Stout Street Capital
ActiveOverview
Stout Street Capital is a Denver-based venture capital firm founded in 2017, specializing in pre-seed and seed-stage investments in early-stage technology companies, particularly B2B SaaS models in sectors like fintech, cleantech, HR, edtech, insurtech, and IT software for construction, government, energy, media, healthcare, and cloud services.123 The firm invests in the US and Canada, excluding San Francisco, New York, and Boston, with check sizes typically ranging from $100K to $500K and reserves for follow-on investments.23 It has managed multiple funds, including Stout Street Capital Fund III closed in July 2024, and completed around 80 investments sourced through conferences like UNMET.13
History
Stout Street Capital was co-founded in 2017 by Clay Gordon and John Francis.12 Clay Gordon focuses on HR, cleantech, edtech, insurtech, and fintech, while John Francis targets IT software in construction, government, energy, cleantech, media, advertising, HR, healthcare, and cloud services.24 The firm launched Value Fund-I, investing in 36 companies by 2018, followed by Value Fund-II targeting post-revenue seed-to-Series A companies valued under $10 million, and Stout Street Capital Fund III closed in July 2024.13
Notable Products
- Stout Street Capital Fund III - Closed in July 2024; early-stage venture fund focused on technology investments.
- Stout Street Value Fund-II - Targets post-revenue seed-to-Series A investments in companies valued under $10 million.
- Stout Street Value Fund-I - Invested in 36 companies by end of 2018 with average initial investments of $100K.
Reputation
Stout Street Capital is perceived as a regional player emphasizing data-driven investments and community-building through UNMET conferences, having evaluated over 10,000 startups and invested in over 65 companies.3 Professionals note its focus on lean B2B SaaS outside major hubs, with partners bringing operator and institutional experience.24 No prominent criticisms appear in available sources, though its scale remains modest compared to larger VC firms.13