The D'Amelio family, including TikTok stars and digital creators, are formalizing their investments in startups with the launch of a new VC fund. The family is teaming up with Doug Renert of Tandem Capital and producer Jeff Beacher of Beacher Media Group on the fund, which aims to back high-growth companies with strong end- user brands.
Some of the funds has already been raised and deployed.
The Amelio family said the fund will focus on women- and minority-led startups.
A new generation of female and minority entrepreneurs want to build great companies. We hope to play a growing role in leveling the startup playing field over time.
The sisters are the best-known family members due to their TikTok fame, but their parents are also participating in 444 Capital.
The fund is named after the number 4 and will participate at the Series A stage and beyond.
The new fund will join with top VCs to invest in Series A and later rounds of fast-growing companies that want to accelerate their growth even more.
Beacher had been working with several Tandem portfolio companies on their influencer marketing campaigns. Beacher had a connection with many other people through his network. He and Renert discussed putting together a fund with the same focus as Tandem Capital. The fund doesn't conflict with Renert's work at Tandem, as the VC firm chose not to raise another fund at this time. Many of Tandem'sLPs have returned to invest in 444 Capital.
The Amelios, Renert and Beacher will use their networks to source deals, and will be looking to co- invest with top VCs.
Renert notes that they want to be more than just a competition for deals with VCs. The idea is to allow the fund to piggyback off the co-investors' diligence and use their term sheets and documents more quickly.
The image is called Step.
444 Capital will invest around a million dollars per investment and will make around 20 deals this year. Some of the deals may include a promotional element because of their ability to reach a broad consumer audience through their online social media presence.
Renert said that they are looking for companies with strong brands that are growing fast and going after a large market.
Recent startup investments by the D’Amelios led to the creation of a VC fund.
Last year, a top TikTok star invested in a teen banking app. Lightricks, an award-winning app developer behind a number of top creator tools for enhancing photos and videos, was backed by the family.
The team plans to make a full announcement about the fund soon, but they pointed to Pair Eyewear, the glasses brand that encourages self-expression with its customizable frames, as an early example of a portfolio company. In Pair's case, the new fund joined the startup's $60 million NEA-led Series B, which had also boasted the participation of another social media star, Ninja.
The other fund participants, Beacher and Renert, backed a long list of well-known startup and consumer brands.
The team at 444 Capital plans to make a bigger announcement in the months ahead.
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