BOULDER, Colo.--(BUSINESS WIRE)--Sweater, the first fintech company to offer main street investors access to a venture capital (VC) fund, announced today the launch of Public VC Funds, the world’s first platform where qualified partners can create their own VC fund and invite their communities and the general public to participate, regardless of accreditation status.
For over 50 years, VC funds have been exclusive by design, only allowing wealthy investors to participate, and typically requiring $500K minimums and offering fewer than 99 seats. Until recently, everyday investors had no way of accessing these funds unless they were accredited, meaning they were high-net-worth individuals or institutions with investable assets exceeding $1 million or an income over $200,000 for at least the last two years.
“We built Sweater to create an inclusive VC community and help retail investors navigate past high wealth thresholds and exclusive networks that have locked out 99% of the population for decades,” said Jesse Randall, Founder and CEO of Sweater. “This is the first time ever that communities such as fintech platforms, Discord channels, universities, and Hollywood celebrities will be able to launch their own fund and invite their audience and main street investors to participate in the asset class.”
The groundbreaking platform creates an entirely new category within venture capital. With these types of funds, anyone can invest, and the number of participating investors is unlimited. Qualified partners bring the audience, deal flow, and investment committee, and Sweater provides the technology and compliance expertise to operate the fund.
Sweater offers a number of customized options for qualified partners, handling all the heavy lifting, including back-office fund management, legal, compliance, portfolio valuation, and multiple tools to activate partners’ communities and onboard new investors. To learn more, visit: www.sweaterventures.com/partners.
Sweater is the world’s first mobile-forward platform to offer main street investors access to a fully-managed, evergreen, venture capital fund. The platform aims to level the playing field for everyday investors by opening an asset class previously reserved for the ultra-wealthy. Since launching in 2022, Sweater has attracted over 40,000 users and has invested in over 24 startups. Headquartered in Boulder, Colorado, the company has raised over $15 million in capital from leading investors including Motivate VC, Akuna Capital, Jeffrey Cruttenden, Eli Broverman, and Litquidity Ventures, among others. To learn more visit sweaterventures.com.
Investors should carefully consider the investment objectives, risks, charges, and expenses of the Sweater Cashmere Fund before investing. The prospectus contains this and other information about the Fund and can be obtained by calling 1-888-577-7987 or by visiting the Fund's website at www.sweaterventures.com/cashmerefund. Please read the prospectus carefully before investing. All investments involve risks, and there is no assurance that the Fund will achieve its investment objective. This press release is not an offer to sell the Fund's securities and is not soliciting offers to buy these securities in any jurisdiction where the offer or sale is not permitted. Neither the SEC nor any state securities commission has approved or disapproved of the Fund's securities or determined if its prospectus is truthful or complete.