XFactor Ventures

XFactor Ventures is a prominent pre-seed and seed-stage microfund based in Boston, United States, distinguished by its explicit focus on investing in companies with at least one female founder. Launched in 2017 by the female partners of Flybridge Capital Partners, XFactor was conceived to address the significant funding gap faced by women entrepreneurs. The firm's inception with an initial fund of $3 million underscored its commitment to fostering diversity within the startup ecosystem from its very beginning. This strategic alignment with female leadership has positioned XFactor as a crucial early-stage capital provider for an underserved market segment.

The fund primarily targets pre-seed and seed-stage startups, providing initial checks ranging typically from $100,000 to $250,000. As a microfund, XFactor often serves as the first institutional capital for these nascent companies, helping them achieve critical early milestones. Beyond capital, XFactor leverages the extensive network and operational expertise of its partners, who are seasoned venture capitalists and entrepreneurs. This hands-on approach and strategic guidance are integral to their value proposition, enabling portfolio companies to navigate the challenges of early-stage growth and prepare for subsequent funding rounds.

Since its founding, XFactor Ventures has demonstrated significant growth and impact, expanding its capital base to support a growing number of promising ventures. Following its initial fund, the firm successfully raised XFactor Fund II ($8 million), XFactor Fund III ($12 million), and most recently, XFactor Fund IV, which closed at $20 million in 2023. This progressive increase in fund size reflects both the success of its investment strategy and the continued demand for its unique value proposition. To date, XFactor has made over 100 investments, building a diverse portfolio across various industries, all unified by the presence of female leadership.

XFactor Ventures plays a vital role in democratizing access to venture capital and promoting gender diversity in the tech and startup world. By consistently backing female-founded companies, the firm not only generates financial returns but also contributes significantly to building a more inclusive entrepreneurial landscape. Its model of combining strategic capital with deep mentorship from experienced female investors makes it a compelling partner for early-stage companies led by women, solidifying its position as a key player in the pre-seed and seed investment community.