JFF Launches JFFVentures Fund II to Support Employment Tech Innovations

Key Takeaways

• JFFVentures Fund II has been launched with a target of $50 million, supported by major foundations and organizations, to invest in startups focused on improving economic mobility for workers in low-wage jobs.
• The fund aims to invest in 30 to 35 pre-seed and seed-stage startups, with initial check sizes between $250,000 to $1 million, with the ability to lead rounds.
• The fund will prioritize economic advancement for underrepresented populations, with commitments to diversity and social impact goals embedded into their operations.
• JFFVentures is aiming to avoid the traditional challenges faced by impact funds, leveraging its wide network including government, corporate, education and nonprofit partners.
• The fund's mission is to be the top choice for entrepreneurs at the intersection of innovation and impact, with a focus on meaningful, measurable outcomes towards growth.

News Content

Jobs for the Future (JFF) has revealed the launch of its second fund, JFFVentures Fund II, aiming to raise $50 million to support innovative employment tech. The fund, with initial backing from the Autodesk Foundation, the Workday Foundation, and the American Council on Education, will focus on HR, education, and workforce solutions targeting economic mobility for workers in middle to low-wage jobs. JFFVentures Fund II plans to invest in 30 to 35 pre-seed and seed-stage startups, reserving funds for follow-on investments into successful ventures.

The impact-focused VC fund landscape in the U.S. is growing, with JFFVentures Fund II aiming to address challenges unique to such funds, like measuring real-world impacts and limited track records. The fund plans to leverage JFF's community connections and expertise, emphasizing the importance of diversity and economic advancement for underserved populations. With commitments to diversity embedded in its fund documents, the fund aims to balance social impact goals with investment returns, inspired by the performance of its inaugural fund.

JFFVentures envisions itself as the gold standard for nonprofit-private partnerships, aiming to amplify innovation and impact, and become the go-to destination for entrepreneurs building at the intersection of innovation and impact, with meaningful, measurable outcomes towards growth.

Analysis

The launch of JFFVentures Fund II signals a direct response to the growing need for innovative employment tech, driven by the challenges faced by workers in middle to low-wage jobs. Backed by influential organizations, the fund's focus on HR, education, and workforce solutions reflects a long-term commitment to economic mobility. In the short term, it will provide valuable support to startups, while in the long term, it aims to address social impact goals and generate investment returns. As impact-focused VC funds continue to grow, JFFVentures Fund II's emphasis on diversity and economic advancement sets it apart, signaling a possible shift in the landscape towards more socially conscious investing.

Do You Know?

• JFFVentures Fund II: A $50 million fund launched by Jobs for the Future (JFF) to support innovative employment technology. It aims to invest in 30 to 35 pre-seed and seed-stage startups focused on HR, education, and workforce solutions targeting economic mobility for workers in middle to low-wage jobs.

• Impact-focused VC Fund: A venture capital fund that focuses on making investments in companies with the intention of generating specific social or environmental effects alongside financial returns. JFFVentures Fund II aims to address challenges unique to such funds, including measuring real-world impacts and limited track records.

• Nonprofit-Private Partnerships: JFFVentures aims to be a gold standard for partnerships between nonprofit organizations and private entities. These partnerships seek to amplify innovation and impact, aiming to become the go-to destination for entrepreneurs building at the intersection of innovation and impact.