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Zypsy , a design firm with a track record of helping early - point startups , has launched a Modern and somewhat unparalleled speculation investment program .
It will be offering 10 startups up to $ 100,000 of marque and intersection figure service of process , spanning 8 to 10 calendar week of meshing , for no cash payment . alternatively startup will give by issuing Zypsy 1 % equity of their companies via a SAFE ( simple agreement for succeeding equity ) . There is one potential gotcha : If a startup needs more work than outrun that cap , it will require to pay up for it . “ After the initial 8 to 10 week program , we work on a servant with cash depending on the further task needs , ” Kaz Tamai , co - founder and CEO of Zypsy , secernate TechCrunch .
This character of work - for - fairness placement is n’t unheard of , particularly in the design populace , but Zypsy has special bona fides . Its founding squad come from global design house and tech companies , includingIDEO , Fantasy , Meta , andSaatchi & Saatchi . The company is profitable , with an yearly revenue run rate of $ 3.2 million and $ 250,000 in annual net cash flow , the party says .
Zypsy can help startups with brand scheme , logotype , websites , product pattern , app port and marketing cognitive content . The outfit believes that a newcomer startup can scale up and rise from abstruseness by combine invention expertness and investment support .
The startup plans to work with 10 startups for the coming design working capital age bracket , Tamai said , tally that it mainly works with former - phase startups via selective referral from founder or venture capitalist . It focuses on industries such as compute base , motorcar learning , AI , data analytics , cybersecurity , and the creator economy .
“ Fundamentally , all startups are appraise on four things : market , squad , product , and traction ; and founders are stretch thin , wearing many lid and try Washington to labour those four elements , ” Tamai said .
Zypsy has already lend five startups to the first cohort of the purpose capital program ( listed in alphabetical order ):
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Pilot projects with over 25 startups for three years
The six - year - old excogitation company has operate with more than 25 startups . The outfit ab initio began the design projection for web3 founders . chip in the interest it generated from the first client , Zypsy extend the program to a broader range of tech companies , Tamai told TechCrunch .
Before set in motion its prescribed Design Capital Program , its previous guest via fender trial includedCortex , a startup buildingan internal developer portalthat helps technology teams make better software system at scale;Captions , an AI - power video editing inauguration ; andRobust Intelligence , an AI startup that helps commercial enterprise protect their AI role model from security measures and operational risks ; andAnyplace , a hospitality inauguration .
Zypsy does not own stakes of the clients via pilot projects , Tamai noted . “ They are ‘ cash - based clients , not an ‘ equity - based portfolios ’ like five ship’s company we mentioned in the first design chapiter program , ” he said .
At the moment , the company does n’t have programme to arise into an accelerator or an investment firm , Tamai noted . “ Our mission is to better half with exceptional beginner and collaborate towards the next $ 1 billion in delta economic value , or valuation increment , through creative excellency , ” Tamai said .
In 2023 , Zypsy raised $ 3 million to set up Design Capital . Investors included1kx , Lattice , founder from Nipponese e - commerce society Mercari and web3 company Cega , angel investors like CDO at Rakuten , and the head of investment at SoftBank Vision Fund .
