
Foundation Capital
Description
Foundation Capital is a distinguished venture capital firm based in Palo Alto, California, established in 1995. The firm is recognized for its early-stage investment focus, primarily targeting Seed and Series A rounds. Composed of former entrepreneurs, Foundation Capital prides itself on a hands-on approach, providing strategic guidance and operational support to help companies grow from their nascent stages. Their investment philosophy centers on identifying visionary founders who are building category-defining companies across various sectors.
Foundation Capital's investment thesis is broad yet focused on disruptive technologies and scalable business models. Their portfolio spans a diverse range of industries, including enterprise SaaS, fintech, cybersecurity, consumer applications, and infrastructure. The firm seeks out companies with strong product-market fit potential, emphasizing long-term partnerships and leveraging its extensive network to support portfolio companies. They aim to be a lead investor, actively participating in the strategic development of their ventures.
With a long and successful history, Foundation Capital has demonstrated significant impact in the venture landscape. They have consistently raised substantial capital, with their latest fund, Fund XI, closing at $500 million. This commitment underscores their continued capacity to support ambitious startups. Overall, Foundation Capital manages over $4 billion in capital, having invested in more than 200 companies, including notable successes like Netflix, LendingClub, and Solana. Their robust track record includes numerous IPOs and strategic acquisitions, solidifying their reputation as a leading early-stage investor.
Investor Profile
Foundation Capital has backed more than 766 startups, with 24 new investments in the last 12 months alone. The firm has led 206 rounds, about 27% of its total and boasts 171 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, United Kingdom, Mexico.
- Strong thematic focus on Software, Information Technology, Artificial Intelligence (AI).
- Led 10 rounds in the past year.
- Typical check size: $1M – $15M.
Stage Focus
- Seed (22%)
- Series A (20%)
- Series B (17%)
- Series Unknown (11%)
- Series C (11%)
- Series D (6%)
- Series E (4%)
- Pre Seed (2%)
- Private Equity (1%)
- Convertible Note (1%)
Country Focus
- United States (89%)
- United Kingdom (2%)
- Mexico (2%)
- Canada (2%)
- India (1%)
- China (1%)
- Colombia (1%)
- Germany (1%)
Industry Focus
- Software
- Information Technology
- Artificial Intelligence (Ai)
- Internet
- Financial Services
- Saas
- Enterprise Software
- Fintech
- Analytics
- Machine Learning
Frequently Asked Questions
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