Craft Ventures
Description
Craft Ventures, based in San Francisco, California, is a prominent venture capital firm known for its deep expertise in early-stage and growth-stage software-as-a-service (SaaS) businesses. Co-founded by PayPal and Yammer veteran David Sacks and Bill Lee, the firm distinguishes itself through a hands-on, operational approach to company building. While their portfolio spans SaaS, marketplaces, and consumer tech, their core strength and reputation are firmly rooted in scaling B2B SaaS companies, leveraging the founders' extensive experience in product development, sales, and go-to-market strategies.
The firm's investment philosophy, often termed the "Craft" approach, emphasizes providing significant operational support beyond just capital. They actively work with portfolio companies on critical aspects such as product-led growth, sales efficiency, and talent acquisition. This hands-on model is designed to help founders navigate the complexities of scaling, drawing on the partners' direct experience in building and exiting successful technology companies. Craft Ventures aims to be a strategic partner, offering practical guidance to accelerate growth and achieve market leadership.
Craft Ventures has consistently raised substantial capital to support its investment strategy. In 2023, the firm announced its fourth flagship fund, Craft Ventures Fund IV, totaling an impressive $1.25 billion. This capital was split into two vehicles: a $750 million early-stage fund and a $500 million growth fund, underscoring their commitment across different stages. For early-stage investments, particularly Series A rounds, Craft Ventures typically deploys first checks ranging from $10 million to $25 million, often leading these rounds. Their ability to write significant checks positions them as a key partner for ambitious startups seeking substantial capital and strategic guidance to scale rapidly.
The firm's strong track record and operational focus have attracted a diverse portfolio of high-growth companies. Their emphasis on fundamental business metrics, efficient growth, and sustainable unit economics resonates with founders looking for more than just capital. Craft Ventures' unique blend of capital and operational expertise makes them a highly sought-after investor in the competitive venture landscape, particularly for companies aiming to dominate their respective SaaS markets.
Investor Profile
Craft Ventures has backed more than 293 startups, with 32 new investments in the last 12 months alone. The firm has led 133 rounds, about 45% of its total and boasts 23 exits across its portfolio.
Investment Focus Highlights
- Concentrates on Seed, Series A, Series B rounds (top funding stages).
- Majority of deals are located in United States, Canada, Germany.
- Strong thematic focus on Software, Information Technology, Artificial Intelligence (AI).
- Led 13 rounds in the past year.
- Typical check size: $10M – $25M.
Stage Focus
- Seed (37%)
- Series A (32%)
- Series B (17%)
- Series C (4%)
- Pre Seed (4%)
- Series Unknown (2%)
- Angel (1%)
- Series D (1%)
Country Focus
- United States (94%)
- Canada (4%)
- Germany (1%)
Industry Focus
- Software
- Information Technology
- Artificial Intelligence (Ai)
- Saas
- Analytics
- Financial Services
- Fintech
- Health Care
- Internet
- Machine Learning
Frequently Asked Questions
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