Primary Ventures raises healthy $625M Fund V to focus on seed investing

Primary Ventures has finalised a $625 million Fund V dedicated to seed-stage investing across the United States — a substantial pool of capital for a firm focused exclusively on early-stage companies. The fund size reflects how dramatically seed and early-stage rounds have grown, particularly amid the rapid expansion of AI-driven startups.

Ben Sun, co-founder and general partner at Primary Ventures, said the firm expects average check sizes for Fund V to range from $5 million to $10 million. Over the next three years, the firm aims to back approximately 40 to 50 companies. Sun also noted that the fund will participate as early as the pre-seed stage.

Although Primary is widely recognised as one of New York’s leading venture firms, its geographic strategy has evolved. The firm initially concentrated much of its activity in New York City, but Sun said that thesis has shifted in response to broader changes in the startup landscape.

While maintaining its focus on early-stage investments, Primary has expanded its footprint to include deals in San Francisco, Chicago, Seattle, Virginia, and Washington, D.C. “The talent, the founder, and the startups are happening everywhere,” Sun said. “The potential outcomes are so much bigger than they’ve ever been.”

He views seed investing as emerging into a distinct asset class, particularly as founder quality and startup ambition continue to rise alongside major technological shifts. With competition intensifying among venture firms to secure high-potential early deals, Sun believes the scale of Fund V strengthens Primary’s position. “I think [a fund of this size] allows you to go in and compete and bring more resources to the table to work with the best founders and opportunities.”

Other venture firms have recently increased their commitments to seed investing as well. Sequoia announced a $200 million seed fund, and Uncork Capital revealed a $225 million seed fund earlier last year.

Although Primary describes itself as a generalist investor, Sun explained that the firm employs sector-focused specialists who focus on specific industries. His own interests include consumer startups, while other partners focus on vertical AI, fintech, healthcare, enterprise software, cybersecurity, and infrastructure. “We pretty much cover probably 80% or 90% of the seed sector activities out there,” he said.

Fund V has already made investments in three companies. Primary’s fundraising trajectory has steadily expanded since its inception: the firm launched in 2015 with a $60 million Fund I, followed by $100 million in Fund II and $150 million in Fund III. It later raised a $275 million fund alongside an additional $163 million opportunity fund.

Among its portfolio companies are AI chip startup Etched, risk management platform Alloy, women’s leadership network Chief, and AI marketplace Dandelion Health. Primary Ventures now manages approximately $1.65 billion in assets under management.