microVCs

MicroVCs, short for micro venture capital firms, are a type of venture capital firm that invests in early-stage startups, typically with smaller ticket sizes compared to traditional venture capital firms. These firms often focus on sectors or stages of startup development that are underserved by larger VC firms, such as specific industries, geographic regions, or later-stage startups. MicroVCs typically invest between $100,000 and $1 million per deal, which is significantly less than the average investment size of traditional VCs. This smaller investment size allows microVCs to invest in more startups and potentially achieve higher returns on investment. However, it also means that microVCs may have less influence over the companies they invest in. MicroVCs often play a crucial role in the startup ecosystem by providing early-stage funding, mentorship, and networking opportunities to startups that may not otherwise receive these resources. They also help to democratize access to venture capital, making it more accessible to a wider range of entrepreneurs. Despite their smaller size and investment amounts, microVCs have become an increasingly important part of the venture capital landscape, particularly in regions where traditional VC firms are less prevalent.