Grammy Award-winning artists the Chainsmokers expect to invest $50 million in startups, with a newly fashioned agency, Mantis. Musicians Alex Pall and Drew Taggart, who have been already investing in startups with their very own private capital, are elevating a enterprise fund.
The duo mentioned that the pandemic will give them extra time to concentrate on investing. “This is the first time in eight years we’ve had the opportunity to kick back and really focus on other things,” Pall mentioned.
The two started fundraising earlier than the pandemic. Taggart mentioned that initially, “all the uncertainty was definitely intimidating” for restricted companions. They’ve since been in a position to line up household workplaces to be a part of the fund, however Pall acknowledged that “anyone who is saying this is the best time right now would be lying.”
These influential people are sometimes in a position to acquire entry to aggressive enterprise rounds at corporations, in half due to their followers. The Chainsmokers have collaborated with artists together with Halsey and Coldplay.
Pall and Taggart mentioned that they plan to use their community to assist their portfolio corporations and also will take a hands-on funding strategy. They mentioned their expertise launching a band helps them relate to founders.
“Starting the Chainsmokers isn’t unlike building your own business,” Pall mentioned. The two even have their very own founder background, launching a concert-related startup, Yellowheart.
Although it’s a troublesome time for startups in the live-entertainment enterprise, Mantis is searching for investments that may do effectively in the pandemic and past.
One of its first investments is in Loansnap, a mortgage lending startup. Mantis is co-leading the $10 million funding with True Ventures.
“Interest rates are going to historical and unprecedented lows,” mentioned Taggart, about one of many causes they invested in Loansnap, which is led by serial entrepreneur Karl Jacob. Loansnap had beforehand raised $17 million, in accordance to PitchBook.
The pair beforehand invested in Ember Technologies, which makes temperature-controlled drinkware. Mantis plans to invest in different startups in monetary know-how, client and media classes.
The Chainsmokers aren’t deterred by the present financial panorama. “This time allows people to rethink the way things are done,” mentioned Taggart.