Garber Venture Capital Fund

Overview

Garber Venture Capital Fund is a student-managed venture capital fund at Penn State University, investing in early-stage technology companies. Established in 1999 with a $5 million endowment from Dr. John Garber and his wife Bette, the fund provides MBA students with real-world experience in venture capital investing. Students engage in the venture capital process by enrolling in the Entrepreneurial Finance course, where they evaluate business opportunities and issue funding. Entrepreneurs from several prospective companies pitch their business ideas to the class, and students select the companies that are of greatest interest for investment consideration. They form teams to conduct due diligence on these companies during the 7-week course. At the end of the course, the student teams present their findings and investment recommendations to their peers and vote on which of the companies, if any, warrant an investment of up to $100,000 in aggregate. The decision process includes determining an investment vehicle which is most appropriate (debt or equity), the amount of the investment, and other appropriate criteria. The fund has made 24 investments and has one portfolio exit.

Investment Focus

• Early-stage technology companies seeking seed or early-stage funding in the United States.