Nuevo Labs

Nuevo Labs Ventures is an investment group that seeks to invest in portfolio companies in emerging domestic markets. NLV focuses on early-stage tech-oriented companies that target underserved markets in high-growth consumer sectors with compelling value propositions, sustainable competitive advantages and demonstrable market proof. NLV seeks to generate superior returns for its partners, as measured against Thomson Venture Economics industry benchmarks, through the pursuit of undervalued opportunities within specific high-growth sectors in emerging domestic markets. NLV is based in Chicago, Illinois and seeks to discover and invest in portfolio companies in select metropolitan areas nationwide, such as San Francisco, Los Angeles, New York and Chicago.

Market Focus
NLV focuses on the large-scale shift in US demographics and the emerging consumer class with $2.7 trillion in buying power. Emerging domestic markets (EDM) refers to businesses owned by ethnic minorities or businesses targeted at multicultural consumer markets. The EDM asset class offers attractive investment opportunities that yield financial returns which have been shown to outperform general market returns. According to the National Association of Investment Companies (NAIC), EDM-oriented investments funds had a median net internal rate of return of 15.2% from 1998 to 2011, compared with 3.7% for traditional investment funds. Studies by the Milken Institute have found EDM firms to be growing at three times the rate of non-EDM firms, and industry analysts forecast this trend to continue over the long term. Additionally, recent Kauffman Foundation entrepreneurial activity data has shown the focus of new EDM firms increasingly shifting towards high-growth and technology oriented industries. Through its management team and proprietary business networks, NLV has established itself as the leading investment group to companies that target the tremendous growth opportunities within emerging domestic markets.

Investment Focus
Within emerging domestic markets, NLV seeks sector diversification and risk mitigation with emphasis on investments in companies consistent within the following sector preference including:

Financial Services – Remittances, unbanked consumers, fin tech
E-Commerce & Retail – Mobile commerce, SMB platforms, analytics
Consumer Tech – Mobile, social, and gaming technology
New Media – Digital signage, multimedia, interactive marketing

Investment Criteria
NLV targets early-stage companies where technology can be leveraged to accelerate customer acquisition, with significant growth and profitability characteristics within emerging domestic markets. The companies must have compelling value propositions, sustainable competitive advantages and demonstrable market proof.

Target companies must be capital efficient with high growth potential and low overhead. These companies must be pursuing large market opportunities and have the ability to scale quickly. The companies fulfill a known need or create a foreseeable demand in the market. Companies must be based in the United States.