Slauson & Co, an early-stage venture capital firm rooted in economic inclusion, has announced the close of its $100 million Fund II.

The fund’s size significantly increased from its previous $75 million, and signals continued investor appetite for inclusive venture capital despite economic challenges. 

Fund II checks will be between  $500,000 and $2 million. It is expected to support 30 startups over the next three years, with capital reserved for follow-up rounds.

Slauson & Co. Focuses on Diversity and Inclusion

Founded by Ajay Relan and Austin Clements in 2020, Slauson & Co. has consistently advocated for diversity, backing early-stage companies across sectors such as SaaS and consumer technology. 

“We invest in everybody,” Relan told TechCrunch, adding that the firm wants to ensure that all perspectives are considered when developing its products and services.

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The venture firm invested in 38 companies led by 66 founders across the US from the first fund. 95% of its portfolio companies are led by founders of color, with over half of our founding teams led or co-led by a woman. These companies have raised funding worth hundreds of millions of dollars after Slauson & Co.’s initial investment.

“Toughest fundraising environment in 20 years”

Despite facing a more challenging fundraising climate in 2024, with a downturn in corporate diversity initiatives, Slauson & Co. succeeded by proving the financial viability of their inclusive investment thesis.

“We began ramping up for Fund II during the toughest fundraising environment in 20 years,” Slauson & Co. stated in their press release.

“We had hundreds of conversations with potential investors with numerous rejections along the way. Our hurdles are akin to those faced by the founders we support — fundraising while operating the business, volatile markets causing constant shifts in investor sentiment, all while building a transformational product… 

Despite the challenges, the result is exactly what we hoped for: a group of aligned LPs who share our values and see the massive opportunity ahead of us. In the end, we’ve been fortunate to attract a strong set of investors, from foundations and university endowments to successful founders and operators we respect.”

Slauson & Co.’s Strategic Investments 

Fund II will distribute investments between $500,000 and $2 million and is expected to back 30 startups over the next three years. 

The firm has already begun deploying capital from this new fund, further strengthening its ecosystem through mentorship, an accelerator program, and networking opportunities. 

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Slauson & Co. remains focused on creating a standard in venture capital that amplifies diverse voices and disrupts traditional investment patterns.

“If we do our jobs right,” Relan said to Techcrunch, “others with deeper pockets than ours, who may not necessarily care about the same things that we care about, see an economic opportunity and start fishing in the same ocean.”

Main Image: Slauson & Co. Cofounders, Ajay Relan and Austin Clements (Image Credit: Slauson & Co.)