Primary Ventures raises healthy $625M Fund V to focus on seed investing

Source: TechCrunch

Primary Ventures has closed a $625 million Fund V — focused on seed investing nationwide. The size of the fund highlights how early‑stage round sizes have grown in the age of AI.

Fund Overview

• Average check size: $5 million – $10 million
• Target number of investments: 40 – 50 companies over three years
• Investment stage: Seed and pre‑seed

Ben Sun, co‑founder and general partner at Primary Ventures, told TechCrunch that the firm will continue to spread its investments across the United States, moving beyond its historic New York‑centric focus.

Geographic Thesis

Primary Ventures, traditionally known as a New York‑based firm, now invests in:

• Chicago
• Seattle
• Virginia
• Washington, D.C.

“The talent, the founders, and the startups are happening everywhere. The potential outcomes are so much bigger than they’ve ever been.” – Ben Sun

Market Perspective

Sun sees seed investing evolving into its own asset class as talent and startup quality improve alongside rapid technological transformation. He believes a fund of this magnitude enables Primary to compete for top deals and provide more resources to founders.

Comparisons

• Sequoia recently raised a $200 million seed fund.
• UnCorck Capital announced a $225 million seed fund earlier last year.

Sector Focus

Although Primary calls itself a generalist, it employs sector specialists covering:

• Consumer
• Vertical AI
• Fintech
• Healthcare
• Enterprise
• Cybersecurity
• Infrastructure

“We pretty much cover 80 % – 90 % of the seed sector activities out there.” – Ben Sun

Fund History & Portfolio

• Fund I (2015): $60 million
• Fund II: $100 million
• Fund III: $150 million
• Additional capital: $275 million fund and $163 million opportunity fund

Fund V has already invested in three companies. Notable past investments include:

• AI chip company Etched
• Risk‑management platform Alloy
• Women’s networking hub Chief
• AI marketplace Dandelion Health

Primary Ventures now manages $1.65 billion in assets under management.