Sarah Smith Fund closes $16M Fund I, doubling down on AI-powered solo VC
Sarah Smith, solo GP and founder of the Sarah Smith Fund, announced the final close of her $16 million Fund I on Thursday. The fund launched in 2022 after a year-long raise, following a $3 million rolling fund.
Smith calls AI a game-changer for solo and next-gen venture firms. She credits AI for slashing hours on startup support tasks, making it easy for a single person to manage a large portfolio. 
Sarah Smith stated:
“Every day I’m dreaming of more ways to support my founders, combining my experience and network with AI,” she said.
“For example, just last week, I led a values articulation project for one of my founders. It took me two to three hours of time when it previously would have taken 20. When you have an AI-native firm that can deliver 10x value in 1/10 of the time, you can scale up a large portfolio with just one person.”
The fund targets around 50 startups, mainly inside the Stanford ecosystem — Smith’s alma mater. Fund I has already backed 17 companies, with average checks of $250K.
Limited partners include Pear VC, Ulu Ventures, and Verdis Investment Management.
Smith leans heavily into Stanford because of its track record.
Smith added:
“It has produced more unicorns and exit value than any other university in the world,” citing Ilya Strebulaev’s research.
“While much of the legacy Sand Hill firms spend most of their time up in SF, 45 minutes north, I’m doubling down on Stanford campus.”
