Rally Ventures Closes Oversubscribed Fund IV At $250 Million 

By Noah Long ● Dec 11, 2020
  • Rally Ventures — a national leader in business technology investing — announced it has closed Rally IV, which is a $250 million fund to invest in Seed and Series A companies bringing innovative approaches to enterprise technology.

Rally Ventures — a national leader in business technology investing — announced it has closed Rally IV, which is a $250 million fund to invest in Seed and Series A companies bringing innovative approaches to enterprise technology. And the areas of focus will include cloud infrastructure, fintech, SaaS+, and security.

And Rally Ventures had oversubscribed demand for this fourth fund (closing well above target) and bringing the firm’s total committed capital raised since inception to nearly $600 million. The firm closed its last fund of $150 million in 2018.

Rally Ventures was founded in 2012 by Charles Beeler and Jeff Hinck — who have co-invested together for over 20 years — and produced top quartile returns in every fund in which they’ve been partners during their careers. And Rally Ventures welcomed its third partner Justin Kaufenberg in late 2019. Before joining the firm, he was a co-founder and the CEO of SportsEngine.

Rally Ventures was a lead investor in SportsEngine and the firm worked directly with Kaufenberg as he built the company from an early-stage opportunity to the largest sports-focused SaaS and payments company in the world. And the addition of Kaufenberg expanded the firm’s expertise in fintech and SaaS+ and his experience as an operator will be a critical asset that will benefit Rally Ventures and its portfolio companies.

This team also includes a dynamic group of more than 100 Rally Tech Partners — visionaries, technologists and executives with deep sector expertise — who help source, evaluate and support early-stage companies. And these Rally Tech Partners have themselves invested more than $100 million into Rally Ventures funds thus far.

In under a decade, Rally Ventures has invested in over 50 companies and built a nationwide portfolio of sector-spanning investments with consistently strong performance across funds. And notable investments include Braze, CrowdStreet, Total Expert, Bugcrowd, Carbon Black (IPO and subsequently acquired by VMware), Coupa (IPO), SportsEngine (acquired by NBC Sports), Twistlock (acquired by Palo Alto Networks) and Verodin (acquired by FireEye).

KEY QUOTES:

“We are committed to investing in the fastest-rising business technology entrepreneurs, and the close of Rally IV allows us to support founders who are changing the way the world works. We’re proud to have the continued support of our existing limited partners and thrilled to be adding new investors with a long-term commitment to venture capital, including a high-caliber group of endowments, foundations, family offices and corporate investors.”

— Jeff Hinck, co-founder, partner, Rally Ventures

“2020 has been a year of significant turmoil and change. We’re looking forward to working with the next group of industry-altering entrepreneurs and helping them navigate the rapid changes taking place across markets. Our strategy is built for all market cycles, and we have a strong history of success with early-stage companies regardless of the overall market environment. We’re optimistic about the future and very excited for the next chapter.”

— Charles Beeler, co-founder, partner, Rally Ventures