The River Cities Capital Fund has started raising money for its second venture capital fund.
"We've had a very successful run with our first fund," Ted Robinson, a partner with Mayfield & Robinson, the fund's manager, said Friday. "It's a natural evolution to try to parlay those successes into another fund."
River Cities plans to raise $33 million to $55 million from local investors for its newest fund. In all, the target amount for the second fund is about $100 million to $150 million. River Cities would get the additional money - about $100 million - from the Small Business Administration through its Small Business Investment Co. program.
River Cities' first fund has total capital of $45 million, of which $25 million is invested in 18 companies. Mr. Robinson expects that the fund will tap out with about 25 companies this year.
River Cities, Cincinnati's second-oldest venture capital fund that targets individual private investors, made its first investment in early 1995.
It invests two-thirds of its money in Ohio, Kentucky and Indiana companies. Investments cover a range of industries, from mail-order retail businesses to high-tech.
The second fund also will invest in a variety of industries.
