Charleston-based venture capital firm Good Growth Capital is raising two new funds to support early stage companies.
Good Growth Capital is focused primarily on software and data science companies, plus medical, green and agricultural technologies. Its first fund, launched in 2017, is tracking at a 37% internal rate of return as of September, the company said.
One of the firm’s new funds will be a second general fund, which will pursue the same strategy of investing in early stage companies. General Fund II has a target of investing $100 million in technology and science-based startups.
The second new fund, called the Infinite Corridor Fund, is investing $20 million in pre-seed and seed-stage companies affiliated with the Massachusetts Institute of Technology.
Good Growth Capital has a second headquarters in Massachusetts. According to a presentation compiled by the company, a significant number of the MIT deals the firm considers are too early for General Fund II, but the Infinite Corridor Fund is able to take those early positions.
“We are really good at understanding very complex science and technology deals, investments very, very early,” said Amy Salzhauer, one of the founders and a managing partner of Good Growth Capital. “And ... we wanted to continue that strategy.”
Managing partner Carolyne LaSala, who launched and led the App Store and iTunes Europe during her time at Apple Inc., said, “The Good Growth Capital team has collectively started dozens of companies, as well as managed and created billions of dollars of business growth. When we invest in a new company, we use our experience and connections to help the company grow.”