Two funds are better than one, Carlos Antequera said, announcing a one-of-a-kind partnership between top venture firms with Kauffman Fellows roots.
“Since our inception, our mission has been to provide innovative growth capital options for technology entrepreneurs,” Antequera, co-founder of Novel Growth Partners, said of the Mission, Kansas, revenue-based financing firm’s collaboration with Overland Park-based Flyover Capital.
Together, both Kansas City metro funders have thrown their support behind ABODO — a Madison, Wisconsin-based startup which simplifies apartment hunting, Novel Growth Partners said in a release.
“Our approach provides early stage companies an option that provides them a meaningful amount of growth capital without a long and tedious fundraising process,” Antequera said, further explaining the strategy behind such a partnership.
“By partnering with venture capital firms during a round of financing, as well as offering standalone revenue-based financing, we are able to provide capital that is a better fit for a large number of early-stage technology companies,” he added.
Adopting a revenue-based financing approach opens more doors to startups like ABODO, looking to scale, Antequera noted.
“While venture capital has long been the traditional method of early stage ventures getting the growth capital they need, the fact is that only a small percentage of companies will be successful in achieving the rapid growth and other requirements that the majority of these deals require,” he said.
“… Through our collaboration with Flyover Capital and other traditional early-stage venture firms across the country, we are able to use RBF to further expand capital alternatives in the region,” Antequera added.
The relationship between Novel Growth Partners and Flyover Capital can be credited to both firms’ roots in the Silicon Valley-based Kauffman Fellows Network, added Thad Langford, managing partner at Flyover Capital.
“We’re excited to have Novel Growth Partners supporting the team’s journey and providing additional fuel to the mission,” he said. “In addition, this showcases the power of the Kauffman Fellows network of global investors.”
Both firms were founded by Kauffman Fellows: Novel Growth Partners’ Antequera and Keith Harrington in 2018; and Flyover Capital’s Langford in 2014.
Click here to learn more about the Kauffman Fellows program.