FAQ
» What is Velocity looking for?
» At what stage of development does Velocity typically invest?
» What is the source of Velocity’s funds?
» What is the typical size of a Velocity investment?
» How does Velocity’s due diligence process work, and how long does it take?
» What is Velocity’s role after the investment?
» How do I approach Velocity about investing in my company?
» What if I don’t have a formal business plan?
What is Velocity looking for?
We look for companies that are tackling large addressable markets, with defensible innovative technology, clear value propositions and capital efficient, executable plans. We work best with companies that welcome the expertise and experience of our fund management team, and we prefer to lead or co-lead early investment rounds.
At what stage of development does Velocity typically invest?
We focus on seed and early-stage rounds, although we sometimes participate in mid-stage rounds. Velocity is often the first institutional investor in a promising venture. Velocity actively works with Angel Investment groups on seed stage deals and larger venture capital firms to secure follow on investments when more capital is required to reach profitability and a successful exit.
What is the source of Velocity’s funds?
Velocity’s investors include US-based individual investors, family funds and institutional capital.
What is the typical size of a Velocity investment?
It ranges from $50,000 to more than $5 million.
How does Velocity’s due diligence process work, and how long does it take?
Our due diligence process is designed to help us, and the prospective company, ensure that we are the best investment partner. It begins with the submission of your executive summary, which is reviewed by our team. If the plan meets our investment criteria and our current investment window, we conduct a further review of the plan, research the market, and ascertain where we can add value in addition to our investment. If the results are positive, we will contact you regarding next steps which may include gathering further information and/or an initial meeting. As the process progresses, more of our team members become involved, as we explore more about your team, the market size, the opportunity, the competitive advantage, and the financials. Our due diligence process is designed to help you find and capture the value in your company, and our process ensures that by the time we invest, your company is one that we are uniquely suited to help excel. The length of this process varies from three to twelve months. We’ve designed it to be as respectful and efficient as possible. Although Velocity reviews more than 1,000 investment opportunities each year, we believe each opportunity is unique, and we work as quickly as possible with each company based on its unique needs.
What is Velocity’s role after the investment?
The cornerstone of the firm is "company-building", so our work has just begun once the investment process is complete. The Venture Partner and/or General Partner who have worked with the company during due diligence continue, usually in a Board capacity. The relationship that was forged early on in the process strengthens after the investment when the Partners roll up their sleeves to support the growth of the company.
How do I approach Velocity about investing in my company?
We prefer that all correspondence is submitted via email. Please visit Submit an Executive Summary for details. If possible, find someone in our network with whom you have a relationship, pitch the deal to them, and ask if they will refer it to us. We give a strong preference to deals that are referred to us through our network.
What if I don’t have a formal business plan?
You don’t need a formal business plan to present your technology, or company to Velocity. Please visit Submit an Executive Summary for details on the information that we require and our contact information.
