Max Altman, along with Ben Braverman and Thomson Nguyen, has founded Saga Ventures, a $125 million fund focused on early-stage software startups. Altman, the younger brother of Sam Altman, CEO of OpenAI, had previously invested alongside his brothers in various funds but wanted to branch out and create a new firm. The partners plan to invest around $2 million to $2.5 million across 30 companies, primarily focusing on classic software-as-a-service startups in areas such as work software and fintech.
Saga Ventures aims to differentiate itself by focusing on applications for non-techie customers and solving hard problems that will impact a broader audience. Altman, who previously worked at Zenefits and invested in various startups, believes in building products that cater to businesses across the country. The partners have already made investments in companies like Hadrian, Ramp, and Varda, and are interested in areas such as AI. They plan to lead or co-lead early-stage funding rounds for these startups.
The decision to form Saga Ventures came about after Altman, Braverman, and Nguyen discovered they had complementary skills, networks, and rapport that would make for a successful partnership. They decided on a smaller fund with a concentrated investment portfolio to increase their chances of success. The partners have already proven helpful to startup CEOs by leveraging their expertise and networks to provide support in areas like fintech, setting up sales, and hiring.
Established investors who have worked with Saga Ventures’ partners expressed optimism about the new fund. Khosla Ventures partner Keith Rabois praised Altman’s business acumen, while Founders Fund partner Trae Stephens highlighted Braverman’s contribution to Flexport’s success. Kleiner Perkins partner Ilya Fushman appreciated Nguyen’s experience in launching and selling startups, noting the diverse expertise of the three partners. The partners are confident in their ability to differentiate themselves in the competitive seed funding market.
Saga Ventures represents a significant opportunity for each of the general partners to step into the big leagues of venture capital. Braverman emphasized the importance of liking and trusting one’s co-founders, while Altman expressed his motivation to prove himself alongside partners who are not family members. The partners are driven to compete with their siblings for the best startup investment returns, pushing themselves to excel in the industry. With a focus on building for and in places that Silicon Valley often overlooks, Saga Ventures aims to make a lasting impact on the startup ecosystem.
