Primary Ventures just made one thing clear: seed investing isn’t slowing down.
The New York–based venture firm has closed a $625 million fifth fund, its largest yet, doubling down on pre-seed and seed startups even as broader venture markets remain uneven. The capital will be deployed over the next three years, with initial checks ranging from $5 million to $10 million.
At a time when IPO pipelines are thin and late-stage valuations are still recalibrating, Primary is leaning into the earliest phase of company building — where conviction matters more than timing.
A Bigger Fund, Same Early-Stage Focus
Founded in 2015 by Ben Sun and Brad Svrluga, Primary has built its brand around concentrated seed bets rather than high-volume dealmaking. Fund V follows that formula.
The firm plans to back 40 to 50 companies, primarily in AI, fintech, and healthcare — sectors where foundational technology shifts are creating fresh startup opportunities.
Primary now manages roughly $1.65 billion in assets, supported by a 60-person team that provides operational guidance alongside capital. That platform approach — helping founders with hiring, customer intros, and go-to-market — has become a competitive edge in today’s seed landscape.
We closed on $625M to do Seed at Scale during the most exciting time in venture history. https://t.co/Q93MyGx1DY pic.twitter.com/a5QRZ0kKpG
— Jason Shuman (@JasonrShuman) February 10, 2026
Betting on the AI Cycle Early
The raise lands in the middle of a global AI investment surge. While some late-stage investors remain cautious, seed investors are moving aggressively into infrastructure tooling, applied AI, and vertical SaaS plays.
Early-stage firms like Primary can afford longer timelines. They’re not dependent on near-term liquidity events. Instead, they’re positioning themselves for the next wave of breakout companies — particularly those building AI-native products from day one.
That shift matters.
Unlike the 2021 funding boom, today’s founders are building in a more disciplined capital environment. Leaner teams. Faster iteration. Clearer paths to revenue.
Primary appears to be betting that this constraint-driven ecosystem will produce stronger companies.
A Track Record That LPs Notice
According to firm data, roughly one-third of investments from Primary’s first fund reached unicorn status — an unusually high hit rate in seed investing. While such outcomes are rare, they help explain why institutional investors continue committing to early-stage managers with demonstrated sourcing strength.
Performance matters more than ever in fundraising conversations.
Limited partners are looking for managers who can identify durable companies before valuations escalate. For seed funds, that often means deep founder networks and sector specialization.
Primary has spent the past decade cultivating both.
Why This Fund Signals Confidence
The broader venture environment remains bifurcated. Growth rounds are selective. Exit markets are cautious. But early-stage capital is quietly flowing again — especially into AI-heavy categories.
Primary’s $625 million close suggests institutional investors believe the next generation of category leaders will emerge from today’s seed pipeline, not yesterday’s growth unicorns.
It’s also a vote of confidence in New York’s startup ecosystem, which continues to gain ground in fintech and enterprise software alongside Silicon Valley.
For founders, the message is straightforward: capital is available — but it’s going to teams building defensible, long-term businesses.
What Comes Next
With deployment spread across three years, the firm will likely add a dozen-plus new portfolio companies annually. Competition for top AI founders will be intense, particularly as global seed funds expand their check sizes.
But early-stage venture has always been about asymmetric upside.
Primary’s new fund is less about reacting to market cycles and more about positioning ahead of them.
And in today’s AI-fueled startup environment, being early might be the most strategic move of all.