Diamond Ventures Funds,LP

United States of America

Last updated 13 May 2020, by Impactyield.

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DV will operate as a $200 million debenture-type Small Business Investment Company (“SBIC”) licensed by the U.S. Small Business Administration (“SBA”). By raising $100 million in private capital, we will leverage $100 to $150 million of low cost Debentures issued by the SBA. DV will invest in and lend to highly qualified management teams who primarily are veterans, minority and women led located in under-served regions.

We will invest $3-5MM in companies that sale to corporations and government via diversity and set-aside programs. Investments will be opportunistic.

The Fund will focus on minorities, women, and veterans. The Fund will use loans, mezzanine, subordinated debt, and debt structures with equity kickers and PIK. The Fund will invest with equity 20% of the time.

SBA has notified DV that will it will be on the agenda to be licensed in December 2013.

Financial description

By using senior and subordinated debt and mezzanine capital, Diamond will partner with outstanding management teams to enhance value by using our vast relationships, board governance, equity kickers, enhancing cash flow to emphasizing growth and near term impact.
The businesses targeted for investment will have a significant percentage of their equity owned by racial or ethnic minorities, veterans and/or be located in, or hiring from, low- and moderate-income or ethnic communities. The Fund’s intends to finance ethnic minorities and veterans who conduct, or potentially could conduct, substantial business with the U.S. government and corporations using preferential purchase programs, GSA schedules, 8(A) provisions, and diversity commitments such as Walmart’s commitment to spend $20 billion over five years in this sector. Ideally, the Fund will coalesce its strategy around “clusters” of companies and customers to augment its strategy.
The Principals will pursue a value-based investing strategy. They will orchestrate a hands-on, value-added approach to improving the underlying business, setting a portfolio company on a more rapid growth trajectory and often guiding a business to market leadership. In addition, the Principals have significant experience working with management to consummate strategic acquisitions and alliances, including the formation of international joint ventures with strategic customers and suppliers.

12 years

of track record


the year funded

250,000,000 USD


SDG goals

SDG targets

Affordable and sustainable transport systems

Double the improvement in energy efficiency

Expand and upgrade energy services for developing countries

Increase aid for trade support

Increase access to financial services and markets

Key performance indicators

Fund overview

Asset manager: Diamond Ventures Funds Management

Product track record: Fund has 12 years of track record

Target IRR: 15%

Committed Capital: 50,000,000 USD (US Dollar)

Target return category: Risk-adjusted market-rate of return

Fund domicile:

Product status:

Style/Stage: , ,

Inception year: 2011

Vintage year: n.a.

Target region: , , ,

Target close date: 01/01/2014

Product term: 10 years

Assets under management: 250,000,000 USD (US Dollar)

Investment size: Min: 1,000,000; Max: 15,000,000; Avg: 5,000,000

Co-investment policy: ,

Currency of investments:

Currency for fund / product figures:

Fund investments to date: 0

Fund investments to date exited or repaid: 0

Management fee: 2%

Carried interest: 20%

Hurdle rate: 8%%

GIIN Investors' Council Investment: Yes

Limited Partners / Investors: Calvert Foundation, Community Reinvestment Fund (CRF), American Samoa Government, Aimpoint Trust

Limited Partner / Investor Type: Development Finance Institution (DFI), Other Institutional Investors


E-mail: epeek@dvfcap.com

Website: http://www.dvfcap.com

Phone number: 202-294-6496

If you wish to have your details removed from this database please email gdpr@impactyield.com

C. Earl Peek

Founder and Managing Partner

Earl Peek

Founder and Managing Partner

Lonnie Saboor

Senior Partner

Impact Performance


Impact thesis

Diamond will achieve true impact by investing in and lending to traditionally underserved sectors. We recognize that veterans, minorities and women play a vital role in the economy and that companies in underserved markets can provide substantial investment returns and meaningful impact via job creation, business expansion, and business growth. Many studies note that minorities will become a majority of the population in 10 to 30 years. Immigration and changing demographic trends in the U.S., in addition to the large number of Ethnic Minority or LMI Businesses yield advantages and impact due to their location, minority, or veteran certification.
The vast majority of minority and women managed firms lack sufficient capital to obtain contracts from government agencies and permanent capital to grow and expand. Diamond will be a model for other venture firms to focus on this highly neglected sector. The Minority Business Development Agency (MBDA is striving to generate $4.5 billion in contracts and capital for fiscal 2012. This is just a portion of all the Federal contracts awarded to minority businesses each year. The #1 issue noted in every report is access to capital. Diamond will be a ready resource to the most promising firms to stabilize and grown their businesses and hire new employees.
The US federal government has integrated veterans’ incentives in numerous tax, job incentives. The Fund intends to increase veterans employment.

Impact Management


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