Cote Capital

About The Fund

Cote Capital is a venture capital firm specializing in a unique investment model called IP Capital, which focuses on investing in and scaling companies with breakthrough intellectual property (IP) that defy conventional approaches and have the potential to transform manufacturing and drive economic growth. Established in 2011 with offices in Palo Alto, California, and New York, New York, the firm stands out by emphasizing the funding and scaling of companies that offer greener, more sustainable, and efficient manufacturing of products. By leveraging the asset-backed and dividend-paying nature of their investments, Cote Capital ensures their stakes are secured by tangible assets and IP rights, which also provide their investors with cashflow from company revenues.Cote Capital's investment process involves identifying enabling IP assets that encompass deep science and engineering, leading to high barriers for competitors and sustainable competitive advantages for their portfolio companies. Their approach aims to not only deliver greater economic value but also create jobs, higher wages, and drive broad adoption of innovations. The firm's strategy includes a rigorous underwriting of the company's IP assets, ensuring strong valuation and aligning with durable revenue streams from contracts for sustained growth.Their IP services add another layer of value by providing IP management, technology, and operations support along with a shared technology platform for smart manufacturing, thereby fostering a conducive environment for their investee companies to scale up operations and protect their IP assets. This is complemented by a profit-sharing model 'IP royalty', where Cote Capital receives a portion of the company's revenue, aligning their interests with those of the entrepreneurs and investors and providing a consistent cash yield and a share in future exits.Cote Capital firmly believes in their investment philosophy that long-term gains from investing in true innovation and industrial transformation are both recession-proof and can be a catalyst for manufacturing resurgence in America. They aim to have a lasting global impact with a focus on industries that can benefit from their specialized IP-centric approach, while they commit to delivering solid returns to their investors without traditional investment fees, relying on actual performance.