In Revenue Capital, the first operator-immersive capital firm focused on early-growth investing, today announces its official launch. Founded by serial entrepreneur Justin Gray and sales & marketing expert Josh Wagner, the new firm is setting out to fix the broken venture capital (VC) system. Unwilling to accept the fact that only 8% of all funded startups actually return invested capital, Gray and Wagner are creating a reality in which founders have not only the funds, but also the guidance needed to grow and succeed. In Revenue Capital plans to make eight to 10 investments in the next 12 months.
“We feel strongly that the current venture business is the movie-making business, in that deals are structured to work well for the financier but abysmally for the founder, while seeking that one big blockbuster,” said Justin Gray, Co-Founder & Managing Partner at In Revenue Capital. “We’re looking to upend this by prioritizing startup success without sacrificing investor returns. We believe that value-add capital is the future, and we’re running through that wall armed with what we see as the next big thing in go-to-market, Partner-led growth. We see organizations that are embracing partner ecosystems as a more efficient means of customer acquisition and enablement outperforming legacy inbound and outbound strategies. ‘Nearbound’ is purpose built to serve both the needs of today’s high expectation buyers as well as the market pendulum swing toward fundamentally strong businesses. And we have the expertise and experience to drive this forward with founders and their companies.”
In Revenue Capital is putting these principles into action immediately, through its first investment into Statera. Participating in a $2.5M follow-on Seed round led by DWP-Capital, the firm is investing in growing Statera’s vertical Software-as-a-Service (SaaS) solution for the healthcare industry. Statera tackles the complex issues surrounding physician compensation, purpose-built to solve high physician attrition by increasing visibility into payments and removing overall friction.
“We’re excited to leverage this new investment to accelerate our rapid growth as Statera transforms provider compensation and performance management,” said Amy Jackson, CEO & co-founder of Statera. “In Revenue Capital is an ideal partner for Statera as we move deeper into the market and expand the ways in which we deliver value to our customers. The depth of experience that Justin and Josh bring to the table is unparalleled and we are thrilled to integrate their expertise at such a pivotal time.”
The team at In Revenue Capital specializes in the B2B industry. When considering investments, they look to capitalize on strong product market fit, and then amplify GTM fit. From there, they identify both Ideal Customer as well as Partner profiles and create scale by introducing maturity within the GTM motion to match the maturity of the product. The founders of In Revenue Capital believe they can achieve a 3X to 4X return on investment in a very short amount of runway when applying this methodology.
“I know Justin and Josh professionally, and think what they’re bringing to the market is sorely needed,” said David Paul, managing director at DWP-Capital. “I don’t believe in simply throwing money at a promising startup, but actually investing in the day-to-day and the drivers that fuel growth. We’re on the same page as In Revenue, and they’re the perfect firm to join the round with us. All of us feel really thankful that we found a founder like Amy Jackson and her startup Statera to back with our resources.”