Cyberstarts, a leading early-stage cybersecurity venture firm, has launched a $300 million Employee Liquidity Fund to reward startup employees and boost momentum in its portfolio companies.
This fund offers annual opportunities for employees to sell a portion of their vested shares without leaving their companies, helping retain talent and drive a long-term culture of innovation. Cyberstarts will collaborate with portfolio companies to determine eligibility and implementation details.
Each eligible company will receive a dedicated allocation within the fund, reflecting Cyberstarts’ commitment to a talent-first approach in venture capital.
Including this new fund, Cyberstarts has raised over $1 billion across six funds and has made nearly 30 investments, backing Seed rounds of industry leaders like Wiz, Fireblocks, Island, and Cyera.
KEY QUOTES:
“At Cyberstarts, we have always made it our mission to nurture and motivate talent from idea through execution – and that includes finding new ways to have deeply technical cybersecurity talent stay and thrive at our portfolio companies. With this new fund, we are hoping to go even further to support our portfolio companies – creating a retention tool that rewards employees with a way to participate in their company’s early success while staying focused on the long term vision.”
Gili Raanan, Founder of Cyberstarts
“In today’s market, we’re seeing industry-leading technology companies scale to extraordinary heights over years and years with continued drive and commitment of their original employees. At Cyera, we’re building a lasting company in a critical industry, which requires retaining and motivating the very best talent over a long time horizon. Cyberstarts has been supporting our mission from day one, and this new liquidity program supercharges our team by rewarding them with reliable and predictable liquidity.”
Yotam Segev, Co-Founder and CEO of Cyera
“To build a fundamentally new category at a company like Island, we require deep expertise, long-term commitment, and a shared sense of purpose from our team. Especially given today’s extended IPO timeline, secondary equity transactions are becoming an essential component of the employee experience at startups that choose to remain private and independent. This new commitment from Cyberstarts is a tremendous asset as founders work to deliver an exceptional workplace.”
Michael Fey, Co-Founder and CEO of Island
