TNCV is focused on technology transfer, seed and early stage investment opportunities. TNCV seeks to identify technologies, products and/or services that offer a unique solution to a specific point of pain or opportunity for their respective industries, lend themselves to business models that offer a clear path to profitability with modest capital needs and promote scalable cost structures that create competitive advantages. Each investment opportunity will be evaluated based on an ability to deliver exceptional financial returns while transforming and diversifying Tennessee’s economic base through the creation of quality jobs and community wealth.

Identified opportunities will be subject to TNCVʼs systematic and rigorous due diligence process and need to meet the following criteria to receive the unanimous support of the Investment Committee:

  • Highly motivated and experienced management team
  • Differentiated and scalable technology, products and/or services that address new market opportunities or are sufficiently disruptive to established market solutions that they delivers a unique cost advantage
  • Strong customer value proposition and customers who will pay a premium for a unique offering
  • Long-term potential to transform new or existing markets poised for rapid growth or change
  • Potential to achieve significant market share in a large and growing market
  • Ability to grow independent of market conditions
  • Availability of multiple exit opportunities

TNCV has a unique partnership and direct interaction with the University of Tennessee Research Foundation and has committed significant capital to proof- of-concept investments, which are expected to range from $50,000 to $100,000. More traditional seed and early stage initial investments are expected to range from $250,000 to $750,000 and target the funding gap between start-up and later stage institutional venture rounds. TNCVʼs target investment size over the life of each portfolio company is between $1 million and $2 million. The target investment size is likely achieved through multiple rounds of investment in each portfolio company, with follow-on investments receiving the same level of diligence and scrutiny as initial investments.

TNCV will capitalize on its extensive network of contacts and funding resources to help our companies attract follow-on capital and advance their businesses. Consequently, TNCV structures equity investments which are conducive to follow-on investment and which closely align the interests of owners, employees and investors.