Nasir Qadree Launches Large Debut VC Fund

Nasir Qadree's Journey into Venture Capital

Nasir Qadree began his venture capital career six years ago, initially taking a position at Village Capital in Washington, D.C. He subsequently served as an associate director of social investments at AT&T, broadening his experience within the field.

Recent Opportunities and Firm Launch

Qadree recently found himself presented with numerous opportunities to join well-established venture capital firms. Following his decision last year to launch his own firm and successfully securing capital commitments, he attracted interest from investors seeking to incorporate him into their existing organizations.

He acknowledges this interest, stating that firms are keen to explore new avenues for growth through connections with fund managers possessing unique sourcing capabilities. This approach, he believes, could lead to a more diversified investment portfolio.

Commitment to Independence and Equity

Despite these offers, Qadree remained resolute in his commitment to building an independent firm. Venture capital, he asserts, is fundamentally a wealth-creation industry.

As a first-generation college graduate who grew up in challenging circumstances and rose to become president of multiple student organizations at Hampton University, he felt a strong need to maintain control. He explains that relinquishing equity, branding, and innovative ideas was simply not an option.

Zeal Capital Partners' Success

Qadree’s self-belief is demonstrably paying off. His Washington-based venture firm, Zeal Capital Partners, has announced the successful closing of its oversubscribed inaugural fund, raising $62.1 million.

This achievement marks one of the largest funds raised to date by a solo general partner, significantly exceeding the initial target of $25 million.

Focus on Inclusive Investing

The widespread appeal of Zeal’s investment strategy is understandable. The firm concentrates on two rapidly evolving sectors: financial technology and the future of work.

This focus aligns with Zeal’s core thesis of inclusive investing, specifically addressing the significant economic disparities prevalent in the United States through its investment choices.

Portfolio Highlights

Zeal’s current portfolio, comprising five publicly announced investments, provides insight into its investment direction.

For instance, Kanarys, a three-year-old SaaS platform, delivers metrics to assist companies in prioritizing and enhancing their diversity, equity, and inclusion initiatives. Zeal spearheaded its $3 million seed round, alongside contributions from Revolution’s Rise of the Rest seed fund and others.

Furthermore, Esusu, a three-year-old company, automates credit building by reporting renters’ monthly payments to credit bureaus, aiming to improve their credit scores. The app also facilitates pooled savings for large purchases, reporting these transactions to credit bureaus to further enhance credit profiles.

Diversity and Representation

The founders of both Kanarys and Esusu are Black, mirroring Qadree’s own background. However, Qadree emphasizes that Zeal does not exclusively target Black or Latino founders, or women-led teams, although women currently comprise 40% of the portfolio.

While committed to empowering historically underrepresented founders, he clarifies that “being Black does not equate to solely funding Black and brown entrepreneurs.”

Emphasis on Team Diversity

Qadree prioritizes ensuring that teams demonstrate a clear strategy for evolving into more diverse groups if they don’t begin as such. He states that a fintech company aiming to redefine FICO scores with an entirely white team must demonstrate a commitment to diversifying its leadership and acknowledging potential biases.

Geographic Inclusivity

Zeal also prioritizes founders located outside of major tech hubs like Silicon Valley, New York, and Boston. These “secondary markets,” as Qadree terms them, are integral to Zeal’s inclusive investing mission.

The firm aims to create a level playing field, ensuring entrepreneurs in cities like Nashville or Detroit receive equitable access to investment capital, comparable to those from prestigious institutions in established tech centers.

Key Investors and Advisors

Zeal’s new fund is anchored by investments from Truist and Paypal, with additional support from Synchrony Financial, the Skoll Foundation, Foot Locker, DC’s RockCreek, Hampton University Endowment, Southern New Hampshire University, and Gary Community Investment.

The firm also benefits from the guidance of numerous individual investors, including NEA co-founder Frank Bonsal and Wes Moore, the former CEO of the Robin Hood Foundation and current Maryland gubernatorial candidate.

Operating Partners

Qadree has also assembled a team of operating partners, including Rachel Williams, head of equity, inclusion, and diversity at X (Alphabet’s “moonshot factory”), and Kam Syed, a senior sales and business development executive at Amazon.

Pictured above, from left to right: Andy Will, a senior associate with Zeal; Nicole Wardlaw, an analyst with the firm; Nasir Qadree; Nicole West, an executive in residence formerly with Legg Mason; and Jason Green, co-founder of SkillSmart and now an executive in residence with Zeal.