INTRODUCTION TO TGAP VENTURES
TGap Ventures, LLC is a venture capital firm with headquarters in Western Michigan. The firm’s general partners, Jack Ahrens and Pete Farner, have been involved in over 100 growth companies since 1979. They have functioned as lead investor, CEO or senior executive with many of these companies. TGap Ventures focuses primarily on early-stage investments throughout the Midwest, including medical devices, software, specialty manufacturing, Internet, telecommunications, health-care, and other high growth companies.
TGap works closely with its portfolio companies on systems development, senior management recruiting, new customer contacts, strategic partnerships and additional financings. Historically, 11 of the over 30 companies Pete and Jack have worked with in the Midwest have become publicly traded companies. Of the remainder, larger corporations acquired 19 and the balance remain private independent entities.
TGap is in the middle of its investment phase of its second fund. The objective is to invest in approximately 10-12 growth companies over the next several years. After the initial investment, TGap will work with the management to build and develop theses companies over a 5-7 year period.
Unlike many ventures funds, which are primarily funded by institutions, TGap raised a significant portion of its capital from successful business executives and entrepreneurs. Jack and Pete, on behalf of the fund, utilize and benefit from the experience of this unique investor team as they find, develop and exit from 20 to 25 growth companies over the next decade here in the Midwest.
TGap’s typical initial investment in a company is between $500,000 and $1 million, in financings ranging from $1.5-$7 million and typically co-invests with several other venture capitalists.