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calm company
fund 4

Open For Investors

hey, Investor

We invest at reasonable valuations in post-revenue, early-stage businesses with a clear path to profitability, faster time to investor liquidity, lower failure rates, and that aren't dependent on follow-on funding. We invest early and help founders maximize optionality, retaining uncapped upside for investors.

Since 2019, we have 69 companies across 3 funds, 2 exits, just 1 write-off, a TVPI of 2.95x, and are scaling to a $50m Fund 4.

We call these opportunities Calm Companies.

What are calm companies?

Profitable

Strong margins and unit economics

SUSTAINABLE

Optimizing for sustainable pace of growth

DISCIPLINED

Capital efficient. Not reliant on outside capital.

LONG TERM

Building a team + company that avoids burnout/founder drop off

FOCUSED

Focused on "unsexy" and overlooked markets

LESS RISKY

Building with proven technologies in known markets = much higher success rate

EARLIER INVESTING IN A PROVEN ASSET

Lifecycle phases of a steadily growing profitable software company

A chart of the lifecycle phases of a steadily growing profitable software company

Phase 1
investors

Eg. Bootstrapping, Friends & Family and Calm Company Fund

Phase 2
investors

Eg. Pipe, Capchase, Clearbanc, Founderpath, Lighter Capital, Reformation, Blueprint.

Phase 3
investors

Eg. Summit Partners, General Atlantic, Five Elms, Arthur Ventures, Growth Street.

Phase 4
investors

Eg. Vista Equity, Constellation, Turn/River, Thoma Bravo, Diversis, and many more!

We are the only early stage institutional partner for Calm Companies

A CALM APPROACH TO EARLY-STAGE INVESTING

Calm Company Fund is a new approach to investing in technology companies with a completely different risk profile from traditional venture capital. We back the profitable ventures that would normally bootstrap.

We call it Early Stage Growth Equity.

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LONG TERM

Building a team + company that avoids burnout/founderdrop off

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FASTER LIQUIDITY

Profit-sharing in 1-3 years, exits in 5-7 years

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LOWER FAILURE RATE

Focus on profitability = 1 write-off in 3 years across 69 investments

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NOT RELIANT ON FOLLOW-ONS

Businesses where “first check, last check” is a viable strategy

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RETAIN UNCAPPED UPSIDE

Calm Companies can still raise VC/growth capital and achieve IPO-sized outcomes, but our returns aren't dependent on outlier successes

The most uncorrelated startup investors you’ll meet

DIFFERENTIATED DEALFLOW

Our unique thesis, which allows us to avoid “hot” markets, and our founder friendly approach (we literally invented a new agreement so founders could succeed on their own) have resulted in the "calm company" philosophy gaining momentum—and the fans are formidable.

Founders choose us, often only us.

33%
of portfolio that applied exclusively to Calm Fund.

We love the simplicity of "first check, last check."

88%
of our investments where we led or were sole investors.

Our active global community sends a wealth of deals our way.

100%
of investments that are inbound (via our application).

"I don't need to raise capital, but...I really like the Calm Company Fund investment thesis. The structure offers a win-win for both the investor and company."

anon applicant

"Calm Fund is one of the most consistent, tactical, and helpful investors we have. They lean in with brainstorms, sounding board calls, intros to customers and other investors, whatever we need."

YAC

"Being part of Calm Company Fund makes an enormous difference in our company. We’ve grown more than ever purely because we’re part of this community. Amazing."

Memberspace

"Calm Fund lit the opportunity fuse for our company at a critical time, allowing us to become the #1 company in the world in food safety for small and mid sized businesses."

Food Ready

"I've not sought out any other type of VC, but the Calm Fund approach seems different to others."

anon applicant

"Our company is profitable. I was happy to run it as it is without external funds. But when I discovered the philosophy of Calm Company Fund, I thought that I can change my mind."

anon applicant

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right arrow

"Calm Fund is one of the most consistent, tactical, and helpful investors we have. They lean in with brainstorms, sounding board calls, intros to customers and other investors, whatever we need."

YAC

"I've not sought out any other type of VC, but the Calm Fund approach seems different to others."

anon applicant

"Calm Fund lit the opportunity fuse for our company at a critical time, allowing us to become the #1 company in the world in food safety for small and mid sized businesses."

Food Ready

"Our company is profitable. I was happy to run it as it is without external funds. But when I discovered the philosophy of Calm Company Fund, I thought that I can change my mind."

anon applicant

"Being part of Calm Company Fund makes an enormous difference in our company. We’ve grown more than ever purely because we’re part of this community. Amazing."

Memberspace

"I don't need to raise capital, but...I really like the Calm Company Fund investment thesis. The structure offers a win-win for both the investor and company."

anon applicant

right arrow
right arrow

"I've not sought out any other type of VC, but the Calm Fund approach seems different to others."

anon applicant

"Our company is profitable. I was happy to run it as it is without external funds. But when I discovered the philosophy of Calm Company Fund, I thought that I can change my mind."

anon applicant

"I don't need to raise capital, but...I really like the Calm Company Fund investment thesis. The structure offers a win-win for both the investor and company."

anon applicant

"Calm Fund is one of the most consistent, tactical, and helpful investors we have. They lean in with brainstorms, sounding board calls, intros to customers and other investors, whatever we need."

YAC

"Being part of Calm Company Fund makes an enormous difference in our company. We’ve grown more than ever purely because we’re part of this community. Amazing."

Memberspace

"Calm Fund lit the opportunity fuse for our company at a critical time, allowing us to become the #1 company in the world in food safety for small and mid sized businesses."

Food Ready

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FOUNDING GP: TYLER TRINGAS

Founder of Storemapper, a SaaS product, taking it from side project to exit in 5 yrs

Coined the term "Micro-SaaS" and literally wrote the book on it

Formerly led Bloomberg's project economics modeling for all globally renewable energy technologies

Creator of the Shared Earnings Agreement [SEAL] investment structure, an improvement to traditional revenue-based financing structures

Named "Rising Star VC" by Business Insider + featured on Bloomberg, New York Times, and Crunchbase

25,000+ followers on Twitter

Tyler Tringas - GP of Calm Company Fund

Community Leverage

When we say "community"— we don't just mean followers or readers. We mean builders committed to (and for many, invested in) making Calm Company Fund a long-term success.

We have 1,000+ true fans; 1,000+ operators amplifying our impact.

faq text

Leaders & innovators are showing up to
support us

Tech ladies logoShutter shock logoInstacart logoApple LogoUber's logoAmazon LogoKickstarter logoStripe LogoSpotify LogoGoogle LogoCode Academy logoUbisoft logoStandford university logoM&C Saatchi logoCisco logoTech Stars logoAtlassian logoCustom Inc logoRei co-op logoOKTA logoVMware logoCoda LogoWeFunder logoOn Deck logoLockheed Martin LogoBlizzard logo
Tech ladies logoShutter shock logoInstacart logoApple LogoUber's logoAmazon LogoKickstarter logoStripe LogoSpotify LogoGoogle LogoCode Academy logoUbisoft logoStandford university logoM&C Saatchi logoCisco logoTech Stars logoAtlassian logoCustom Inc logoRei co-op logoOKTA logoVMware logoCoda LogoWeFunder logoOn Deck logoLockheed Martin LogoBlizzard logo
Sahil Lavingia

Sahil Lavingia

Gumroad
Natalie Nagele

Natalie Nagele

Postmark
Jason Hodges

Jason Hodges

Shipstation
Richard Felix

Richard Felix

Stunning
Michele Hansen

Michele Hansen

Geocodio
Andrew Connor

Andrew Connor

Levels Health
Andrew Gazdecki

Andrew Gazdecki

MicroAcquire
Adii Pienaar

Adii Pienaar

WooCommerce
Neal O’Mara

Neal O’Mara

Hellosign
Adam Wiggins

Adam Wiggins

Heroku + MuseApp
Patrick McKenzie

Patrick McKenzie

Kalzumeus Software

Backed by Builders

Our investors know Calm Companies.

Of our 200+ LPs across all funds, the vast majority are successful software entrepreneurs.

Bonus: Nearly all of them allocate time to mentor our portfolio.

Our investors know Calm Companies.
Of our 200+ LPs across all funds, the vast majority are successful software entrepreneurs.

Bonus: Nearly all of them allocate time to mentor our portfolio.

We look beyond tech hubs

Calm Fund is Global

We're a remote-first (pre- COVID), global team, investing in the best the world has to offer.

Map of Calm Fund portfolio companies and team members

Investment FAQ

How do you invest?

We primarily invest on a rolling basis using a financing structure that we created called the Shared Earnings Agreement (“SEAL”) that allows us to back founders who want to build sustainable profit-focused businesses without the pressure of having to continually raise capital or sell.

What is a SEAL agreement?

Short for Shared Earnings Agreement, a SEAL is a financing structure created by us to invest into calm companies to create a win-win situation all round. It is not debt, doesn’t have a fixed repayment schedule, and doesn’t require a personal guarantee. Investors make an upfront capital investment and then are entitled to receive Shared Earnings which is a percentage of Founder Earnings (a mix of founder salaries, dividends and retained earnings). Shared Earning payments only kick in once founders are able to pay themselves at least the amount agreed before hand (we call this the Founder Earnings Threshold) — we want you to thrive not just survive! To understand more about SEALS, check this out.

Oh, so you're basically revenue-based financing?

Nope. But an easy mistake to make. Revenue-based debt products are repaid as a percent of top-line revenue. By using Founder Earnings plus a threshold, a SEAL is much closer to a profit-share. Investors expect a growth period after the investment before any Shared Earnings begin to be paid.

Where do you invest?

Currently, we are able to invest in the US, Canada, most of the EU, Australia and New Zealand. Probably a few other places. Apply for funding and we'll try and figure it out.

If you would like to start a US-based entity, our portfolio company FirstBase is the easiest way to launch a US LLC or C-Corp. Use the code “earnest” for $20 off.

Are you making investments right now?

Yep. You can apply for funding here.

What is the ideal stage for investment?

We love bootstrapped companies! You've launched, have some paying customers, and some feedback. We don't invest in idea stage, pre-product companies — that is not our realm of expertise. We invest in MVPs, not proof of concepts. Loads more on this here.

What does a typical investment look like?

We invest between $75k – $250k and can lead rounds of $500k-$1m.

Does my business need to be C-Corp, LLC, etc?

We have a preference for C-Corps and believe they are frequently the best option for founders as well, but LLCs are not a dealbreaker for us. We've invested in a number of non-US businesses and are happy to continue doing so. There is a little bit extra diligence and legal work required but it is truly just a little and not a big deal.

If you would like to launch a US C-Corp our portfolio company FirstBase is the easiest way to do that. Use the code “earnest” for $20 off.

What do I need to send you?

An application! Our custom application tool that lets you apply to us for funding at a pace that works for you. Check it out.

Do you cap my salary as a founder?

That is not our vibe. Our terms have something called a Founder's Earnings Threshold which is explained more here, but the gist of it is that founders have full control over their salary. It is actually a minimum earnings floor. The opposite of a cap.

What types of businesses are you looking for?

Our center of gravity is B2B software-as-a-service (SaaS). Recurring revenue, high margin, software businesses are our bread and butter and represent the bulk of our investments.

Some things we are particularly interested in right now are:

  • B2B SaaS targeting niches or specific industries
  • Developer tools
  • Remote tools for remote teams‍
  • Software that enables building online businesses
  • Online education and personal development communities, membership models, platforms

Read more about what we invest in.

Who have you invested in?

You can check out all of our investments here.

Book a call with our GP tyler tringas

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