Intersouth’s investment strategy is straightforward — we invest in seed and early-stage companies that have the potential to become market leaders by creating breakthrough technologies in their respective sectors. Intersouth Partners is a regionally focused venture fund that invests across the Southeast, primarily in the corridor from Baltimore through Florida, including Washington, DC, the Research Triangle region and Atlanta.
We seek investment opportunities in the technology and life science sectors, and prefer to be the lead or co-lead investor. Our strong preference is to participate in the first institutional round of a company with an initial investment between $500,000 and $6 million. We take a leadership role in subsequent financings, planning for an average total investment in any single company of $12 million through all rounds of financing.
We will review opportunities that fit within Intersouth’s investment criteria. Our investment decision is based primarily on several guiding principles:
Quality and Depth of Management Team. We support management teams with integrity, a history of success, adaptability to unforeseen circumstances and the capability to set, prioritize and achieve goals.
Market Size and Access. A large and growing market with an opportunity to exploit a first to market advantage is attractive. Access to distribution must be economical and available within a reasonable timeframe.
Revenue Model and Margin. A sustainable business model led by a realistic revenue model is particularly important. High margins are a leading indicator of a high-value proposition to customers, other potential investors and, ultimately, the public markets. A reasonable and realistic path to profitability is critical.
Market Niche and Innovation. A unique and proprietary product, technology, service or market position helps to achieve high gross margins with the potential for rapid growth and provides an ability to compete against well-financed competition.
Liquidity. An overriding consideration in any investment decision is timing; therefore, we anticipate investing in companies that can attain rapid and successful growth and will experience a liquidity event within two to six years.