Frequently Asked Questions
The following are among the most frequently asked questions about the Seaplane Venture Fund. We have tried to provide concise, helpful answers here but please refer to the Fund's Product Placement Memorandum (PPM) and the Limited Partnership Agreement (LPA) for definitive answers and significantly more details about the strategy, risks, fees, eligibility, and more.
Must I be an accredited investor to invest in the Seaplane Venture Fund?
What is the strategy of the Seaplane Venture Fund?
The Seaplane Venture Fund is focused on tech-enabled US startups at the pre-seed and seed stages with early progress towards product/market fit and business models geared around network effects and recurring revenues. Seaplane and its network of advisors take a proactive, hands-on approach to advising and supporting its founders on everything from content to product strategy to capital allocation. We have more time to dedicate to our founders as we focus our capital on a smaller number of startups.
Why does Seaplane exist?
Seaplane’s Managing Partner, Joe Magyer, had been flying solo as an angel investor after stepping back from leading the growth-focused public markets firm he had co-founded. Eventually, though, Joe realized he would have more fun and better support founders if he brought partners along with him for the journey.
Where can I learn more about Seaplane’s Manager Partner?
Is Joe investing in the Fund?
Yes. More details about Joe's commitment and alignment are available upon request.
Will Seaplane’s Managing Partner invest in deals that fit the thesis outside of this Fund?
No. Joe has agreed to make all of his investments in early-stage, technology-enabled private companies through the Fund during the course of the deployment period, which is 48 months.
What is the minimum commitment and does the fund have capital calls?
Investors who commit at least $100k have the option to use capital calls to fund their investment over time. The first portion of their commitment (34%) will be funded upfront and the other thirds of their investment around 12 and 24 months later. Seaplane will let investors know when it is time to act on the capital calls. Investors who request for and receive approval to invest less than $100k must fund all of their investment upfront.
How does the Fund manage follow-on investments?
≅20% of the Fund’s capital will be reserved for follow-on investments into existing portfolio companies which are thriving and in which Seaplane would like to increase its ownership. The bulk of the Fund’s (≅80%) will be initial investments in pre-seed and seed-stage startups, though, as the potential returns and positive impact on the company from our capital and support are greater earlier in the journey.
What are the Fund’s fees?
The Fund's fee structure is in line with industry norms. Details are available upon request and in the PPM.
Who is the Fund’s GP and administrator?
Seaplane has partnered with the AngelList family of companies to provide comprehensive fund administration, registry, operational, and compliance solutions for the Seaplane Venture Fund. AngelList was founded in 2010 and supports more than 700 traditional venture funds with more than $10 billion in assets. Seaplane wants to focus on where it can add the most value – investing research, sourcing deals, supporting founders, and engaging with LPs – and let a trusted, large-scale partner handle the rest.
Can I sell my stake in the Fund and get out early?
You can’t sell your stake or transfer your interest outside of serious events like death or divorce. Unlike a Fund that invests in publicly listed securities which have liquid secondary markets, the Fund’s capital is invested directly into private startups who are using that money to invest and grow. Distributions to the Fund’s investors will happen as liquidity events (namely realized capital gains) unfold over the 10-year life of the Fund.
What if Joe gets hit by a bus?
AngelList will professionally manage and oversee the Fund’s deployed investments until there are eventual liquidity events and the proceeds are returned to investors. Additional capital calls will not be made and what has been called but not yet invested will be returned to LPs.
I have more questions. Who can I contact?
Questions about the Fund’s investment strategy are best directed to Seaplane. You can contact us online or book a meeting with Joe via Calendly. Questions about the Fund’s application process and administration are best directed to AngelList. You can contact them here.
Accredited investors only.
Investing in venture capital funds is inherently risky and illiquid. It involves a high degree of risk and is suitable only for sophisticated and qualified investors. Performance of past deals or a lead investors' track record is not a guarantee of future returns. The content above is for informational purposes only and is not advice. You should consult your own financial and tax advisors.
Information on this page is qualified in its entirety by the Limited Partnership Agreement, Private Placement Memorandum, and Subscription Agreement, which should be reviewed carefully prior to making an investment decision. Please see these documents for full details regarding risks, minimum investments, fees, expenses, eligibility, and more.