What type of investments does Jumpstart make?
Jumpstart Foundry makes early-stage investments in innovative healthcare startups across the country.
What are your terms?
We have standard terms for all the companies: $150,000 SAFE (simple agreement for future equity) note with a $2M or $4M valuation cap in exchange for a one-time $50k membership fee for our value-added services. This means $100k lands in your bank account and a slew of services at your fingertips.
Why standard terms?
Jumpstart Foundry is an active early-stage healthcare innovation fund making 15-20 investments a year. The scale at which we invest requires standardization.
Who decides the valuation?
After applying, the Jumpstart Foundry team will review your application, paying close attention to revenue and customer metrics, and will decide which valuation is most appropriate.
Is the $50k membership fee required?
Yes. Traditional venture capital firms just write a check, but we provide strategic capital - the right help at the right time. You can learn more about our complete offering here.
Do you invest in companies outside of the US?
We only invest in companies within the United States so that our portfolio companies can fully engage with our resources and get the most of our network.
Do you require your portfolio companies to be located in Nashville?
Nope! We are headquartered in Nashville, TN and only ask our portfolio companies to travel to Nashville 2-3 times within the first 12 months following our investment for events like a curated dinner with industry executives and customer introductions.
What kind of companies do you invest in?
We are interested in healthcare IT, consumer health products/services, tech-enabled services, and diagnostic devices. We do not fund biotechnology, pharmaceuticals, or life sciences. Aren’t sure if your company fits our criteria? Schedule a call with one of our investment analysts.
Do you accept companies who have already been through an accelerator/incubator?
Yes. In fact, we look for companies who are partially funded, running its first pilot program, already been through an accelerator or has its first MVP in the healthcare technology space.
Do you fund companies that are competitive with each other?
Nope! We take an active role in helping founders get to market, find customers and beat out other competing ideas. We can only do this with ONE best-in-class solution. For this reason, we are especially cognizant of not accepting companies that are competitors. However, our portfolio now holds 62 companies, growing by 15-20 a year. However, as these innovative companies change and evolve there could be slight competition with one another.
What are your application tips?
Have a passionate founder that is full-time (2+ preferred) and round out the team’s skill set with 1-3 members
Present proven validation and early traction through data
Utilize the video section of the application to show your personality and help us understand why you think this product will make a positive impact on the world
Do your research. Bringing on a new investor is an important step in the growth of your company. We expect to form a 3-6 year partnership with our founders. Given this time commitment, we don’t make investments flippantly and you shouldn’t take an investment without learning as much as possible about the investor.
Be thoughtful. We can tell which applications are rushed through.
Do I need to send in a business plan?
Nope. The online application has all the necessary components.