New Mexico’s newest venture capital investment platform, GOS Capital, closed its first engagement to a local startup on October 1, injecting $ 27,000 into esports firm Champria.
While small, this first investment is one of five deals GOS Capital expects to close with local startups this fall, potentially reaching up to $ 150,000 in startup commitments by the end of the year. year, said Scott Goodman, Managing Partner of GOS.
The investment platform, which Goodman started organizing in 2019, starts small by design, allowing GOS to gain experience before raising a formal venture capital fund next year. For now, Goodman pools the commitments of individual investors for each new transaction, with five people contributing funds for the Champria investment.
âWe focus on start-ups, primarily at the seed stage,â Goodman told the Journal. âWe’re going to get a second deal in the next two weeks, probably for around $ 35,000. I expect a few more investors to join with each new trade, allowing investment levels to rise. “
Goodman, 28, has accumulated significant experience since 2015 as Vice President and Head of Acquisitions at Goodman Realty Group, a family business where he researches deals, leads due diligence and generates debt and equity.
After joining the New Mexico Angels investment group a few years ago, Goodman launched GOS to inject more capital into local startups, with nearly two dozen affiliate investors now participating in transactions on a case-by-case basis.
GOS is, for now, a minority contributor in transactions conducted by venture capital funds and other investors. But Goodman hopes to make him a top investor in the future.
âThere aren’t a lot of local investors willing to take the lead right now,â Goodman said. âI want to position future GOS funds to fill this void. It can help the New Mexico startup community a lot.
Indeed, GOS is a minor participant in Champria, which has raised over $ 500,000 to date, including an investment from the Arrowhead Investment Fund at New Mexico State University.
The esports platform went live earlier this year, providing the amateur video game community with an automated place to recruit players, organize teams, and stage matches. Data analysis allows users to track and evaluate performance, said founder and CEO Zeke Chavez.
âIt provides a centralized location for amateur-level teams to come together, view data, grow and improve,â Chavez told the Journal. “We have played over 8,000 games so far, with at least 20,000 players.”
The platform is currently free to use, allowing Champria to expand ahead of launching a subscription model next year, Chavez said.
Globally, esports revenue topped $ 1 billion in 2019. This year it attracted nearly 27 million monthly viewers, according to Insider Intelligence.
Goodman said he believes in the future of esports.
âThat’s why I made Champria the first investment for GOS,â said Goodman. “I think he’s going to get very tall.”