PS27 Ventures

“If there's one of the kind of final metrics that we grade on at that, that last session, the workout is, Hey, is there a clear path to break even in profitability? And if there is no clear line of sight to it, oftentimes we won't invest. Even now, even though …”

“It's a 10 year fund, right? That's pretty standard, but we are anticipating exiting a company in three to five years, right? That's kind of the timeline that we're looking for.”

“We expect that every single company that we invest in is going to be able to at least double their revenue every six months to a year.”

“So a founder that's less, or co-foundering aggregate, that's let, has less than 40% equity on the cap table post conversions of any notes or other debt that may be on the cap table to before a priced round. That's a red flag to us, right?”

“We are going to raise consecutive 20 to twenty five million dollar funds And just keep participating in the same sector. What do we know? We know pre Series A early stage companies, and we don't need to raise a hundred million dollar fund to be successful.”

“So oftentimes we're trying to move away from where we started, right, with participating in some of the larger rounds and trying to coach the founder and saying, hey, maybe you don't necessarily need as large of a funding round as what you previously may have …”

“We require that every single one of the companies that we invest in is part of what we call our sales call process for the first year after investment.”

“We do not invest in crypto. It's kind of, or web three, NFTs. It's been kind of one of the areas that we'd like to avoid”

“One of our portfolio companies, OnRamp is actually leveraging AI agents to onboard new products at companies wherever they may be implementing that technology. So as a quick example, CVS, who's one of their clients, whenever they have a new drug that they want…”

“We use AI every single step in our process from the initial call that we have with the founder To, we actually do have kind of a proprietary trading or not trading, but rather a proprietary grading formula that we have for the founders that we run after every …”

“Typically, the longer and more verbose that story is initially, the less attractive of an investment it is for us.”

“If someone's op creating a software company, they have no software background whatsoever. It's kind of a bit of a red flag.”

“We typically take anywhere from six to eight weeks. So there's multiple steps that the founders need to kind of work through before they actually receive an investment from PS.”

“And typically we like to call that about 240,000 to 300,000 in ARR. That's kind of our initial threshold outside of, hey, does it fall categorically into what we're looking to invest in?”

“And those are the kinds of software companies that we like to invest in. You're never going to know their name outside of the announcement that we've invested. They're just going to go ahead and keep doing their thing year in and year out as employees churn, a…”