S3 Ventures
Description
S3 Ventures is a prominent Austin, Texas-based venture capital firm with a strong focus on investing in high-growth technology companies across the United States, particularly within Texas. The firm primarily targets opportunities in software, digital health, and tech-enabled services sectors. S3 Ventures is known for its hands-on approach, often serving as the first institutional investor or leading investment rounds, and actively participating on company boards to provide strategic guidance and operational support to its portfolio companies. Their investment philosophy centers on identifying businesses with robust management teams, significant market potential, and proprietary technology.
The firm typically engages with companies across various stages, from seed to growth, though their sweet spot often lies in Series A and Series B rounds. S3 Ventures aims to deploy initial investments ranging from $500,000 to $10 million, demonstrating flexibility to support companies at different points in their development. Beyond capital, S3 Ventures emphasizes building long-term partnerships with entrepreneurs, leveraging their extensive network and operational expertise to help companies scale effectively and achieve market leadership.
S3 Ventures has consistently demonstrated its commitment to the venture ecosystem through successful fundraising efforts. For instance, the firm announced the closing of S3 Ventures Fund V with $250 million in committed capital in 2021, which was dedicated to supporting innovative startups. Building on this momentum, they further solidified their position by closing S3 Ventures Fund VI, also at $250 million, in 2023. These significant fund sizes underscore their capacity to provide substantial follow-on capital and support their portfolio companies through multiple funding rounds, reinforcing their role as a long-term partner for entrepreneurs. Their strategic investments aim to foster the development of impactful companies that can drive significant returns and contribute to technological advancement.
Investor Profile
S3 Ventures has backed more than 89 startups, with 13 new investments in the last 12 months alone. The firm has led 47 rounds, about 53% of its total and boasts 22 exits across its portfolio.
Investment Focus Highlights
- Concentrates on Series A, Seed, Series B rounds (top funding stages).
- Majority of deals are located in United States, Canada.
- Strong thematic focus on Software, Information Technology, SaaS.
- Led 4 rounds in the past year.
- Typical check size: $500K – $10M.
Stage Focus
- Series A (27%)
- Seed (20%)
- Series B (19%)
- Series C (12%)
- Series Unknown (12%)
- Series D (3%)
- Series E (3%)
- Private Equity (1%)
- Series G (1%)
Country Focus
- United States (98%)
- Canada (1%)
Industry Focus
- Software
- Information Technology
- Saas
- Health Care
- Manufacturing
- Biotechnology
- Medical Device
- Medical
- Machine Learning
- Analytics
Frequently Asked Questions
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