A venture capital fund is an entity that meets the SEC’s definition of venture capital fund as displayed here. All other types of funds will not be considered for investment at this time.
InvestTN for
Venture Capital Funds
Powered by Launch Tennessee, InvestTN invests in Tennessee-located venture capital funds and funds providing early-stage equity capital for Tennessee-located startups.
$12M
Total Funds for Venture Capital Fund Investments
$1M- $3M
Anchor investments into the first close of a new fund
1.71%
Fee allowance for services to portfolio companies
We believe the State of Tennessee is uniquely positioned to build upon
the momentum of key industries of interest for economic growth.
- Advanced Materials
- Agricultural Technology
- Battery Solutions
- Biotechnology
- Climate Technology
- Consumer Products & Technology
- FinTech
- Health Tech
- Manufacturing & Construction Technology
- Mobility & Transportation
- Saas, Data & AI
- Web3 & more
$12M Multi-Fund (Fund-of-Funds)
InvestTN’s Multi-Fund invests in Tennessee-located and focused venture capital funds. Multi-Fund capital commitments range in size from $1M to $3M and serve as anchor investments in the first closing of a new fund. Eligible venture funds are targeting a fund size of $10 million to $30 million.
$58M Direct Investment Funds
Powered by Launch Tennessee, InvestTN manages two equity capital programs for Tennessee-located early-stage startups: $28M Regional Seed Fund and $30M Technology Fund. Startups at the Pre-Seed, Seed, Series A or B stages are eligible for an initial investment of $25k to $3M.
Frequently Asked Questions
How is a ‘venture capital fund’ defined?
Which venture capital funds should consider applying?
InvestTN will make investments into the first closing of a newly formed early-stage venture capital fund, committing between $1M and $3M. Target fund sizes range from $10M to $30M, with the ability to invest into a sidecar fund. Tennessee-located and/or Tennessee-focused funds should consider applying for InvestTN Multi-Fund investment. Multi-Fund portfolio funds must invest our committed capital in line with SSBCI program guidelines.
How does the 1.71% allowance for portfolio company services work?
A fee for portfolio company services averaging 1.71% annually over the life of the InvestTN program can be leveraged to cover expenses relating to financial management, operational guidance, IT consulting, and connecting portfolio companies to potential customers, investors, board members, and officers. Multi-Fund recipients are required to identify the services to be provided to portfolio companies and annually certify that these services were provided. The agreement between the Fund and their SSBCI portfolio companies must disclose these services offered by the Fund. This information must be reported to TNECD in annual reports.
Can I invest InvestTN capital into existing portfolio companies?
No. InvestTN strictly follows the U.S. Department of the Treasury’s SSBCI 2.0 program guidelines, prohibiting the investment of SSBCI capital into portfolio companies given there is an existing financial interest. As such, InvestTN’s capital commitment into newly formed funds must be used to invest in new companies, rather than existing portfolio companies.