What Step Function does

Step Function VC is an early-stage venture capital firm founded in 2023 by Will Lehmann, who previously spent a decade as a Partner at Bain Capital Ventures (BCV) investing in early-stage enterprise software. The firm provides first-money capital to technical founders building enterprise infrastructure software, with stated core focus areas in data/AI infrastructure, cybersecurity, and developer tools. Step Function is structured as a single-fund, single-GP vehicle, and the GP explicitly positions the firm as combining the institutional quality and domain expertise of a lead investor with the velocity, accessibility, and direct relationship of a super angel.

The firm does not develop or sell proprietary technology. Its core product is the investment fund itself, augmented by hands-on founder support services including domain mentorship, customer introductions, candidate introductions, and fundraising preparation. The GP's stated value proposition rests on Day 1 impact, a trusted advisor relationship at the cap table, and a well-connected network. Founding-era portfolio companies include Quotient AI, Electric SQL, Zep, Lunar.dev, SLNG AI, Geordie AI, Pavo AI, Zephyr Cloud, Unkey, Nebulock, Proofs, Embucket, Datum, and Saola AI, with multiple companies in the AI infrastructure layer.

Step Function generates revenue through standard venture fund economics: management fees on committed capital and carried interest on successful portfolio exits. The firm does not disclose fund size, AUM, management fee rate, or performance metrics. Its go-to-market is community-led and referral-driven, with the GP encouraging technical founders who are considering starting something to reach out directly. The firm operates as an independent, founder-owned partnership with no parent company, with a global investment scope and no disclosed geographic restrictions.

Name

Step Function

Legal name

Step Function VC

Website

https://stepfunction.vc

Company type

Private

Founded year

2023

Operating status

Operating

Headcount range

1–10 employees

Short description

Step Function VC is an early-stage venture capital firm founded in 2023 by Will Lehmann (formerly a Partner at Bain Capital Ventures) that provides first-money investment and hands-on operational support to technical founders building enterprise infrastructure software, with focus areas in data/AI infrastructure, cybersecurity, and developer tools.

Ownership category

akta.pro rank

Product category

Venture Capital / Early-Stage Investment Management

NAICS

Other Investment Pools and Funds (5259), Portfolio Management and Investment Advice (523940), Other Financial Vehicles (525990)

SIC

Investment Advice (6282)

akta.pro primary industry

Micro-VC & Angel Funds (FSANAAAI)

akta.pro secondary industry

Sector-Focused Venture Capital (Vertical Specialists) (FSANAAAD)

Keywords

• Venture capital fund
• Early-stage investments
• Enterprise infrastructure software
• Startup founder support
• Data and AI infrastructure

Headquarters

HQ city

Boston

HQ country

United States

HQ region

North America

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations

Revenue model

1. Fund Management and Carried Interest: Step Function VC generates returns through carried interest on successful portfolio company exits. As an early-stage venture fund, the firm earns returns by identifying and supporting technical founders building enterprise infrastructure software, with the goal of achieving significant returns upon portfolio companies' liquidity events.

Go-to-market motion1 record

Distribution channels1 record

Marketing channels1 record

Core offering

Step Function VC operates a single early-stage venture capital fund that deploys first-money institutional investments into technical founders building enterprise infrastructure software, with core focus areas in data/AI infrastructure, cybersecurity, and developer tools. The fund pairs capital with hands-on founder support including domain expertise, customer and candidate introductions, investment narrative collaboration, and fundraising preparation.

Product overview

Step Function VC is an early-stage venture capital fund focused on enterprise infrastructure software. It is a single fund vehicle providing investment capital and operational support to technical founders. The firm does not offer a multi-product platform; its core offering is its investment fund and associated founder support services including domain expertise, network access, and fundraising guidance.

Differentiator

Problem solved

Functional benefit

Products and services

• Step Function VC Fund An early-stage venture capital fund that provides first-money institutional investments to technical founders building enterprise infrastructure software companies, with core focus areas in data/AI infrastructure, cybersecurity, and developer tools. The fund pairs capital with hands-on founder support including domain expertise, customer introductions, candidate introductions, and fundraising preparation.

Segments1 record

Ideal customer profiles1 record

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Recent moves4 records

Expansion highlights4 records

Direct peers

• Zetta Venture Partners: Zetta Venture Partners is an early-stage fund focused specifically on data and AI infrastructure companies. Its vertical specialization in data/AI infrastructure overlaps tightly with one of Step Function's three core focus areas.
• Boldstart Ventures: Boldstart is a seed-stage venture fund that has been investing in enterprise infrastructure for over a decade. Its focus on day-one enterprise software founders and emphasis on being the first institutional check make it a direct comparable to Step Function's first-money enterprise infrastructure thesis.
• Unusual Ventures: Unusual Ventures is an early-stage fund focused on enterprise software and the Future of Work, with an emphasis on hands-on founder support from operators. Its hands-on, founder-first orientation parallels Step Function's positioning.
• Work-Bench: Work-Bench is an early-stage venture firm focused on enterprise infrastructure software, headquartered in NYC. It writes seed and Series A checks into enterprise infrastructure startups — a near-identical mandate to Step Function's enterprise infrastructure focus.
• Root Ventures: Root Ventures is a seed-stage fund focused on technical founders building enterprise infrastructure and developer tools. Its technical-founder-first, infrastructure-focused mandate directly mirrors Step Function's positioning.
• Susa Ventures: Susa Ventures is an early-stage fund investing in enterprise software, with deep focus on infrastructure and data. It is one of the closest direct comparables in size and vertical mandate to Step Function.
• Lattice Partners: Lattice Partners is an early-stage venture firm focused on enterprise infrastructure and dev tools. Its size, sector focus, and stage preference make it a closely comparable peer in the same micro-VC tier as Step Function.
• Eniac Ventures: Eniac Ventures is a seed-stage fund investing in enterprise software, mobile, and infrastructure. Its stage and sector overlap with Step Function's enterprise infrastructure mandate make it a relevant comparable peer.

Broad incumbents

• Bain Capital Ventures: Bain Capital Ventures is the multi-stage venture arm of Bain Capital, where Step Function's GP previously spent a decade as a Partner. It operates across stages and broader sectors but shares the enterprise-software investing DNA that informs Step Function's thesis.
• First Round Capital: First Round Capital is a well-known seed-stage fund with a broad portfolio spanning consumer and enterprise, including infrastructure. While larger and more diversified, it competes for many of the same technical-founder, first-money deals that Step Function targets.

Market position

Strengths5 records

Weaknesses4 records

Competitive moat3 records

Key risks5 records

Key highlights5 records

Customer concentration

Revenue estimate

Valuation estimate

Number of profiles

Profiles1 record

Funding overview

Funding rounds

Investors

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

M&A

Investments1 record

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

Frequently asked questions about Step Function