While VCs crowd into San Francisco, Endeavor Catalyst raises $320M for founders ‘elsewhere’

Endeavor Catalyst, the venture arm of the global nonprofit Endeavor, has successfully raised $320 million for investments in founders outside major tech hubs such as San Francisco. This fund marks the firm's fifth fund, with total assets under management exceeding $850 million. Endeavor Catalyst aims to support founders in "elsewhere" by providing them with access to the company's extensive network and mentorship programs.

The fund, managed by Allen Taylor and Jackie Carmel, is run by Endeavor itself, with half of its profits going back to the nonprofit. The bar for founders to be considered for investments is high, with a rigorous screening process that has led to only 88 out of 10,000 candidates being selected last year. The fund plans to make 40 to 50 investments annually, with investment amounts ranging from $1 million to $3 million per check, not exceeding 10% of the round.

Over the next few years, Endeavor Catalyst intends to invest in up to 150 companies. Notable investments from the fund include ElevenLabs, Bending Spoons, Reflection AI, Checkout.com, Flutterwave, and Replit. The venture arm of Endeavor, with local teams and mentors in over 50 countries, is well-positioned to identify promising startups beyond the Bay Area.