Burnt Island Ventures

What Burnt Island Ventures does

Burnt Island Ventures (BIV) is a U.S.-based venture capital firm founded in 2020 that invests exclusively in early-stage water technology startups. The firm is described as the only venture capital firm in the United States dedicated solely to water technology, with a portfolio spanning water treatment, desalination, distribution, monitoring, and emerging water-for-AI/data-center water-demand applications. BIV operates a multi-fund platform: a Fund II that closed at $50 million in October 2025, a $75 million Growth Fund launched in January 2026, and an earlier Fund I, with Xylem serving as anchor LP across both Fund I and Fund II and a broader base of approximately 150 LPs in Fund II.

The firm has built a proprietary investment platform that extends beyond capital deployment. Core components include the "Burnt Island Five" founder evaluation framework, the WaterBlog, the "The Fundamental Molecule" podcast, a portfolio jobs board, and ongoing ecosystem programming that originates from its lineage with Imagine H2O. The team has grown from two founders to approximately ten professionals, including partners with deep water-domain credentials (PhDs, prior operator experience at Imagine H2O and water utilities). To date BIV has backed 21 or more portfolio companies, 19 of which remain active, with recent disclosed investments including Waterly (Series A, co-lead), Current Software (seed, lead), and CREW Carbon ($25M Series A, lead).

BIV's revenue model follows standard venture capital economics: management fees on committed capital (typically in the 2% range) plus carried interest on fund returns. Customers are institutional and strategic limited partners, with Xylem as a flagship strategic anchor. The firm's go-to-market is fund-raising-led, supported by thought-leadership content, network effects within the global water ecosystem, and visible track record.

Name

Burnt Island Ventures

Legal name

Burnt Island Ventures

Website

https://burntislandventures.com

Company type

Private

Founded year

2020

Operating status

Operating

Headcount range

1–10 employees

Short description

Burnt Island Ventures is a U.S. venture capital firm, founded in 2020, that invests exclusively in early-stage water technology startups. It operates a $50M Fund II and a $75M Growth Fund with Xylem as anchor LP, supporting 21+ portfolio companies globally.

Ownership category

akta.pro rank

Product category

Venture Capital - Water Technology

NAICS

Portfolio Management and Investment Advice (523940)

akta.pro primary industry

Water & Waste / Circular Economy Funds (FSANAJAF)

akta.pro secondary industry

Climate / Clean Tech & Decarbonization Funds (FSANAJAA)

Keywords

• Venture capital investing
• Water technology startups
• Early-stage venture capital
• Climate tech investment
• Infrastructure venture capital

Headquarters

HQ city

San Francisco

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Marketing or Sales, Technology or R&D

Revenue model

1. Fund II Management Fees & Carried Interest: Standard venture capital economics: management fees on committed/invested capital across BIV's $50M Fund II, plus carried interest (performance fees) on realized exits from portfolio companies. Fund II attracted nearly 150 limited partners including global family offices and foundations, with Xylem and WovenEarth Ventures among the backers.
2. Growth Fund Management Fees & Carry: BIV is separately raising a $75M Growth Fund to provide follow-on capital for portfolio companies; this fund will generate additional management fees and future carried interest upon liquidity events.
3. Portfolio Support / Platform Services: Post-investment platform services — including talent network access, founder forums, events, and LP ecosystem connections — provided to portfolio companies as part of the value-add VC offering (not separately monetized).

Pricing tiers

Go-to-market motion4 records

Distribution channels3 records

Marketing channels9 records

Core offering

Burnt Island Ventures is a venture capital firm that finds, funds, and supports early-stage water technology startups through its $50M Fund II (closed October 2025) and a $75M Growth Fund (in raise). The firm invests across water treatment, desalination, distribution, monitoring, AI/data, and water-efficient cooling, with Xylem as anchor LP in both funds. BIV surrounds its capital with a content and community platform (podcast, blog, newsletter, founder forums, jobs board) and a proprietary "Burnt Island Five" founder evaluation framework.

Product overview

Burnt Island Ventures (BIV) operates a single integrated digital platform rather than a multi-product SaaS suite: its website (built on Squarespace) acts as the hub that connects a portfolio showcase ("The Islanders"), the WaterBlog, the "Fundamental Molecule" podcast (distributed on Apple Podcasts and Spotify), the BIV Newsletter, a dedicated events page, and a portfolio-wide jobs board that funnels candidates into a Notion-hosted Talent Network. Layered on top are lightweight onboarding modules — a Founder Registration Form and an Investor Registration Form — that capture deal-flow and LP leads. The firm's core commercial offering is its venture funds (Fund I, the $50M Fund II closed October 2025, an Opportunity Fund, and an in-raise $75M Growth Fund) which deploy capital into early-stage water technology startups; the digital platform above exists primarily to source, support, and signal around those investments.

Differentiator

Problem solved

Functional benefit

Products and services

• Burnt Island Ventures Fund II Seed-stage water technology venture fund that deploys capital (via equity, SAFE, convertible, and priced rounds) into early-stage startups addressing water treatment, desalination, distribution, monitoring, AI/data, and water-efficient cooling, with Xylem as anchor LP. Closed at $50M with nearly 150 LPs.
• Burnt Island Ventures Growth Fund Growth-stage water technology venture fund providing follow-on capital to BIV portfolio companies moving past the seed stage, with a $75M target raise and Xylem as anchor LP.

Quantifiable outcome

• Fund II closed at $50M with ~150 LPs
• +3 more outcomes

Named customers6 records

Segments4 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration3 records

Feature5 records

Partnerships

Five partnerships are on record, tiered flagship and minor.

• Imagine H2OflagshipStrategic or Co-development PartnerDeep ecosystem relationship: BIV founder Tom Ferguson led Imagine H2O's programming portfolio from 2015, building it into 3 global programs vetting 500+ startups/year. Several BIV portfolio companies (TeamSolve, SewerAI) were sourced via Imagine H2O. Steve Kloos is a longtime advisor to Imagine H2O.
• World Water-Tech Innovation SummitminorStrategic or Co-development PartnerBurnt Island Ventures is a featured speaker/panelist alongside Aqualateral, Emerald Technology Ventures, Mazarine Climate, The European Water-Tech Accelerator, and Xylem Innovation Labs at the World Water-Tech Innovation Summit.
• Confluence PhilanthropyminorStrategic or Co-development PartnerSelected as one of six Confluence Philanthropy Emerging Managers in 2022 (pilot program with ImpactAssets), gaining Affiliate Advisor membership and access to Confluence programming/networking.
• ImpactAssetsminorStrategic or Co-development PartnerBIV is named to the ImpactAssets 50 (IA 50) list of impact investment fund managers for 2022, 2024, and 2025, providing third-party validation and visibility to impact-focused LPs.
• Sightline ClimateminorStrategic or Co-development PartnerBurnt Island Ventures is referenced in Sightline Climate's Water Sector Compass as one of the dedicated water-tech funds — alongside Echo River Capital — building the investment case for water.

Scale indicators9 records

Recent moves6 records

Expansion highlights6 records

Direct peers

• Imagine H2O: Water-focused accelerator that sources and supports early-stage water startups globally. BIV founder Tom Ferguson built Imagine H2O's programming portfolio and several BIV portfolio companies originated through its pipeline, making it the closest pipeline and ecosystem peer.
• XPV Water Partners: Specialist water-focused growth equity fund investing across the water value chain. BIV advisor Debra Coy is a former XPV Partner, and XPV is a directly comparable specialist water investor at a later stage than BIV.
• True North Venture Partners: Venture firm investing in water and energy technology with operating expertise from former industry executives. BIV Partner Steve Kloos was a Partner at True North, and the firm is a directly comparable specialist in the water/energy cleantech VC niche.
• Echo River Capital: Dedicated water-tech venture fund referenced alongside BIV in Sightline Climate's Water Sector Compass as one of the few specialist water investors — directly comparable in thesis and stage.
• Emerald Technology Ventures: Global water and industrial technology venture investor; co-led Waterly's $4M Series A alongside BIV and is a co-investment partner with overlapping water-tech deal flow.

Broad incumbents

• Xylem Innovation Labs: Corporate venture and innovation arm of water-technology major Xylem, which is anchor LP in both BIV funds. It invests broadly across water and adjacent verticals and provides strategic validation, pilots, and acquisition paths for portfolio companies — overlapping with BIV's downstream capital role.
• DCVC (Deep Capital): Deep-tech venture firm investing in water, energy, and biotech among other science-driven verticals. Overlaps with BIV at the AI/water-data and advanced-materials intersection and competes for growth-stage water deals.

Regional players

• Aqualateral: Water-focused investment platform featured alongside BIV at the World Water-Tech Innovation Summit, with comparable early-stage water-tech investment activity in complementary geographies.
• Mazarine Climate: Climate- and water-focused investment platform featured alongside BIV at the World Water-Tech Innovation Summit, comparable in category focus but distinct in geographic and LP base.

Emerging players

• The Engine Ventures: Venture firm backing tough-tech and climate founders; BIV advisor Colleen Calhoun is an Operating Partner at The Engine, and the firm has overlapping interest in deep-tech water and climate solutions.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• Xx.com/BurntIslandVC
• LinkedInlinkedin.com/company/burnt-island-ventures

Revenue estimate

Valuation estimate

Number of profiles

Profiles14 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments30 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Burnt Island Ventures