Founder Collective Nearly Doubles Up for Next Fund

It seems like every other week another VC fund with big hopes and intentions for New York is closing.

Perhaps, that’s because it is lately.

Earlier today, Founder Collective revealed that just three years after its first $40 million fund launched, founder partners Micah Rosenbloom, Chris Dixon, Zach Klein, Caterina Fake and Bill Trenchard, along with managing partners Eric Paley and David Frankel have bagged another $70 million to continue backing startups at the seed stage.

At his blog, Paley espoused a mantra for Founder Collective that is perhaps not represented in every corner of the venture capital community: “By dedicating ourselves to seed, we deliberately avoid the misalignment of being a net buyer round after financing round… That makes it easy for founders to talk to us about the ground-truth of their businesses, without fear that we’ll lose enthusiasm, and hopefully puts us in a better position to help.”

Investments for the VC include personal finance security service BillGuard, ticket directory SeatGeek and Betaworks, the startup incubator that has been extremely successful. So what does each of these startups have in common?

They’re each based in New York.

Founder Collective does, in fact, make many investments outside of the five boroughs—it also has a Cambridge, Massachusetts office.

Still, New York has been on fire for early-stage VCs raising new funds as of late, especially at a time when more VC firms are dedicating themselves to early-stage investing (at a time when some late-stage plays have been blowing up in public and spectacular displays on public markets). Last week, Thrive Capital closed a $150 million fund, and also, earlier this year, First Round Capital completed its fourth fund. Additionally, earlier this week, Flybridge Capital Partners expanded their New York footprint.

Image Credit: Founder Collective