 million in funding.
Founding of Initialized Capital
Initialized Capital was founded in 2011 by Garry Tan and Alexis Ohanian
Funded Companies
A software company making a workplace email communication platform for remote and office work.
Atoms makes shoes for everyday wear. Made with elastic laces, copper lining, breathable materials, and simple design.
Blend invites companies that service the mortgage industry to sell digital tools--APIs--through its platform.
The Long-Term Stock Exchange is a financial services company and Securities Exchange.
A technology company building products for enabling the autonomous operation of self-driving vehicles.
A software company providing cloud-based employee management solutions. It combines human resources, information technology, and operations. It was founded in 2016 and has locations in San Francisco, California and Bangalore, India.
A company developing blood testing device that utilizes deep learning and computer vision.
A company offering an enterprise workplace visitor management software platform.
Also known as Papa Technologies, Papa provides a platform connecting college students to senior citizens in need of transportation, house help, technology lessons, companionship and other services.
Lob is a company developing and building APIs for automating mail and customer communications with print media. It participated in the S13 cohort of Y Combinator.
Rescale is a company developing and providing software platform and hardware infrastructure for companies to perform scientific and engineering simulation.
A software company offering a platform for creating eCommerce websites.
A software company that specializes in making products for the robotics industry. It was founded in 2018 and is located in San Francisco, California.
Rainforest QA is a San Francisco-based company founded by Russell Smith.
Zeus is a California-based company founded by Kulveer Taggar, Joe Wong and Srini Panguluri.
A company providing a full-service kitchen stocked with snacks and beverages for employees
Trusted Insight is a financial services company founded by Alex Bangash.
Associated investment funds
People
Alda Leu Dennis
General Partner
Alexis Ohanian
Managing Partner
Andrew Lee
Partner
Brett Gibson
Partner
Chi An
Controller
Danni Metz Shuval
Executive Assistant
Eric Woersching
General Partner
Garry Tan
Managing Partner
Harjeet Taggar
Former Partner
Jen Wolf
COO and Design partner
Jessica Aguilar
Office Manager
Kim-Mai Cutler
Partner
Lissie Garvin
Chief of Staff
Marinda Luk
CFO
Phillip Aubrey
Analyst
Victoria Whitely
Head of EA
Vincent Chu
Partner
Further reading
At Initialized Capital, Odd Couple Alexis Ohanian And Garry Tan Look To Do VC Differently
Alex Konrad
Web
July 9, 2018
Initialized Capital Closes $115M Third Fund
FinSMEs
Web
October 24, 2016
Initialized Capital raises $115 million for its third fund
Ken Yeung
Web
October 25, 2016
Ohanian's Initialized raises $225M 4th fund to turn founders into cyborgs
Josh Constine
Web
October 2, 2018
Reddit Co-Founder Alexis Ohanian Steps Aside, Focuses on Initialized Capital
Steven Rosenbush and Steven Norton
Web
February 7, 2018
Reddit founder Alexis Ohanian has $225 million in fresh funding to back health and elder tech startups
Sara Salinas
Web
October 2, 2018
Venture Capital, Initialized Capital to Raise $100M Third Fund
FinSMEs
Web
June 10, 2016
YC Partners Taggar, Tan And Reddit Co-Founder Ohanian Raise $39M For Initialized Capital
Kim-Mai Cutler
Web
August 1, 2013
Documentaries, videos and podcasts
Alexis Ohanian on the open internet, "hustle porn", and paternity leave for all
November 14, 2018
CoinBundle Conversations with Brett Gibson from Initialized Capital
September 28, 2018
Design for Startups -- Garry Tan (Co-founder + Managing Partner, Initialized Capital)
March 5, 2019
E08 - Ending The Crypto Winter with Garry Tan and Brett Gibson of Initialized Capital
November 1, 2018
E744: Kim-Mai Cutler of Initialized Capital & TechCrunch on affordable housing crisis in SF Bay Area
July 7, 2017
E866 Future of Early-Stage: Garry Tan, Initialized; Hunter Walk, Homebrew; Andrea Zurek, XG Ventures
October 19, 2018
Early-Stage VCs Are Set To Deliver Outstanding Returns - Garry Tan, Initialized Capital
October 5, 2016
FOUNDING, FUNDING AND FATHERHOOD WITH ALEXIS OHANIAN
July 26, 2018
FundersClub Live Q&A with Garry Tan of Initialized Capital
January 24, 2017
Reddit and Initialized Capital Co-Founder Alexis Ohanian (Extended Cut)
May 2, 2018
TIA Tokyo 2018: Founder's Fireside with Alexis Ohanian of Intialized Capital
November 4, 2018
Companies
Red Planet Labs
7 Cups of Tea
AdQuick
Algolia
Ambition
Arcus
Atrium
Better
BisonTrails
Blend
Campaign
CoinTracker
News
References
Company attributes
Categories
Related Topics
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