OpenseedVC, a newly launched, operator-led venture capital firm, has reached the first close of its $10 million early-stage fund at 30% of its minimum size, marking a milestone for tech startups from Europe and Africa.
The fund, led by General Partner Maria Rotilu, aims to become an initial investor for seasoned operators embarking on new ventures. It seeks to provide these entrepreneurs with crucial capital and expertise, fostering ground-up innovation. Notably, Rotilu is Europe’s first Black solo General Partner and one of the pioneering females in this role.
OpenseedVC’s strategy focuses on sectors such as AI, B2B software, fintech, healthtech, and workplace technologies, aligning with the United Nations’ Sustainable Development Goals. The firm plans to write starter checks of up to $150,000 to each startup, providing access to over 50 industry experts.
These investments, typically made alongside contributions from angels or family and friends, aim for about a 5% equity stake. OpenseedVC intends to back around 60 ventures over a five-year deployment period but will not make follow-on investments.
Maria Rotilu, the visionary behind OpenseedVC, brings extensive experience to the firm. She has a track record in scaling tech services like Uber and Branch, and investment experience with Octopus Ventures, one of Europe’s largest VCs. Rotilu has also served as Director of the Entrepreneurship Center at Saïd Business School and Managing Director at the Oxford Seed Fund, a leading producer of European tech unicorns.
As an operator and investor, I have encountered incredibly talented and experienced operators, and the challenges they face in launching their startups. Operators have the advantage of domain expertise and unique insight into large problems that can be tackled with innovative technology.
Maria Rotilu.
“Those who are visionaries, coupled with the ability to execute, scale, build teams, and possess the grit required to solve difficult problems—these skills are especially relevant in the current market for building technology startups that solve real problems and create scalable value for the global economy and our investors,” she explains.
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OpenseedVC’s launch and approach are well-timed, given the current challenging fundraising climate. The global contraction in early-stage equity funding has led to a 33% drop in Africa. The fund aims to provide lifelines to a growing industry in need of not just funding but also expertise.
This launch also comes at a time when both founders and employees of successful ventures are starting new companies. Startup mafias are becoming active, with alumni from Andela, Paystack, Flutterwave, and others now leading newer startups.
