DD, or not to be…
That is the question. We are doing our next close soon and we have several institutional entities that are in due diligence (DD). At this point, "maybes" are tough (there are over 300 of you!). "Yeses" are great as they reduce our time in market and "nos" are helpful as they allow us to prioritize our time for investors that still have questions. Please reach out and let us know what you need.
If you are a capital allocator, you might wonder why fund managers are pushing for a faster timeline and looking to increase committed capital to a fund (including us, sorry for all the emails). Here's our take, worded simply from our perspective at this moment in time. On amount, we already have enough money to run our third fund. But we are seeing a lot of amazing, well-timed climate deals that we want to take large ownership stakes in and we have incredible talent pounding down our door to work with us–so the only constraint is access to capital. On timing, fundraising is the only thing we do that doesn't serve our current investors or founders. It takes time away from deal sourcing, picking winners and providing post investment support. Those are the things that drive our returns and impact, so we try hard to contain fundraising into short periods once every 3-4 years.
We're grateful to have had success with our Fund III raise so far. Now it's the most important part–time to finish strong. If you’re interested in what we do, take a few minutes in the coming days to look through our data room and get to know us better. If you don’t have access, let us know and we can share it with you. With our Fund II companies growing quickly and our first two investments out of Fund III under our belt, we're ready to direct 100% of our attention towards creating the fastest growth possible for climate positive solutions.
