Global VC firm SV Latam Capital raises $22 million for Fund II to invest in early-stage startups that are good for people and the planet
SAN FRANCISCO, June 9, 2021-- Partnering early on with extraordinary entrepreneurs who have the grit and ambition to address huge problems that transform society and the planet has proven to be an excellent business. Today, SV Latam Capital (SVLC) — the first Latina-led VC firm in Silicon Valley focused on tech and science startups — announced it has closed a $22 million Fund II. The new fund — which closed, appropriately, on Cinco de Mayo last month — corresponded with the first exit of a portfolio company from the firm’s Fund I.
SVLC invests in startups that are good for people and the planet and helmed by daring, driven entrepreneurs who are committed to solving massive challenges such as mitigating climate change, reducing world hunger, discovering new treatments to chronic and age-related diseases, boosting financial inclusion and strengthening SMBs (small to medium-sized businesses) in emerging markets.
“Our diverse portfolio connects with my diverse background,” said Consuelo Valverde, founder and managing partner at SVLC. “The common denominator driving everything I’ve done during my career has been a desire to improve society and the planet. Instead of focusing on the technologies, we target difficult problems on a broad scale. We are focused on three pillars: environment, society, and health, and we chose specific themes for each pillar. Whether you are a serial founder, a tech entrepreneur, or a scientist, we are here to help you build a breakthrough company, from the moment of inception.”
A serial entrepreneur who turned into a VC, Valverde is an electrical engineer with a master's degree in computer science and another one in science entrepreneurship. She founded her first tech company at the age of 21, a PC manufacturing company and IT training center in Mexico where she was born. Her extensive repertoire as an entrepreneur includes founding a software-development company, science museum, innovation center, science magazine, TV and podcast science series, and a business-coaching company in San Francisco.
Valverde’s San Francisco-based VC firm is both people-driven and data-driven:
The firm believes if entrepreneurs are first and foremost, success follows. This approach includes SVLC founder services such as strategic operations and marketing counsel led by London-based advisor and mentor Rob Wirszycz to help drive fast growth, hands-on experts in platform design and customer experience, and easy access to the SVLC science and technology advisory board, consisting of world-renowned authorities in their fields — including food science, biomedical engineering, biotechnology, growth engineering, intellectual property strategy and pharmaceutics. That board includes Cynthia Cannady, one of the world’s top IP legal experts and a former VP of Law at Apple.
SVLC uses a decision-analysis framework to structure the investment team’s intuition. Decision analysis has been used in a wide variety of fields, including: business, energy, exploration, environmental remediation, and by the pharmaceutical industry. By using it, SVLC adds structure to VC intuition and avoids cognitive biases that are common in venture capital.
This data-driven process helps SVLC make smarter decisions, by identifying key drivers of risk and uncertainty, and looking at returns and probabilities across different scenarios. It’s worked quite well. SVLC has delivered an excellent return on investment with Fund I in just three years, and has attracted more LPs for Fund II.
Crystal Sacca, a New York Times’ best-selling author, an early investor in Uber and Blue Bottle Coffee through Lowercase Capital and the co-founder of Lowercarbon Capital, and her husband, Chris Sacca, a legendary VC, company advisor and entrepreneur who invested in seed and early-stage companies such as Instagram, Twitter and Uber — have joined as new LPs for Fund II. Other LPs in Fund II include PayPal, IPG (Investment Placement Group), The Julian Grace Foundation and a world-renowned bank.
"While so many funds are fighting over the same scraps, visionaries like Consuelo are finding incredible deals that so many others miss. Diverse VCs mean fresh lenses and deal flow which translate to outsized returns," said Chris Sacca.
"We are honored to have PayPal as an investor in SVLC’s Fund II. As one of the first Latinas to found an early-stage venture capital firm in Silicon Valley with top-performing financial returns, I appreciate the trust and support that PayPal has vested in us," said Valverde. "Culture Shift Labs, a leader in integrating social and financial returns, has been critical in getting LPs to put intentions and actions in motion. They connected us to PayPal. Andrea Hoffman, CEO and founder of Culture Shift Labs, has been at the forefront of diversity and innovation over the past two decades."
SLVC is one of 19 venture capital funds out of a pool of nearly 200 Black- and Latinx-led firms to receive funding from PayPal as part of the company's commitment to invest $535 million to support Black-owned businesses, strengthen underrepresented minority communities and fight for racial equity and economic equality.
“What makes SVLC distinct from other VC firms is its investment strategy, decision-analysis framework and our portfolio-company sourcing methodology. Instead of following the pack, SVLC invests where others are not necessarily looking at — yet,” said Valverde.
Founded by Managing Partner Consuelo Valverde, SV Latam Capital (SVLC) is an early-stage VC firm based in San Francisco, California. SVLC partners early on with extraordinary entrepreneurs who have the grit and ambition to transform societies, the environment and healthcare on a global scale.
For more information, please visit: https://www.svlatamcap.com
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