Fund Manager Applications

Virginia Invests is currently accepting applications from fund managers. An outline of the application process, helpful links, background information, and FAQs are available below.

Interested fund managers must be mindful of the following:

SSBCI Requirements

The SSBCI program, through which Virginia Invests is funded, places serious requirements upon fund managers, which – in addition to reporting requirements and data tracking through the life of your investments – can have repercussions on the structure of your fund and disclosures to your other LPs. Therefore, it is important to review all Virginia Invests information carefully to ensure you understand and agree to all requirements prior to submitting your application.

Investing in Focused Fund Areas

VIPC is currently reviewing funds in the following areas:

Biotech / Life Sciences
Cybersecurity
Deep Tech
DefenseTech
Energy
Space & Aerospace

Funds that do not have a main focus on one of the above areas are not being considered at this time.

Important Details About a Fund Commitment from VIPC

VIPC makes fund commitments slightly different from other Limited Partners (LPs). Please review the below and determine if a partnership with VIPC makes sense for your fund:

VIPC generally makes a commitment via a parallel vehicle (a sidecar). The reason for this is that the Treasury requirements are such that it can require a detailed amendment of fund documents to be able to invest directly via the pooled capital vehicle. We have found our commitment is better in a sidecar.
All of the VIPC commitment — plus, at a minimum, a 1:1 match from your other LP funds — must go into Virginia companies.
To qualify as a Virginia company, the following must be true at the time of your investment and the company must agree for them to be true for 3 years after investment:
- The company’s headquarters and primary business address has to be in Virginia.
- A majority of the company’s administrative and strategic operations are performed in Virginia.
- The primary office for a majority of the company’s senior management, including the CEO, is in Virginia.
- The company is registered to do business in Virginia.
The investment using VIPC dollars must be in a round that is raising no more than $20 million.
Your fund must agree to collect all the data and perform all of the reporting required under Treasury regulations (see more information below).
Because of the nature of the requirements, we’re generally looking at funds that are over $50 million in size.
Under Treasury rules, VIPC only pays limited management fees and operational expenses (see more information below).

We encourage you to read more about SSBCI and look at the FAQs prior to applying. If you believe your fund is a good fit, we’d love to learn more about what you’re working on and if we might be able to partner together!

Application Process

Step 1: Indication of Interest

Below is a link to submit information about your fund and put yourself in the application process. Please note that an allocation of SSBCI funds requires more effort than is required from other LPs. Please review information on this page and in the linked materials thoroughly before applying.

The application will be reviewed not only for fund metrics and viability but also for Virginia connections and pipeline and to determine if the fund fits in a “white space” where Virginia has a lack of funding.

A “white space” means filling a need for funding that is not already filled in the Commonwealth. This means understanding what VIPC invests in through its direct investment program – both currently and historically – as well as understanding what our current fund managers invest in. See: Fund Managers.

It also means understanding the current development goals of the Commonwealth. You can read more about those here.

If the fund is rejected for now, you will receive an explanation of the reasons for the rejection.

Step 2: First Interview

If the application is deemed of interest to Virginia Venture Partners, your fund will be contacted within 30 days of application to set up a time for a preliminary interview. During this interview, you will be asked more detailed questions of the fund, the managers, the investment thesis, the status of your fundraising and so on. During this meeting VVP will determine if your fund may move forward into due diligence. After this interview, you will receive a response within 30 days whether or not your fund has been chosen to proceed and if not, why not.

Step 3: Preliminary Due Diligence and Certifications

If your fund is chosen to move into preliminary due diligence, your general managers will be asked to certify that your fund understands and accepts all the limitations of SSBCI, including our standard side letter and the construction of a side car. All fund managers will go through a thorough background check and VVP will review your full data room. This process could take 60-90 days.

Step 4: Final Due Diligence (Includes Reference Calls and Formal Presentation)

Final diligence takes place at this stage including interviews with the firm, 6-8 reference calls and review of all the fund’s legal documents. At this stage, the fund will also do a formal presentation to the full Investment Committee.

Step 5: Legal Documentation

Once the fund is approved, final legal documents will be prepared and drafted. Very little negotiation is possible at this point as the template side letter has been accepted and side car vehicle formed.

Helpful Links & Tips

IMPORTANT: Please read all instructions before beginning the application!
Click here for the full list of application questions (for reference only)

It is important to familiarize yourself with SSBCI’s reporting and other requirements.

You may also wish to review the:

SSBCI Agreement: to be signed by all Investees (Virginia portfolio companies)
Ongoing Obligations Agreement: includes definition of a Virginia-based company and is to be signed by all investees (Virginia portfolio companies)
Investment Detail Report (document will open in your browser’s Downloads): filled out at time of investments and updated annually
Supplemental Questionnaire: requested (but not required) to be filled out by 25% owners of the portfolio company at or near time of close

What is a Socially and Economically Disadvantaged Individuals (SEDI)-owned business?

Check out the press release announcing Virginia Invests: Governor Youngkin Announces New VIPC-Led Initiative that Catalyzes and Attracts Investment into Virginia-based, Innovation-driven Startups and Entrepreneurs

Frequently Asked Questions

The table below captures the most commonly asked questions about the Virginia Invests program. If you do not see an answer to your question, please use this form to submit a new question. Duplicated questions will not generate additional FAQs.