Fundraising takeaways from Invariantes Fund II

Despite the uncertainty that has surrounded all of us this year, I am extremely proud to share some updates on Invariantes Fund II.

By the first quarter of this year, we debriefed and pitched Invariantes Fund II to both existing LPs and potential new investors. We targeted a first close by March 31st but we all know what happened next. After several months of discussing our fundraising strategy and timing, we decided to resume the process by the beginning of August. Following an intense and extensive 4- month fundraising adventure, (yes, we had to debrief everyone again), here we are officially signing commitments. Exceeding our own expectations, we have raised over 85% of our total fund target size. With that, I would like to share some takeaways and tips.

1.      Do not follow the divide and conquer strategy. When you pitch your fund, or startup, make sure you do so as a unit; as a team. Trust me, LPs notice the complementary skills among team members and your chances of getting a commitment are much higher.

2.      Getting an investor to increase the ticket size is much easier than getting a new one. Always try to increase their commitment by going over benefits of the asset class, track record, and even the capital call schedule. Very few have the ability of not being pushy but understanding when someone can go further beyond.

3.      Do not be afraid to ask for referrals: if they trust you, they will help you.

4.      Your existing LPs are the core of your fund. Start with the high-conviction ones and begin creating momentum. Fundraising is all about being patient but also about being sharp and quick when you have created momentum among your existing investor base.

5.      Enjoy the ride. If you don’t love every single part of it, you might as well do something else.

Thankful for my Partners, advisors, and most importantly, our investors.

Special thanks to Fernando for pulling together in those early-morning meetings (before 9 am is way too early for the Boss).

#VamosPorMas