#Japan #Tokyo #startups #Partners Fund #Seed Fund

Partners Fund Expands Investment Horizons

Partners Fund, an independent venture capital firm, has established its new investment vehicle, Partners Fund Limited Liability Partnership No. 2, aiming for a total size of 6.5 billion yen. The fund's first closing was successfully conducted in April 2025, marking a new chapter in the firm's investment strategy.

This fund represents the third installment in Partners Fund's lineup, following previous successful ventures. The main focus remains on seed-stage startups, but now the investment strategy has been expanded to include opportunities up to the pre-Series A round. This enhancement allows the fund to not only support early-stage ventures but also to engage in further investments as startups grow and develop.

The Essence of Partners Fund

Partners Fund prides itself on its close relationship with entrepreneurs. The firm is comprised of capitalists who wholeheartedly believe in walking alongside startups throughout their journey. Their commitment extends beyond mere financial backing, as they act as partners in every aspect, from management teams to shareholders. This deep-rooted philosophy aims to provide a sustainable venture capital organization that evolves with the times.

A Brief History

The origins of Partners Fund can be traced back to Full Commit Partners, which was established in 2018 by Yamada after departing from Incubate Fund. With an initial fund size of 580 million yen, Full Commit Partners focused on digital transformation in consumer businesses and legacy industries, successfully investing in 13 companies. In 2022, the name was changed to Partners Fund to better reflect its commitment to fostering innovative value creation through partnerships, resulting in a second fund totaling 1.02 billion yen. The investment horizon expanded to include deep tech, with a total of 20 companies funded.

For the latest fund, three new general partners joined the team: Tanemichi, who previously founded Zeroichi Capital, and Fujii, who specialized in early-stage investments at Mizuho Capital. Together they form an equal partnership with the existing general partners, all of whom share diverse experiences from the entrepreneurial and financial sectors.

Investment Philosophy

The philosophy guiding Partners Fund is clear and impactful:
1. Co-Founder Mindset: The team operates with a business hypothesis in mind, working collaboratively with entrepreneurs as co-founders to establish successful startups.
2. Love for Founders: The firm places immense importance on supporting entrepreneurs through thick and thin, ensuring they have an unwavering ally.
3. Evergreen Commitment: By nurturing the next generation of capitalists and achieving consistently high performance, they aim for sustained longevity in the venture capital landscape.

Investment Strategies

In terms of investment policy, the latest fund will cover pre-seed to post-seed and pre-Series A rounds—an area often lacking investor interest. Partners Fund defines this critical stage as ‘Post-Seed’, allowing them to establish clear investment criteria and anchor their support in solid research. Moreover, their commitment to continuous follow-on investment now provides up to 1 billion yen per startup, aligning support with the growth phases of portfolio companies.

Engagement with Entrepreneurs

To foster collaboration, Partners Fund has launched office hours where startup founders can schedule meetings for advice and discussions. This initiative aims to make the firm readily accessible, ensuring that they remain close partners as startups navigate their journeys.

Upcoming Locations

As part of its strategy to create a robust startup ecosystem, Partners Fund is diversifying its presence across Japan, opening offices in key cities such as:

• - Gotenba Office: 7-22-17 Nishi-Gotanda, Shinagawa, Tokyo
• - Nagoya Office: 1-2-32 Tsuruma, Showa, Nagoya
• - Sendai Office: 4-4-19 Chuo, Aoba, Sendai
• - Shibuya Office (to open in June 2025): 1-7-1 Dogenzaka, Shibuya, Tokyo

In conclusion, as Partners Fund embarks on this exciting journey with its latest investment fund, it strives to cultivate partnerships that drive innovation and long-term success for startups throughout Japan.