Each day, new technologies are making our planet more connected, moving us beyond geo-political borders, challenging traditional models of communication and interaction, and creating a truly global community.
At the center of this movement sits a new breed of entrepreneur whose successes will have an asymmetrical impact on determining how this new connected world operates.
Rokk3r Fuel empowers these daring founders in their efforts to reshape the world through exponential technologies and work with them from idea to exit.
Opportunity Driven Optimism
As the demand for investing in the innovation economy increases, so do the associated valuations. In 2010, the average Series A round had a valuation of $6.5 million. Today, the average is more than $21 million.
That spike in valuation is in part a function of the increased demand for these opportunities, which is itself a function of more pools of capital becoming comfortable with venture as an asset class. Today, investors have access to the historical data on performance of venture that they need in order to assess and integrate venture into their overall asset allocation strategy. And as more investment capital warms to venture during a period in which more millennials would rather create a job than take a job, the opportunities will grow proportionally.
Early-Stage Investment Logic
Since 2012, we have worked to perfect our practice of early-stage investment through company building. The value in our initial portfolio of companies was created solely through our proprietary company-building model executed at Rokk3r Labs, taking ideas and maturing them into viable, profitable companies.
That experience affirmed our view that the best way to invest in early-stage ideas is to make sure that they are built correctly from day one. To do that at scale, we have aligned ourselves with best-in-class company builders, incubators and accelerators from around the globe from which to source opportunities.
A Practical Approach to Investing Later
Ideas take time to grow. As seasoned entrepreneurs, the general partners in Fuel have experienced the idea-to-exit cycle of a company’s development across several industries. That experience underpins our process in more traditional later-stage venture investing.
Our late-stage investment practice focuses on leading or participating in Series A and B rounds with companies that, while having achieved some validation, need that additional fuel to reach a proper exit velocity. As a rule, we tend to avoid geographies that produce overhyped valuations, instead seeking out opportunities in under sourced markets.
These are the technologies and related applications made possible by the reduction in chip size combined with the increase in processing power that, taken together, can have in exponential impact on their rate of adoption and ongoing success. These advances have broken new ground for existing industries such as robotics and biotech, and have revealed a world of possibilities for sensors, drones and VR/AR.
Through our proprietary company building approach for early-stage ventures, we work with our founders to ensure that their companies are set-up from day one as truly exponential organization. For later-stage ventures, our expertise as past founders allows us to help founders identify and benefit from opportunities to amplify their exponential advantages. Our goal is to build a portfolio of companies that can take full advantage of the exponential factors that will allow them to operate smarter and faster than their competitors.