We provide capital and operational expertise to help today’s innovators become tomorrow’s market leaders.   Learn More ›

Next Generation VC

An entrepreneur

We raise capital too. Our capital comes from leading endowments, foundations and pension funds. Here’s how we described what we were planning to do when they invested in our fund:

Invest the right amount of capital at the right time.

We raised a ‘right-sized’ fund so that we can make true early stage investments to convert good ideas into growing businesses. Larger funds need to deploy more capital in each company, which may result in overcapitalization and unnecessary dilution for the entrepreneurs. Over the past 15 years, while it’s become increasingly less expensive to start a new company, many venture firms have raised bigger and bigger funds. This dichotomy has made it hard for entrepreneurs to find a partner willing and able to make right-sized investments. This is where .406 sees a great opportunity.

Appeal to sophisticated entrepreneurs building capital-efficient businesses.

Many great entrepreneurs are building their businesses more capital efficiently than ever before. At .406, we work with entrepreneurs to give them the capital they need to optimize their business or reach the next inflection point of value creation.

Put operational expertise at our core.

We don’t have Venture Partners or EIRs - our operational experience and entrepreneurial roots are at the core of our firm, culture and our investment professionals. We don’t have to hire outside consultants to tell us how to help companies grow - we know based on our years of experience starting and running our own businesses.

Build an agile team structure that aligns with entrepreneurs.

We’re small, flexible and wear many hats just like our entrepreneurs. We work in a fluid, collaborative way to give our entrepreneurs the support they need. And while we leverage our skills and lessons learned across our portfolio, we realize that each company has unique needs and requires a differentiated approach.