In 2020, Ironspring Ventures emerged with a mission to support startups in industrial sectors like construction and manufacturing, filling a void in early-stage venture capital. Now, the firm is intensifying its focus by raising $100 million for its second fund dedicated to industrial startups, a significant increase from its initial $61 million fund raised in 2021. This latest funding round has enabled Ironspring to expand its team with the addition of a principal, Colleen Konetzke, and a head of platform, Stephanie Volk. The firm aims to invest in 20 startups through Fund II, supporting roughly three companies per year.
Ty Findley, co-founder and general partner of Ironspring, emphasized the importance of bridging the gap in the venture industry’s attention to industrial markets, which represent a substantial portion of the U.S. GDP. The firm’s first fund backed 16 companies, including Solvento, OneRail, and Prokeep, among others, operating in sectors such as manufacturing, construction, transportation, and energy.
With Fund II, Ironspring has already supported six companies, utilizing a quarter of the fund. The increased capital allows the firm to write larger checks ranging from $2 million to $4 million, adapting to the trend of larger seed rounds in the industry. Findley noted the favorable macroeconomic conditions influencing the sectors Ironspring focuses on, such as ongoing supply chain disruptions and policy initiatives supporting innovation.
Despite the growing competition from prominent firms, Findley views the influx of capital into industrial sectors as beneficial for the industry as a whole. Building a supportive ecosystem for startups, Ironspring collaborates with other venture firms through initiatives like their podcast, Heavy Hitters, featuring notable VCs to provide valuable resources for entrepreneurs.
Findley believes that Ironspring’s expertise in industrial sectors and unique LP base of industry operators set them apart in the market. Based in Austin, the firm benefits from the city’s history in the industries they invest in, positioning itself at the forefront of the digital industrial revolution. Ensuring that critical industries do not lag behind, Ironspring remains committed to long-term success and innovation in the industrial sector.
