Founder Collective
Founder Collective is an American seed-stage venture capital firm with offices in Cambridge, Massachusetts and New York City. Founded in 2009 by David Frankel and Eric Paley, the firm focuses on early-stage technology startups and has made seed investments in companies including Uber, Airtable, Coupang, The Trade Desk, Shield AI, and Suno AI. The firm's mission is to be "the most aligned fund for founders at the seed stage." All of its investors were successful founders before becoming venture capitalists, allowing it to provide hands-on support to portfolio companies. 1
As of 2025, 24 companies Founder Collective has seeded have reached valuations of more than $1 billion. The firm manages approximately $500 million across five funds. Managing Partner David Frankel was ranked #2 on the Forbes 2025 Midas Seed List, recognizing the top seed-stage investors in venture capital. 4
History
Founder Collective was founded in 2009 by David Frankel, who founded Africa's largest ISP Internet Solutions, and Eric Paley, who co-founded Brontes Technologies (acquired by 3M for $95 million in 2006). Their experience building and exiting companies shaped the firm's model - all VCs at FC were successful founders before becoming investors, allowing them to provide hands-on support to portfolio companies. 1
The first fund launched in 2009 with $40 million in committed capital. Early investments included Uber, PillPack, and SeatGeek. The firm raised $70 million in 2012, $75 million in 2016, $85 million in 2021, and $95 million in 2023 (its fifth and largest fund). 5
In 2023, Amanda Herson joined as Managing Partner. In June 2025, Massachusetts Governor Maura Healey appointed Eric Paley as Secretary of the Executive Office of Economic Development. 1
Investment Approach
Founder Collective often provides the first seed capital to the startups it backs. The firm keeps fund sizes intentionally small to align with founders and minimize dilution. Its sector-agnostic approach focuses on exceptional founders at the earliest stages. 3
The firm invests $400,000 to $2 million per company, with a sweet spot around $1 million. It has backed companies that became billion-dollar outcomes while remaining small enough to support exits at any size. 5
Notable Investments
Founder Collective has produced numerous unicorn successes:
- Uber: The ride-hailing giant went public in 2019 and was valued at over $95 billion in 2025. FC was an early seed investor. 1
- Airtable: A cloud-based spreadsheet and no-code platform valued at billions.
- Coupang: The South Korean e-commerce company went public in 2021 at an $84 billion valuation.
- The Trade Desk: An advertising technology company that went public in 2016.
- Shield AI: A defense technology company developing AI-powered drones, valued at $2.7 billion in 2023. 1
- Suno AI: A generative AI music startup valued at $500 million in 2025. 1
- WHOOP: A wearable fitness company valued at $3.6 billion in 2021.
- Verkada: An enterprise security company valued at $5.8 billion in 2025.
- Venmo: Acquired by PayPal for $800 million in 2013.
- PillPack: Acquired by Amazon for $1 billion in 2018.
How to Connect
Application Process: Founder Collective accepts introductions through their website. They're known for meeting founders early - often at the idea stage. The best way to get their attention is through a warm introduction from someone in their portfolio or network. 2
What They Look For:
- Founders who have built and exited companies before (they back their own)
- Early-stage bets where the team matters more than traction
- Companies that can become billion-dollar outcomes (they aim to back fund-returning investments)
- Sector-agnostic - they invest in anything except crypto and defense
Who to Reach Out To:
- David Frankel (@davidafrankel on Twitter) - Managing Partner, seed investor
- Eric Paley (@ericpaley on Twitter) - Managing Partner
- Amanda Herson (@amanda_herson on Twitter) - Managing Partner
Portfolio Companies Hiring: Check their portfolio page - many portfolio companies are scaling and hiring. This is often the best way to get noticed: join a FC portfolio company, prove yourself, and get a warm intro for your next startup. 6