Key Highlights:

• Top track record: Our first fund (Rubicon Venture Capital) has an IRR of 33.4%, a Multiple On Invested Capital (MOIC) of  3.7x and expects a min 6x cash on cash return. Fund II has a 47.27% IRR, a MOIC of 2.8x and expects a 12x+ return. We are actively making new investments and seeking deal flow that has a min of $100k MRR for Late Seed to Series A & B investments.
• Sector focus: Technology startups that underpin the digital economy leveraging AI, automation, data, digitizing large industries to become high revenue growth profitable businesses in large markets with unique technology as well as rapid revenue growth consumer companies with strong CAC:payback traction.
• A string of home runs: In recent weeks our portfolio has had great fundraising success with Superhuman raising a $75m round led by IVP, Super Coffee closed $106m round led by Durable, Nylas raising $115m led by Tiger Global, Daily Harvest doubled revenues from 2019 to 2020 breaking $250m ARR and profitable and poised to have a banner 2021 year. Other portfolio companies raising $65m+ rounds. We invested initially in these companies at relatively low valuations such as $8m to $30m for the above.
• Co-invest with top VCs: We have co-invested with many top VC firms, angel groups, angels and celebrities including Sequoia, a16z, Benchmark, Bessemer, Battery, NEA, Menlo Ventures, Sierra Ventures, Foundation Capital, Breyer Capital, Softbank, First Round Capital, GV (Google Ventures), Founders Fund, Lightspeed, Floodgate, Greylock, Greycroft, Crosslink, RRE Ventures, Formation 8, 8VC, Venrock, TomorrowVentures, Mark Cuban, Dustin Moskovitz, The Zuckerberg Family, Winklevos Capital, Ashton Kutcher, A-Rod (Alex Rodriquez), Swartzenagger family, Jennifer Lopez, Kevin Hart, Gwyneth Paltrow, Serena Williams and many more.
• SPVs for deal-by-deal investing: LPs may choose to keep the cash from our early secondary selling or recycle the cash into the growth round or double down and invest more cash in growth rounds. We sell our own secondaries to our own LPs and provide access to later-stage investment rounds normally impossible for angels and family offices to access that expect lower multiples, but expect to exit in a 1 to 3-year time frame.
• How our angels and family offices are actively part of our VC process: Some angel LPs take board seats on behalf of our fund and play an active role in the overall VC process on a flexible no minimum time commitment basis. Angels refer deals, can help with DD, join Zoom calls or meetings and events.
• LP-IR program: Limited Partner-in-Residence program. For investors investing $1m+ they can place a family member if we get along as an associate in our office and we will train them on VC and they will get our full network of VCs, entrepreneurs, etc and can get into a top MBA program or rotate back to the family as a VC.
• Events: Annual BBQ and in-person networking events assembling our network of angel, family office and corporate investors with annual events for all of our LPs and portfolio companies in Silicon Valley, Austin, Miami, New York, London and Singapore to animate the network.
• How we de-risk VC: 1) Diversify 30% of our fund into 25 different companies to neutralize singular startup risk, 2) double down investing 70% of the fund into our top performers from Fund I, Fund II and Fund III, 3) our fund plans to sell 5% to 20% of our position in single startups when they reach very high valuations but are still private.
• Balanced team: Andrew Romans is joined by Hazem Danny Al-Nakib as a fellow General Partner with a background in corporate venturing and consulting from Boston Consulting Group (BCG) and Royal Bank of Canada (RBC) and a FinTech and RegTech technical expert, and studied at Cambridge, Oxford, and University of Toronto. Andrew is a 3x author on VC with two books in the top 10 in "VC" on Amazon, translated into 4 other languages, host of podcast Fireside with a VC, and successful VC-backed operator who raised over $300m for his own startups with M&A and IPO exits before becoming a VC.

7BC Venture Capital owns pro rata equity rights from Rubicon Venture Capital Fund I and II. This gives 7BC has the very real option to legally invest into any future funding rounds of Rubicon portfolio companies' future financings, maintaining the combined ownership percentage Rubicon had prior to each new financing.

7BC Investment Strategy (TABLE IMAGE HERE)

• Seed to Late Stage Seed - 30% of capital into Seed provides post investment due diligence and optionality to invest into later rounds when these companies are doing well. Wide set of 25 companies lowers risk of early stage and 30% is relatively small percentage of the fund. Most of our Seed startups are expected to have $1m in annual revenues at the time we invest or we have strong pre-existing relationships with the founders of a few pre-Seed or Seed rounds. Checks from $100k to $500k
• Series A - Optimal risk / reward inflection point. Seed investments provide deal flow for follow on investments and tracking of seed companies we passed on. Entrepreneur network creates community for deal flow and expertise. Set of roughly 18 portfolio companies where we expect to invest more than half our our capital. Lower risk because of Seed knowledge and tracking, optimized for winner impact driving outsized returns and overall fund performance. Check size $750k to $3.6m.
• Series B & Growth - as the fund matures these are lower risk investments so the smaller set of roughly 5 companies makes sense and they are 1 to 3 years from an anticipated exit. These growth investments open doors for our SPVs exclusively  available to LPs in our funds to fund growth rounds on a deal by deal basis. Exploits pro rata equity rights and post investment due diligence. Lowers risk profile of the fund.

7BC & Rubicon Portfolio Wins

Notable Exits Include: 1-Page, TodayTix, Iotera, Lenda, Nodeprime, TruMaker, and Unikrn.

7BC Existing Investments:

• 7BC invested into Kyndi (closed $20m round led by Intel Capital)
• 7BC invested into EasyKnock (oversubscribed and closed over $20m round led by Blumberg Capital)
• 7BC invested into The Block and received a 1.58x on capital via a convertible note with change of control which has been recycled back into the fund

Some of Rubicon's existing investments are on track to reaching $1bn+ exit valuations including:

• Daily Harvest - raised $47m on its last financing round from Lightspeed, revenues doubled from 2019 reaching $250m and profitable in 2020. 2021E revenue of $400M.
• Superhuman - Raised $75m led by IVP and participation by Tiger Global in July 2021 valued ay $825m.
• Nylas - Raised $120m led by Tiger Global in June 2021
• SuperCoffee - raised $106m Seried C led by Durable in August 2021, 2021E revenues of $90m, 2022E $160m, 2020 $54m, 2019 $26m, 2018 $4.5m.
• NexHealth - closing $30m on pre-money of $400m in March 2021
• Boom Fantasy - closed $15m strategic investment from casinos at a $50m pre-money in March 2021
• Confiant - 58% year on year increase to revenues of $9m on a single capital efficient funding round of $4.1m
• EasyShip - 4x year on year increase to revenues of $30m with 105 full time employees
• Crafty - $14m ARR in the summer of 2019 on total of $3.2m in funding, Greycroft issues term sheet to invest $10m
• LISNR - announced a $20m financing led by Visa and NTT Docomo in December, raised over $30m from Intel Capital and other strong VCs