How successful is our approach? It has helped us to consistently provide top-decile returns since our inception.

What We Look For:

  • An innovative solution that presents a novel approach at the leading edge of industry trends
  • A disruptive technology that changes industry dynamics and is hard to replicate or is patent-protected.
  • A “painkiller” that addresses a critical market need by alleviating a significant problem.

Investment Criteria:

Market: Substantial market size and potential for recurring revenues

Product or Service: Offers a novel approach to addressing an unmet, critical and immediate market need Proprietary or unique technology that creates a barrier to market entry/first-mover advantage

Leadership:

  • Experienced management team with deep industry knowledge
  • Willing to listen, coachable and receptive to new ideas
  • Capable of executing the business plan and adapting it to shifts in the competitive landscape
  • Committed to creating a successful company and acting with urgency and discipline

Company

  • Capital structure that closely aligns interests of management and shareholders
  • Manageable risk commensurate with the potential for above-normal returns

Strategy

  • Achievable business plan with clear, viable paths to profitability and liquidity
  • Attractive and practical exit plan

Offers a novel approach to addressing an unmet, critical and immediate market need

  • Proprietary or unique technology that creates a barrier to market entry or first-mover advantage

Sectors

We seek companies with potential for significant growth primarily in healthcare services, technology and devices. However, as opportunistic investors, we also look in other healthcare areas where we believe we can generate exceptional returns and leverage relationships or unique insights.

When we uncover opportunities outside our areas of expertise, we tap into our robust network of advisors and mentors who have expertise across various industries and competencies. This external network allows us to expand our investment universe — and creates a significant competitive advantage for our firm.

Geography

We specialize in identifying promising companies in locations that other VC firms don’t. In addition to the usual suspects (e.g. Silicon Valley, Boston, New York), we focus on areas throughout the United States that are rich with startup opportunities but underserved by early-stage investors. We have a particularly strong presence in Los Angeles and Pittsburgh, with partners consistently and actively pursuing deal flow in these regions.

Why the broader outlook? Three key reasons:

  • Great ideas and strong talent aren’t confined to traditional VC target regions.
  • These deals are typically priced more reasonably.
  • The companies are more receptive to outside guidance.

See Sample Deals