Venture capital firm Pear has announced $160 million in new fundraising to fuel its next wave of investments, with a focus on seed-stage B2B startups.
According to reports on Tuesday (Dec. 10), the University of Chicago, one of Pear’s existing investors, is among those that have committed to the $160 million, which will go toward Pear’s third fund. The company will deploy the investment to back seed-stage startups. Co-founder Mar Hershenson told the publication that Pear aims to be the “best partner on the ground for the entrepreneur from ground zero.”
The VC firm does not require revenue or customer acquisitions from potential investment targets, but rather will focus its funding on companies that demonstrate a promising team and business model.
“We spend a lot of time with founders, and a lot of it comes down to their commitment, how mission-driven they are and their ability to attract talent,” Hershenson told the publication. “You want a captain of the ship, someone who leaves last and who wants to build a product for many people.”
Among Pear’s partners is Nils Bunger, which helps the company focus on B2B startups. However, Pear also noted that it does not focus on one specific vertical or category of startup.
“We’re not a research-driven fund,” explained Co-founder Pejman Nozad. “We think founders know better than us, so we want to see the future through their eyes.”
Pear’s current portfolio includes delivery firm DoorDash, payroll technology company Gusto, solar design startup Aurora Solar, business credit report firm Nova Credit and others.
While venture capital remains a top target for B2B startups, businesses are increasingly diversifying their funding sources with IPOs and M&A activity. Most recently, Australia’s Tyro Payments went public on the Australian Securities Exchange, while Bill.com in the U.S. is readying to go public on the New York Stock Exchange.