What We Invest In
Dynamo Ventures backs the systems that run our industrial economy. We pride ourselves on partnering with relentless founders at the pre-seed and seed stage who are challenging how we make, move, and monetize the world’s goods.
To champion greater transparency, we have outlined below what we invest in (and what we don’t). We will continue to update this post to ensure that we reduce any ambiguity. For more detailed information, read on!
Sector
Dynamo invests in the industrial economy that makes modern life possible — manufacturing, logistics, and the software and systems that enable global trade and commerce. These sectors represent the invisible infrastructure behind every product we use, yet they’ve historically been overlooked by venture capital. We believe that as the global economy evolves, so too must the ways we make, move, and monetize goods.
That’s why we back early-stage founders who are reimagining these critical industries. Whether it's automating factory floors, building more resilient supply chains, or enabling new business models through software, we look for bold, relentless teams with a deep understanding of operational complexity and a vision for what's next. These aren’t just incremental improvements — they’re step changes in how the real economy functions.
Stage
Dynamo Ventures’ first investment is either at the pre-seed or at the seed stage with the majority of our investments focused at the pre-seed stage.
For pre-seed investments, where the startup has minimal sales, we look for two key items:
- “Founder/market fit” where the founders can articulate a differentiated insight that serve as the basis of a grand vision and a durable business
- Depth and breadth of customer discovery that often manifests itself in a strong pipeline of pilot or customer opportunities.
Seed investments typically have significant recurring revenue or gross profit (~$30K/month) with the team looking to scale their sales ahead of a Series A round.
Business Model
We only invest in startups that sell to other businesses or enterprises (operate a B2B or enterprise-focused business model). We do not invest in B2C startups.
Geography
Dynamo Ventures invests both domestically in North America and internationally, predominantly in Europe and Latin America, and are open about opportunities in other continents. Since our debut fund, roughly two-thirds of our investments are in North America and the balance overseas.
When we invest overseas, we often look to co-invest alongside local investors who can provide support around local culture, language, and nuances to conducting business.
Investment Details
Dynamo Ventures typically leads rounds with checks of up to $1.25M (at pre-seed) and $2.5M (at seed) which is up to two-thirds of the total round size. We ordinarily aim to secure 12-15% ownership prior to a Series A.
Typically pre-seed investments are made as a SAFE and seed investments are “priced.” When we lead an investment, we take a board directorship. We also reserve funding for follow-on investments.
We welcome cold emails and invite you to reach out to us at [email protected] with your materials and a request for a meeting.
Continue Reading
Part 2: How We Invest
Part 3: How We Support