In 2022, the venture capital world saw a drop in the number of deals, deal value, and exits, mainly because of higher interest rates and less involvement from nontraditional investors. The public exits of VC-backed companies also decreased significantly.
However, venture capitalists still have a record amount of money available for investment, and there’s hope for a gradual increase in venture capital deals in 2023. Limited partners have become more careful when investing in venture capital funds, often choosing larger funds managed by experienced professionals or existing VC’s starting new funds.
Despite the uncertain economy, the venture capital investment class still holds long-term value, and there are quality companies to invest in at more reasonable prices.
Early-stage investors have become more selective, and late-stage companies might face stricter requirements from VC funds, leading to a focus on growth startups with smaller deals.
In this blog post, I will provide a list of the top 17 US-based early-stage VCs to watch in 2023, helping startups find their way in the challenging funding environment.
VC 1: Sequoia Capital
Location– Menlo Park, California, United States
Investor Type– Venture Capital
Total Number of Investments– 1,792
Total Number of Exits– 360
Some Notable Exits– Apple, NVIDIA, Google, GitHub, Uber, Airbnb
Total Funding Amount– $35.1 billion
Sequoia Capital, a leading venture capital firm established in 1972 by Don Valentine, has a rich history of investing in groundbreaking startups and innovative companies.
With its roots in the early days of Silicon Valley, Sequoia has played a crucial role in the success of industry giants like Apple, Google, Cisco, Instagram, Airbnb, and Stripe.
With a global presence spanning the US, Europe, India, Southeast Asia, and China, the firm manages approximately $85 billion in assets as of 2022.
Sequoia is known for its long-term partnerships with startups, offering guidance and support throughout their growth journey. Their unique approach to venture capital includes a scout program that provides founders and individuals with capital for early-stage startups, as well as dedicated investment funds for various regions and sectors.
Sequoia’s emphasis on empowering the next generation of entrepreneurs extends to initiatives such as the BLCK VC Scout Network, which provides training and education to current and aspiring Black scouts.
The VC’s Arc program offers participants $1 million in funding and an opportunity to work closely with Sequoia partners across different locations.
With its unparalleled track record, commitment to innovation, and dedication to nurturing and supporting visionary founders, Sequoia Capital continues to cement its position as a top-tier venture capital firm, making a lasting impact on the global technology landscape.
VC 2: Andreessen Horowitz
Location– Menlo Park, California, United States
Investor Type– Venture Capital
Total Number of Investments– 1,374
Total Number of Exits– 202
Some Notable Exits– Coinbase, Twitter, Asana, Lyft
Total Funding Amount– $32.4 billion
Andreessen Horowitz, also known as “a16z,” is a renowned venture capital firm founded in 2009 by Marc Andreessen and Ben Horowitz in Silicon Valley.
The VC manages $35 billion in assets across numerous funds and invests in a diverse range of industries, including bio and healthcare, consumer, crypto, enterprise, fintech, gaming, and American dynamism.
A16z is stage-agnostic, supporting companies from seed to venture to late-stage technology businesses. Its approach is characterized by a deep respect for entrepreneurs and the company-building process, with many of its general partners having previously been founders, CEOs, or CTOs of successful tech companies.
These partners possess extensive domain expertise in various fields, such as biology, crypto, distributed systems, security, marketplaces, and financial services.
This hands-on experience allows a16z to stay at the forefront of new technologies and provide valuable support to founders and their companies as they drive change and make an impact on the world.
Over the years, Andreessen Horowitz has invested in numerous high-profile companies, such as Skype, Twitter, Airbnb, Lyft, Oculus VR, Roblox, and Clubhouse. Their investments span various sectors, reflecting their commitment to supporting bold entrepreneurs in creating the future through technology.
A16z continues to adapt and innovate as a venture capital firm, remaining at the cutting edge of the industry. The firm’s registered investment adviser status allows them to explore riskier bets like cryptocurrency, demonstrating their willingness to embrace new opportunities and support groundbreaking ventures.
With its unwavering commitment to entrepreneurs, expertise in diverse domains, and a robust network of resources, Andreessen Horowitz is well-positioned to continue empowering innovative companies and transforming the world of technology.
VC 3: New Enterprise Associates
Location– Menlo Park, California, United States
Investor Type– Venture Capital
Total Number of Investments– 2108
Total Number of Exits– 567
Some Notable Exits– Seagen, Myntra, BuzzFeed
Total Funding Amount– $26.1 billion
New Enterprise Associates (NEA) is a leading global venture capital firm committed to supporting visionary entrepreneurs and their groundbreaking ideas.
With over 2,100 investments and around $25 billion in committed capital, NEA ranks among the largest venture capital firms in the world. The firm invests across a variety of industries, including technology, healthcare, and consumer sectors, providing support to companies at all stages of their growth.
NEA’s focus on key industries has allowed the firm to develop a comprehensive technology practice, backing innovative companies in software, security, fintech, e-commerce, and media.
In the healthcare sector, New Enterprise Associates has a longstanding commitment to investing in life sciences and digital health, playing a key role in the development of revolutionary medical advancements and new care delivery models.
With a presence in both emerging and established markets, NEA’s investment strategy encompasses all stages of a company’s growth, from seeding new markets to funding early-stage companies to supporting the expansion of market leaders.
Its global reach extends from its US offices in Menlo Park, New York, and Washington, DC, to international locations such as Europe and Asia, allowing NEA to tap into innovation and build a robust network of resources and expertise worldwide.
In recent years, NEA has made a significant impact through its investments in companies like Workera, Dandelion Energy, Seagen, Snap, and Uber.
The firm has also participated in 296 diversity investments and recorded 567 successful exits. With a proven track record and dedication to nurturing exceptional ideas, NEA continues to drive global innovation and support the growth of transformative companies in various sectors.
VC 4: Accel
Location– Palo Alto, California, United States
Investor Type– Venture Capital
Total Number of Investments– 1,910
Total Number of Exits– 355
Some Notable Exits– Qualtrics, Meta, Spotify, Atlassian
Total Funding Amount– $18.3 billion
Accel, an American venture capital firm previously known as Accel Partners, specializes in seed, early, and growth-stage investments in startups.
Accel has a successful track record of funding prominent technology companies such as Facebook, Slack, Dropbox, Atlassian, Flipkart, Supercell, Spotify, Etsy, Braintree/Venmo, Vox Media, and many others.
Founded in 1983 by Arthur Patterson and Jim Swartz, Accel developed its “Prepared Mind” investment philosophy based on the Louis Pasteur quote, “Chance favors the prepared mind,” emphasizing deep focus and disciplined, informed investing.
In 2000, Accel partnered with Kohlberg Kravis Roberts to create Accel-KKR, a technology-focused private equity investment firm targeting control investments in middle-market companies.
Over the years, Accel has raised several funds dedicated to different regions and investment stages. As of May 2019, the firm managed $3 billion in funds, with a $575 million fund dedicated to financing Series A of European and Israeli startups.
Accel concentrates on various technology sectors, including consumer, infrastructure, media, mobile, SaaS, security, customer care services, enterprise software, and e-commerce.
The VC’s early-stage investments have supported companies like Cloudera, Dropbox, Dropcam, Facebook, Flipkart, Jet.com, Podium, Webflow, and Slack. Meanwhile, its growth capital investments have aided more established companies such as Atlassian, DJI, and Qualtrics.
VC 5: Bessemer Venture Partners
Location– Redwood City, California, United States
Investor Type– Venture Capital
Total Number of Investments– 1318
Total Number of Exits– 293
Some Notable Exits– Twitch, Rocket Lab, Pinterest, Life360, Blue Apron
Total Funding Amount– $14.3 billion
Bessemer Venture Partners (BVP) is a famous VC with a rich history that traces its roots back to the innovations in steel by the co-founder of Carnegie Steel, Henry Phipps Jr. Established to manage Phipps’ family assets; the firm has since expanded its reach, partnering with ambitious entrepreneurs to build lasting and impactful companies.
With headquarters in San Francisco and additional offices in India, Israel, and the United Kingdom, BVP has made over 1,318 investments, including 176 diversity investments.
The VC has experienced 293 exits, with notable successes such as Twitch, Rocket Lab, and Pinterest. Furthermore, BVP has made two acquisitions, with the most recent being Litify in 2023.
BVP is driven by core values like curiosity, learning and mentorship, innovation, intellectual honesty, empowerment, and collaboration. The VC is committed to fostering a diverse, equitable, and inclusive work environment by embracing different backgrounds and identities, promoting equitable practices, and ensuring that all community members feel heard and supported.
The company’s unique approach to venture capital, known as “roadmaps,” involves ongoing deep dives into technologies and companies shaping the future.
With a storied history and an ongoing commitment to innovation and growth, Bessemer Venture Partners continues to support entrepreneurs throughout every stage of their journey.
VC 6: General Catalyst
Location– Cambridge, Massachusetts, United States
Investor Type– Venture Capital
Total Number of Investments– 1,153
Total Number of Exits– 180
Some Notable Exits– Snap, CCP Games, BigCommerce
Total Funding Amount– $8.6 billion
General Catalyst is a well-known VC that focuses on partnering with entrepreneurs and businesses throughout their entire growth journey, from the seed stage to maturity.
Established in 2000, General Catalyst has made over 1,100 investments, with notable exits such as Snap, Airbnb, and CCP Games. The VC has a track record of supporting diverse investments and recently added to this portfolio with its investment in Disclo on February 1, 2023.
Its investment approach is centered around providing support to companies at various stages, including Creation, Ignition, and Endurance. Their experienced team members possess expertise in diverse industry domains and are dedicated to helping founders and businesses connect with essential resources and relationships.
General Catalyst also works with industry leaders and entrepreneurs to create new companies and identify existing growth-stage firms that can be scaled and supported. This collaboration not only helps accelerate the growth of selected companies but also positively impacts the industries in which they operate.
The Health Assurance strategy is another key focus for General Catalyst, which aims to create, invest in, and partner with companies that align with their vision for an affordable and equitable healthcare system. This initiative demonstrates the firm’s commitment to driving systemic change and innovation in the healthcare sector.
General Catalyst’s strong belief in the power of technology and innovation to transform industries is at the core of its investment philosophy. By cultivating meaningful relationships and partnerships, they actively work to unlock unique opportunities for their portfolio companies, helping them thrive and succeed in a rapidly evolving world.
VC 7: Bain Capital Ventures
Location– San Francisco, California, United States
Investor Type– Private Equity Firm, Venture Capital
Total Number of Investments– 597
Total Number of Exits– 119
Some Notable Exits– Rapid7, SolarWinds, Billtrust
Total Funding Amount– $8 billion
Bain Capital Ventures (BCV) is a prominent venture capital company specializing in supporting business builders and domain experts. With a focus on B2B software startups, BCV invests in fintech, commerce, apps, and infrastructure sectors. The VC is committed to identifying and realizing the potential of passionate visionaries who strive to transform the way we live and work.
The VC has made 89 diversity investments, including a recent investment in Disclo. Boasting 119 exits, BCV has played a significant role in the success stories of companies like Rapid7, SolarWinds, and Armis Security.
BCV is known for its deep domain focus, hands-on partnership, dedicated talent team, proprietary customer development, and access to the extensive Bain Capital Network.
Throughout the past two decades, BCV has been instrumental in the inception and successful market entry of over 400 enterprises, including notable names such as Attentive, Bloomreach, Clari, Docusign, Flywire, LinkedIn, Moveworks, Rapid7, and Redis.
With over $10 billion under management, BCV is the venture capital division of Bain Capital, which manages approximately $160 billion of assets worldwide.
Bain Capital Ventures is dedicated to partnering with driven, visionary founders who exhibit intellectual curiosity, tenacious drive, visionary influence, and resilient flexibility.
Their commitment to turning potential into reality and fostering innovation continues to make it a leading venture capital firm in the technology sector.
VC 8: GGV Capital
Location– Menlo Park, California, United States
Investor Type– Venture Capital
Total Number of Investments– 876
Total Number of Exits– 130
Some Notable Exits– Airbnb, Animoca Brands, Alibaba Group
Total Funding Amount– $7.8 billion
GGV Capital is a prominent global venture capital firm with a focus on multi-stage, sector-specific investments. Established in 2000 with origins in Singapore and Silicon Valley, GGV Capital has since expanded its presence with additional offices in San Francisco, Shanghai, and Beijing.
The firm oversees $9.2 billion in investments, spanning the United States, Canada, China, Southeast Asia, India, Latin America, and Israel.
GGV Capital is dedicated to investing in entrepreneurs who are building category-leading companies worldwide.
Over the past two decades, the firm has supported more than 400 companies, including notable names like Airbnb, Alibaba, Peloton, and Slack. With a diverse investment portfolio, GGV Capital concentrates on Consumer/New Retail, Social/Internet, Enterprise/Cloud, and Smart Tech sectors.
Led by six managing partners and a team of experienced investment professionals, GGV Capital passionately collaborates with innovative founders and businesses utilizing cutting-edge technology to drive remarkable social and economic advancements in developing markets.
The VC has a track record of investing in over 200 active companies across various regions, with more than 56 valued at over $1 billion.
GGV Capital’s investment approach led to several successful funding rounds, including the $30 million series B funding round for Boston technology company Fairmarkit in December 2020.
In January 2021, the VC closed on $2.52 billion across four funds, showcasing its continued dedication to identifying and supporting innovative companies shaping the future.
VC 9: ARCH Venture Partners
Location– Chicago, Illinois, United States
Investor Type– Venture Capital
Total Number of Investments– 448
Total Number of Exits– 100
Some Notable Exits– Grail, Karuna Therapeutics, Twist Bioscience
Total Funding Amount– $7.7 billion
ARCH Venture Partners is a distinguished venture capital firm with over 30 years of experience in backing groundbreaking science companies. The firm, headquartered in Chicago, has a history of investing in amounts ranging from $50K to hundreds of millions of dollars per company.
Rather than following the crowd, ARCH prides itself on being contrarian, bold, and imaginative in its approach to investment.
The VC’s roots trace back to 1986 when the University of Chicago & Argonne National Laboratory created the ARCH Development Corporation as a non-profit initiative to commercialize their technology.
The name ARCH stems from this origin, with “AR” representing Argonne and “CH” symbolizing the University of Chicago. Under the leadership of Steven Lazarus, the corporation evolved into ARCH Venture Partners, an independent venture capital firm.
ARCH Venture Partners adopts a long-term perspective when building companies, demonstrating flexibility in their approach and sizing their investments to meet the needs of each portfolio company.
Their extensive network of partners assists them in supporting companies through their formation stages and guiding them toward realizing their full potential.
The firm primarily invests in companies operating in the biotechnology, semiconductors, and computing fields. With additional offices in Seattle, San Francisco, and Dublin, ARCH Venture Partners is well-positioned to identify and support innovative companies that can make a meaningful impact on people’s lives.
Following the passing of Lazarus in 2018, the VC’s management was passed on to the other co-founders, who continue to uphold their commitment to identifying and supporting revolutionary technologies that drive lasting change.
VC 10: Venrock
Location– Palo Alto, California, United States
Investor Type– Venture Capital
Total Number of Investments– 785
Total Number of Exits– 268
Some Notable Exits– Apple, Intel, Cloudflare
Total Funding Amount– $4.1 billion
Venrock is a pioneering venture capital firm established in 1969, stemming from the Rockefeller family’s investing activities that began in the 1930s.
With a focus on technology, healthcare, and emerging technologies, Venrock has been instrumental in supporting the growth of numerous successful and disruptive companies.
Throughout its history, Venrock has made 785 investments, with its most recent investment in Nightfall AI raising $40 million in August 2022.
With 268 exits under its belt, Venrock has been a part of some remarkable success stories, such as Apple, Intel, and Cloudflare.
Venrock’s investment strategy focuses on early-stage and startup companies in various sectors, including information technology, healthcare, and emerging technologies.
Some of the most notable investments include Intel, Apple, AppNexus, Astranis, Check Point Software, DoubleClick, and Juno Therapeutics. In the healthcare sector, the firm has supported companies like athenahealth, Grand Rounds, HealthSouth Corporation, MedPartners, Castlight Health, and Illumina.
Venrock’s commitment to innovation and progress is reflected in its investment in nanotechnology, with early funding of Nanosys and the nanotech division of DuPont.
As a prominent venture capital firm with a rich history and a forward-looking approach, Venrock continues to partner with ambitious entrepreneurs, offering support and guidance to help them create groundbreaking and world-changing companies.
VC 11: Menlo Ventures
Location– San Francisco, California, United States
Investor Type– Venture Capital
Total Number of Investments– 743
Total Number of Exits– 171
Some Notable Exits– Roku, Poshmark, Senti Biosciences
Total Funding Amount– $3.7 billion
Menlo Ventures is a well-established venture capital company with roots in Menlo Park, California, and a presence in San Francisco. Founded in 1976, the firm has a rich history of supporting and investing in startups across various stages, from seed to growth, with a primary focus on the “three stages of early.”
Menlo Ventures has successfully backed more than 400 companies, including prominent names like Uber, Gilead Sciences, and Warby Parker.
With over 46 years of experience, 80+ public companies, 165+ mergers and acquisitions, and $5 billion under management, Menlo Ventures is dedicated to helping entrepreneurs transform their ideas into scalable businesses.
The VC’s investment strategy revolves around consumer, enterprise, and healthcare sectors, with a particular emphasis on seven focus areas: Consumer, Cloud Infrastructure, Cybersecurity, Fintech, Healthcare, SaaS, and Supply Chain and Automation.
Menlo Ventures’ approach to investing is marked by its ALL IN motto, which reflects its commitment to teamwork, collaboration, and shared success.
They provide hands-on support and guidance for early-stage startups, helping them navigate product-market fit, go-to-market strategies, and organizational scaling.
Their unique structure includes Menlo Labs, which supports founders in validating early-stage ideas and de-risking opportunities, as well as dedicated venture and inflection teams that assist startups through various growth stages.
By staying true to the purpose of the partnership, Menlo Ventures has become a driving force in the technology venture capital space, with a legacy of empowering the game-changing companies of the future.
VC 12: Benchmark
Location– San Francisco, California, United States
Investor Type– Venture Capital
Total Number of Investments– 664
Total Number of Exits– 180
Some Notable Exits– eBay, Riot Games, Grubhub
Total Funding Amount– $2 billion
Benchmark is an early-stage venture capital firm founded in 1995. With headquarters in San Francisco, the VC concentrates on investing in social, mobile, local, and cloud-based startups, believing that exceptional entrepreneurs can transform the world for the better.
Benchmark’s portfolio consists of over 250 early-stage startups, collectively valued at more than $100 billion.
Some of the VC’s most notable investments include eBay, Juniper Networks, MySQL, OpenTable, Yelp, Zillow, Instagram, Dropbox, Uber, and Twitter.
Benchmark has been recognized for its unique equal ownership and compensation structure, ensuring that all partners share profits equally, without hierarchical distinctions between junior and senior partners.
Benchmark’s innovative approach has led to remarkable success, with 664 investments, 84 diversity investments, and 180 exits to its name.
The firm’s unconventional partnership structure and investment strategy have been influential in the venture capital industry and have been featured in popular culture, including the Apple TV+ Original “WeCrashed” and the Showtime Original “Super Pumped.”
VC 13: OpenView
Location– Boston, Massachusetts, United States
Investor Type– Venture Capital
Total Number of Investments– 122
Total Number of Exits– 32
Some Notable Exits– Datadog, UserTesting, Applitools
Total Funding Amount– $2 billion
OpenView Venture Partners is a VC firm that specializes in helping expansion-stage software companies become market leaders. With a strong focus on providing tangible value to their portfolio companies, OpenView has built a dedicated team, called the Expansion Team, to support the growth and development of their investments.
Having made 122 investments to date, OpenView’s most recent investment was in Illumix, which raised $18M in March 2023. The company has made nine diversity investments and has seen 32 successful exits, including notable companies such as Datadog, UserTesting, and Instructure.
OpenView’s Expansion Platform is tailor-made to help build expansion-stage software companies into market leaders by providing truly tailored operational support to their portfolio companies.
The Expansion Team at OpenView works closely with portfolio companies to address their specific needs, offering valuable insights and guidance on hiring, growth funnel optimization, pricing and packaging, go-to-market strategies, and more.
By plugging into all organizational levels and assisting in organizing, prioritizing, and extending the reach of their portfolio companies, OpenView ensures they are well-positioned for success throughout the expansion stage.
OpenView’s commitment to providing hands-on support, combined with its expertise in expansion-stage software companies, sets them apart as a valuable partner for businesses looking to grow and thrive in their respective markets.
VC 14: August Capital
Location– Menlo Park, California, United States
Investor Type– Venture Capital
Total Number of Investments– 285
Total Number of Exits– 80
Some Notable Exits– GitLab, Mavenir, zulily
Total Funding Amount– $1.4 billion
August Capital is a venture capital company with a focus on investing in groundbreaking startups in the information technology sector. Established in 1995 by David Marquardt and John Johnston, the firm is based in Menlo Park, California, and has a long history of supporting entrepreneurs who aim to make a difference through innovative technology.
With 285 investments under their belt, August Capital’s most recent investment was in Quadrata in July 2022. The VC has made 45 diversity investments and has seen 80 successful exits, including notable companies such as Mavenir, zulily, and GitLab. Currently, August Capital manages approximately $2 billion in capital commitments.
The VC concentrates primarily on early-stage investments but also makes strategic later-stage investments when they align with venture capital level risk/return profiles. August Capital is comprised of a diverse group of limited partners that include endowments, private foundations, funds of funds, public charitable organizations, and corporate strategic investors.
At August Capital, the team of experienced investment professionals believes in offering support and guidance to entrepreneurial teams as they pursue their visions. The partners have more than 100 years of combined venture and operational experience, and they pride themselves on being invaluable resources for their portfolio companies.
August Capital’s approach is centered on the belief that venture capitalists don’t build companies—entrepreneurs do. They focus on providing assistance in areas such as recruiting top engineering talent, raising additional funding, and acquiring initial enterprise customers.
By treating entrepreneurship as a team sport, August Capital strives to foster success for the startups they invest in, helping them achieve their full potential.
VC 15: GV (Google Ventures)
Location– Mountain View, California, United States
Investor Type– Corporate Venture Capital, Venture Capital
Total Number of Investments