Venture Forward Capital

Venture Forward Capital — Research Report Investment Thesis Venture Forward Capital (VFC) is a Chicago-based early-stage venture capital firm that has formalized its strategy around a compelling but focused thesis: serial entrepreneurs with proven exits + vertical AI opportunities = outsized returns. The firm backs experienced, repeat founders who are leveraging applied AI to drive efficiency, improve operating leverage, and fundamentally rewire core business functions across industries. VFC operates under the conviction that "vertical AI is where the biggest opportunities live" — purpose-built solutions that transform entire industries rather than horizontal AI tools competing in crowded, commoditized markets. Their ideal portfolio company is an AI-native solution with defensible intellectual property solving a high-value, specific problem within a well-understood vertical. Fund Overview Fund I (vintage 2022): A sector-agnostic opportunity fund that evolved to focus on serial founders building with Vertical AI. This fund was intentionally broad and allowed VFC to develop conviction around the repeat-founder + AI thesis. Fund II : A formalized, thesis-driven fund specifically targeting repeat founders building Agentic and Vertical AI companies. Fund II sharpens the focus from Fund I — backing founders with technical capability to ship cutting-edge AI products, defensible IP, and capital-efficient scaling discipline. Fund size and AUM are not publicly disclosed. Stage Focus VFC targets early-stage companies at inflection points with asymmetric growth potential. The portfolio spans Pre-Seed through Seed, with occasional Series A follow-on investments. They describe their sweet spot as "early inflection points" where their operational expertise as former founders adds the most value. Check Size VFC has not publicly disclosed its typical check size range. Given their early-stage focus and portfolio profile, check sizes are likely in the $250K–$2M range, consistent with seed-stage Chicago-based funds. Lead Tendency Lead vs. follow tendency is not publicly stated. Given the fund size and their positioning as hands-on operators, they likely participate in rounds alongside other investors rather than leading large rounds independently. Geographic Focus VFC is headquartered in Chicago, Illinois (167 N Green St, 4th Floor, Chicago, IL 60607). Their portfolio spans the US broadly, reflecting a national investment mandate rather than exclusively Chicago-centric investing. They describe themselves as a "Global VC firm" though the majority of known portfolio companies appear to be US-based. Value-Add Platform One of VFC's key differentiators is their operational bench — the team itself is composed of operators turned investors, and they provide a comprehensive suite of founder support: CFO-level financial guidance and modeling (via Josh Yelen, CPA) Go-to-market execution support (via Ohad Tzur, GTM-obsessed founder) Fundraising assistance leveraging their network Talent sourcing and team building Strategic introductions to customers and partners Executive leadership preparation "Function" — a separate platform offering CFO and growth leadership to early-stage startups Team Mike Schatzman, Founder & Managing Partner : Self-described "super connector" and serially exited entrepreneur with 25 years of experience. The founding vision for VFC. Ohad Tzur, Managing Partner : GTM-obsessed founder turned investor with 18 years of SaaS and AI experience. Leads commercial and market strategy. Edward Crump, Chief AI Officer & Venture Partner : Co-founder and inventor of Amazon Alexa, 40+ awarded patents, 30+ years launching breakthrough tech. Provides deep AI technical diligence and guidance. Julie Bevacqua, Chief Platform Officer & Partner : Growth strategist and serial entrepreneur with 25+ years building go-to-market engines in SaaS, FinTech, and InsurTech. Alexa D'Agostino, Chief Marketing Officer : "The Doctor of Marketing" — over $100M in exits, brand launches, and scaling expertise. Josh Yelen, CFO & Partner (CPA) : Financial leader specializing in company scaling and analytical frameworks for portfolio companies. Lauren Murphy, Managing Partner - Fund I : Transaction execution expert with 10+ years in M&A, having completed $5B+ in enterprise software and SaaS deals. Kasra Davar, Analyst : Finance professional with hedge fund, prop trading, and private equity background. Portfolio Highlights VFC has built a 21-company portfolio spanning multiple verticals, reflecting the sector-agnostic roots of Fund I: Zive AI (zive.ai): AI-native fund operating system for emerging VC managers and enterprise CFOs EyePop.ai (eyepop.ai): No-code computer vision platform for image recognition applications Arvist (arvist.ai): Intelligent warehouse automation AI for supply chain optimization Trexity (trexity.com): AI-powered local delivery logistics network Sypher (getsypher.com): AI-powered 3D visualization platform for design and construction Medida.ai (medida.ai): AI-driven construction planning and project management Docvocate (docvocate.com): Healthcare revenue cycle and denial management AI ndaOK (ndaok.com): AI-powered legal document and contract analysis Folk (folk.app): All-in-one CRM platform for sales and recruiting GoTenna (gotenna.com): Communications technology for military and public safety Storyline (storyline.com): AI-powered hyper-personalized video content for financial services Novoloop (novoloop.com): Circular economy platform recycling hard-to-recycle plastics Photon Vault (photonvault.com): Clean energy storage technology BondBloxx (bondbloxxetf.com): Fixed-income ETF platform for precision institutional investors Founder Preferences VFC has a highly specific founder profile: they back repeat founders with proven exits who demonstrate: Deep domain expertise in the vertical they're attacking Technical capability to ship cutting-edge AI products Capital-efficient scaling discipline Ability to find creative solutions in challenging markets First-time founders without prior exits are likely not their primary focus in Fund II. Decision Process With multiple managing partners (Schatzman, Tzur, Murphy), the firm likely uses a partnership model for investment decisions. The broad team structure suggests collaborative diligence, with each partner contributing operational and functional expertise. Anti-Thesis VFC appears to avoid: Horizontal AI tools in commoditized markets First-time founders without exit track records (for Fund II) Capital-intensive businesses without clear AI leverage Non-defensible IP or technology that can be easily replicated