In today’s economic environment, investing in quality startups is an attractive option, but there is a clear lack of existing funds modeled to do so efficiently and in a truly aligned manner. The economics of funds are often favorable to managers but less attractive to investors who deserve more transparency, oversight and optionality in their investments. At Cava, we believe a different model is necessary to provide investors access to great deals with appropriate risk/reward returns.
A More Flexible Model
Cava uses Special Purpose Vehicles to invest in single entities. Our model gives investors complete discretion on which deals they participate in.
Aligning Interests with Reduced Fees
We make money when you make money. A minimal, one-time transaction fee occurs at deal closing, and up-front fees are nominal in aggregate. Therefore, total fees in Cava are less than those of traditional funds, aligning our interests directly with those of our investors.
Because Cava does not operate out of a traditional, closed-fund structure, options to monetize a given investment are evaluated frequently, and include: selling all or part of the investment, paying cash dividends to investors or spinning the company out as a public entity to maximize value.
Maximizing Risk-Adjusted Returns
Unlike traditional venture funds, in which managers are incentivized to realize returns prior to raising a new fund, the Cava model focuses on exits when the timing is right, and only when there is an opportunity to maximize the risk-adjusted return of the asset on behalf of our investors.
High net worth and family office investors have limited ways to participate in high growth, small company investments. This is because existing investment fund models are traditionally designed for institutions, not individuals. Cava gives high net worth investors access to attractive opportunities with smaller capital commitments.
Investor Portal Login
For those who have invested in deals through Cava, please click here to access our Investor Portal.
Cava Capital is an innovative, early growth stage investor, actively supporting talented entrepreneurs as they build their companies through various stages of expansion. We believe adding value is not an option; it’s a prerequisite. We are experts in scaling revenue growth and are focused on enlisting the resources and connections to do so. Our sweet spot for initial investment is between $1 to $5 million for those companies that have demonstrated early success with customer traction and/or revenue. This usually results in B Round entry points.