Where Capital Meets Transformation
We invest in real-world businesses and scale them with AI-forward strategy.
Where Capital Meets Transformation
We invest in real-world businesses and scale them with AI-forward strategy.
How We Work
We Start with Substance
We Build Lasting Alignment
We Start with Substance
We begin with fundamental insight into business drivers, margins, and growth opportunities through technology.
We Move with Conviction
We Build Lasting Alignment
We Start with Substance
Our team applies deep investing, operational, AI, and industry expertise to make fast and clear decisions.
We Build Lasting Alignment
We Build Lasting Alignment
We Build Lasting Alignment
We aim for enduring partnerships built on shared vision, not short-term gains or control shifts.
Our Investment Thesis
Private Equity in the Lower Middle Market
We invest in mature, profitable companies led by experienced operators, with a particular focus on those based in North America. Our edge lies in applying AI and other advanced technologies to unlock operational efficiency, expand margin, and fuel new growth trajectories.
We target industry sectors where technology is historically underutilized and the potential for value creation is high, including Industrials (Construction, Manufacturing, etc.), Life Sciences, and Digital Infrastructure.
Our investment model is grounded in partnership. We move with transparency, act with alignment, and seek to create lasting value for both our limited partners and the CEOs we back. We only invest when there is a clear opportunity for technology to increase enterprise value in a meaningful and measurable way.
Click on the image to see our work with Dextall
The Capital Intelligence Platform
Know where you stand. See what’s next. Raise with confidence.
Raising capital is one of the most important decisions a company can make; but too often, founders are left guessing. There’s no clear benchmark, no shared language, and no easy way to know whether now is the right time to raise or what kind of capital makes the most sense.
That’s why we’re building the Capital Intelligence Platform: a strategic decision-making tool for growth-minded CEOs.
It starts with the Investor Readiness Report, a free snapshot that scores your company using the same criteria institutional investors apply across seed, venture, growth equity, and private equity. Through a rich and insightful 4–6 page report, you’ll know where you stand and what investors are likely to see when you walk into the room.
But that’s just the first step.
Soon, the platform will allow you to:
- Monitor how your investor readiness evolves over time
- Run what-if scenarios to model growth, burn, margin, valuation, and dilution impact
- Compare your progress to others at your stage or in your sector
- Connect your financial system to generate live metrics and cash insights
- Unlock the Strategic Finance tier (a virtual CFO experience that helps you manage complexity, optimize capital strategy, and make smarter decisions as you scale)
Your position on the Capital Maturity Spectrum isn’t static; it’s a signal, a map, and a strategy. Our goal is to help you use it to grow smarter, time your raise well, and get in front of the right capital partners at the right moment.
And when you’re ready, we’ll help you connect, starting with our team at Y Capital, and expanding to a broader network of curated angels and institutional partners.
Try It for Yourself
We’re currently running the the first stage of the Capital Intelligence Platform in beta. You’ll receive a personalized Investor Readiness Report built from your company’s data, with insights grounded in how real investors evaluate companies at your stage.
No cost. No pressure. Just perspective.
Fund 1
Fund size: $100 million
This inaugural fund is designed to make five concentrated investments, averaging $20 million each. We are focused on companies like Dextall: established businesses in traditional sectors with real traction, strong profitability, and clear, near-term opportunities for value creation.
Each investment will target situations where technology can unlock significant operational gains and long-term enterprise value.
Terms
- Min Commitment: $1M over 4-5 years
- 1-2% fee (declining overtime), 20% carried interest
- Co-investment Rights: unlimited but pro-rata when oversubscribed
- Initial Close: June 1, 2026
Targets
- Revenue: $20-$100 million
- EBITDA: positive
- Industry Focus: See our thesis above.
A Note from Our Founder, Eric Vest
A Convergence
Three major chapters came together to create Y Capital.
Until 2021, I was a software entrepreneur. I started, grew, and exited multiple companies, including an AI firm that ultimately failed during the pandemic. Most of my work focused on manufacturing, clinical trials, and pharma R&D.
In 2021, I stepped away from operating and moved into private equity. I’ve worked closely with deal teams at several large firms, including Warburg Pincus, and developed a strong perspective on how to enhance value creation through technology enablement.
For over a decade, I’ve also been deeply involved in a unique community of CEOs. Out of respect for its members, I won’t name it here, but it has shaped how I think, lead, and invest. I was honored to serve as the leader of its 10,000-member entrepreneur group.
These three paths came together in 2023 and gave rise to Y Capital, a firm built at the intersection of software, private equity, and real-world operators. Alongside our investment activity, we’re building the Capital Intelligence Platform: a tool to help CEOs understand where they stand, how they’re progressing, and when they’re truly ready to raise. The Platform also has an added benefit of providing our financial colleagues and partners with highly accurate deal flow.
Our first investment is already complete, and we’re now raising our first fund to move quickly on what comes next.
It’s an exciting new chapter, and I’d be thrilled to have you along for the journey.
Thank you,
Eric