This content was created by Max Brun. This content was uploaded by Max Brun. This is a YouTube video titled "An Overview Of NFX As A Venture Fund" (created 2023-11-01T00:56:36Z). The excerpt is an interview-style discussion between two speakers (SPEAKER A, who asks questions, and SPEAKER B, a representative of NFX). SPEAKER B gives an overview of NFX: it is a seed-stage venture fund with a $450M fund, average check size ~$3M, average ownership ~16.5%, about 165 investments since 2017, five equal partners, offices in San Francisco and Tel Aviv, a strong focus on marketplace companies (~56% of portfolio), a large online content library, and a hands-on approach to working with founders.
Most of us here, of course, know NFX, but could you give us like a brief overview of it as a venture fund today?
Sure. So NFX is, if not the largest, one of the largest seed funds in the world. We've got a $450 million fund. We just do seed investments. Our average check size, $3 million. Average ownership is about 16.5%. We've got about 165 investments now. We've been around since 2017. We have 5 partners that are all equal. And, you know, 4 of us invest in marketplaces. And so, you know, probably 56% of the companies we invest in have some sort of marketplace element to them. I mean, it's more than half of all the companies we invest in. We've got offices in San Francisco, we've got offices in Tel Aviv. And yeah, so that's about all of our investors are, you know, institutions like, you know, colleges and endowments and And, you know, those foundations and that sort of thing. And, you know, we don't take a salary. We're doing this for sport. We're doing this to have an impact and really help founders is what we love doing. We love whiteboarding. We like working with you. So after we invest, we'll meet with you every week until you're sick of us because we like the building process with you. We could make a lot more money investing later stage, but that's not who we are. We're builders. Yeah. You know, I think that among us, we've built and sold over $10 billion worth of companies ourselves, which is twice as much as Horowitz and Andreessen when they started that firm.
Yeah, you definitely have an awesome platform and, you know, products and kind of resources that you've created. So.
Yeah. Yeah. We're the second most trafficked VC website in the world after Andreessen. So it's Andreessen, us, Sequoia, and First Round, and then it drops off pretty substantially after that just of all the content we build. And so, Obviously, if you, if you go to, if you just go to Google and type in NFX Library marketplaces, you'll get a good page. Or if you just go into the content area and you scroll down, you'll get to a marketplaces area down there. We actually put the marketplaces area down lower because it makes people, you know, it's like putting the milk in the back of the supermarket. Everyone wants the milk, so they will scroll through the other stuff first so you can find it. There's a ton of stuff we've written about marketplaces.
