VC fundraising easier for tech founders’ funds. Raising venture capital funds may be difficult in recent times, but founders’ funds, those created by super-wealthy, tech entrepreneurs are having no problem, it seems.
It was widely reported by Bloomberg and others that PayPal founder and serial entrepreneur, Peter Thiel, has recently raised a large oversubscribed USD 625 million fund. It is the Founders Fund fourth fund to date and its biggest. As a VC, Thiel backed startups like Facebook, SpaceX, and Spotify. Dealbook says that there is “no cash crunch” for Silicon Valley’s one percent, the elite of VC investing, adding that Thiel’s new fund is bigger than his three earlier funds combined.
The report says that investors are “flocking to younger venture capital funds, with prominent technology leaders”. Another example given by Dealbook was Revolution Growth, a fund created by Steve Case, a co-founder of AOL, which recently closed a USD450 million fund for later-stage start-ups on the US East Coast. Image Source: Founders Fund