Bonfire Ventures now has over $1 billion under management.

Bonfire Ventures announced this week the close of its third core seed fund at $168 million, and its second opportunity fund, at $63 million. The firm specializes in funding B2B software companies at seed stage, with over 99% of its investments going to that sector; notably, the failure rate in the space is high, and getting from Seed to Series A happens for less than 33% of all companies. Yet, over 85% of Bonfire companies have received follow-on capital, raising over $1.15 billion cumulatively. (CISION PR NEWSWIRE)

Bonfire a supportive partner in a difficult journey

“Not all capital is created equal. Any firm or individual with capital can write a check, but few provide the hands-on and empathetic support that seed-stage founders need to take their company through Series A and subsequent rounds,” said Jim Andelman, Co-founder and Managing Director of the VC firm in a statement. “We’re singularly focused on backing B2B software founders at the seed stage to help them beat the odds and transform the industries they serve.”

Because of its specialist skills, Bonfire is the lead seed-stage investor in approximately 80% of its investments. Its first fund is ranked as one of the top 5% of VC funds globally, and their second fund is in the top 10%, considering the funds’ respective vintage years.

Use of funds

Bonfire will use the funds from the latest raise to invest in a select band of B2B software startups – limited to about 25 to 30 investments per fund.

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