D.C. Nonprofit Halcyon Closes $5M Fund Dedicated to Impact Investments in Early-Stage Startups

D.C. Nonprofit Halcyon Closes $5M Fund Dedicated to Impact Investments in Early-Stage Startups

D.C. Nonprofit Halcyon Closes $5M Fund Dedicated to Impact Investments in Early-Stage Startups

– The Halcyon Fund’s unique approach invests after incubating businesses

– 13 ventures that participated in the Halcyon Incubator are the first to receive investments

– Average initial investment of $100K, 54% women-founded ventures, 69% ventures founded by people of color

WASHINGTON, D.C. (Mar. 17, 2022) – Today D.C.-based nonprofit Halcyon announced the closing of its first investment fund, a $5M fund investing in past participants of the Halcyon Incubator. The Halcyon Fund launches with 13 investments and becomes Halcyon’s third funding vehicle for impact-driven businesses, along with the Halcyon Angels and the Halcyon Microloan Fund.

“The Halcyon Fund’s unique approach comes from how we de-risk these investments,” said Halcyon Co-Founder and CEO Kate Goodall, also co-managing director of the Halcyon Fund. “By the time the fund invests in a venture, we’ve spent literally hundreds of hours alongside the venture’s founders. We’ve had a hand in making this venture sustainable, and scalable, so we have tremendous confidence not only in the strength of these investments, but in our ability to be trusted investors who support the continued growth of the businesses we fund.”

Since 2014, Halcyon has provided fellowships for early-stage impact-driven business founders, offering resources for startups without taking any equity. The addition of funding vehicles for Halcyon’s fellows and other impact-driven business founders comes as a result of Halcyon fellows sharing that funding is a major need. Meeting that need with a range of vehicles can ensure investors and founders are each able to access the right kinds of opportunities.

Halcyon launched the Halcyon Angels in 2020, and in 2021 added the Halcyon Microloan Fund while continuing to grow the Halcyon Fund. Growing three impact investing mechanisms in tandem has enabled Halcyon to meet the needs of a wide range of entrepreneurs – Halcyon’s fellows represent six continents, with 64% of ventures having a woman founder or co-founder and 74% having a founder or co-founder of color.

“The growth of Halcyon’s work in impact investing is a direct outcome of a growing opportunity as investors awaken to the potential of impact-driven businesses to match and even outperform traditional businesses,” said Halcyon Chief Investment Officer Dahna Goldstein, also co-managing director of the Halcyon Fund. “Halcyon is building a community of investors who feel, as we do, that impact businesses have a competitive advantage, and they’re excited to be a part of this evolution in business and investing.”

The Halcyon Fund has made an average initial investment of $100,000 in pre-seed and seed rounds raised by its 13 portfolio companies. Investments in additional ventures – and follow-on investments in the existing portfolio – will cover sectors from health care, to clean energy, to ed tech; the common thread is a focus on impact that drives high growth and competitive financial returns. The most recent investment supports Myya, a virtual platform for breast cancer survivors to shop for post-mastectomy bras and breast forms, founded by Halcyon Incubator Fellow Jasmine Jones.

Halcyon’s three funding vehicles together now account for over $6 million in assets under management by the nonprofit, which has plans to continue growing its impact investing work. Last year Halcyon supported more startups than ever before, and that means a robust investment pipeline fed continually as new ventures enter Halcyon’s fellowship programs.

For more information about Halcyon’s impact investing, click here. To learn more about the Halcyon Fund and its portfolio companies, click here.

About Halcyon
Halcyon accelerates the impact-driven future of business. We believe there’s a competitive advantage to having a social mission in your DNA, and that impact-driven businesses represent a powerful opportunity to drive equity and inclusivity in the workplace and society.

Halcyon is the community supporting impact-driven businesses and their founders through space, community, and access. Our programs offer fellowships for social entrepreneurs and funding vehicles to help them scale their ventures. halcyonhouse.org, @halcyoninspires