Solo GP Ashley Smith Closes $25 Million Second Fund to Back Startups in AI Infrastructure, Cybersecurity, and Developer Tools

Vermilion Cliffs Ventures, the early-stage venture capital firm founded and led by operator-turned-investor Ashley Smith, announced on Wednesday that it has successfully closed its second fund at $25 million. The milestone represents a significant expansion of the firm’s resources and underscores growing confidence from investors in a model that stands out in the venture capital industry: a solo general partner (GP) structure led by a woman, with a sharp focus on deep technology and hands-on founder support.

Founded in 2023, Vermilion Cliffs Ventures was established with a clear mission: to invest in and support technical founders building solutions for engineering, security, and development teams. With Fund II now fully capitalized, the firm doubles its available investment capacity, setting the stage for broader and deeper engagement in sectors that are becoming increasingly critical to the global technology landscape.

Rapid Fundraising and Strong Investor Confidence

One of the most notable aspects of this new fund is how quickly it came together. According to Smith, the entire fundraising process took just four months, a remarkably short timeline for a second fund, especially amid shifting market conditions that have made raising capital more selective for many firms.

A key driver behind this speed was the strong support from existing backers. Smith confirmed that the vast majority of the capital raised came from limited partners (LPs) who had already invested in her debut fund, a sign of trust built on performance and transparency. “Having our original investors return and increase their commitments means more to me than any new money could,” Smith told TechCrunch. “It validates that our approach works and that we are delivering what we promised.”

Vermilion Cliffs’ first fund, closed in 2023 at $13 million, invested across 35 early-stage companies, establishing a solid foundation for the firm. Its portfolio includes notable names such as Keycard, a cybersecurity startup focused on identity and access management, and CopilotKit, a platform building infrastructure to help developers integrate AI capabilities into their applications. Both companies have already demonstrated strong early traction, helping to prove the firm’s investment thesis and attract further interest from the market.

Investment Strategy: Focus, Stage, and Scope

With Fund II, Vermilion Cliffs Ventures will continue to operate in the pre-seed and seed stages, where founders often need the most hands-on guidance alongside capital. The firm plans to deploy initial investment checks ranging from $500,000 to $1 million, a meaningful increase from the average size of its first fund, allowing it to take more significant positions and support companies through their earliest phases.

Over the next two and a half years, the team aims to build a portfolio of at least 25 new startups. Even before the fund was officially announced, Smith had already moved quickly, making six new investments to date and demonstrating the firm’s ability to identify and back promising opportunities.

The investment focus remains consistent: AI infrastructure, cybersecurity, and developer tools. These sectors were chosen not just because of their growth potential, but because they align directly with Smith’s own professional background and expertise areas, where she believes she can add far more value than just financial capital.

“We are looking for founders who understand the problems they are solving firsthand,” Smith explained. “Many of the best ideas in this space come from people who have spent years working inside engineering teams, security operations, or platform development. They know the pain points, but they often need help turning that knowledge into a business that can scale.”

More Than Capital: Bringing Operating Experience to Founders

What truly sets Vermilion Cliffs Ventures apart is Smith’s background. Before launching her own firm, she spent over a decade in senior roles at some of the most influential technology companies in the world: Twilio, Meta (formerly Facebook), GitHub, and GitLab. In these positions, she specialized in product marketing, growth strategy, and developer relations, gaining a deep understanding of how technical products are built, priced, and sold to the most demanding audiences.

This experience shapes how she works with her portfolio companies. “A lot of early-stage investors tell founders they will help them raise the next round of funding,” Smith said. “But my approach is different: I help them build the product, the user base, and the revenue that actually earns that next round. I want to make sure they don’t just survive, but build something sustainable.”

She emphasizes that selling to developers, IT teams, and cybersecurity professionals is a unique discipline, one that does not follow the same rules as consumer marketing or even traditional enterprise sales. “These buyers care about performance, reliability, security, and documentation long before they look at flashy branding,” she noted. “Most founders learn this the hard way, spending months and thousands of dollars on strategies that don’t resonate. I’ve made those mistakes myself, and I’ve seen others make them too. My job is to help them skip that learning curve and move faster.”

Whether it is refining product messaging, designing go-to-market campaigns, building developer communities, or navigating enterprise sales cycles, Smith brings practical, real-world insights that are hard to find in a standard venture capital setting.

Breaking Barriers in Venture Capital

Beyond its investment strategy, Vermilion Cliffs Ventures also represents a milestone in the broader venture ecosystem. Smith is among the small number of women operating as a solo general partner, a structure that offers greater agility and decision-making speed but also comes with unique challenges in an industry historically dominated by larger firms and male leadership.

According to industry data, women-led firms manage only a fraction of total venture capital assets globally, and solo operators remain a rarity. By building a successful firm from scratch and securing strong support from institutional investors, Smith is helping to pave the way for a new generation of diverse investors.

“Being a solo GP means I can be fully aligned with founders,” she said. “There are no internal committees, no conflicting priorities, and no waiting for approvals. When I see a great opportunity, I can move quickly. That agility is a huge advantage in early-stage investing.”

Looking Ahead

With Fund II now fully deployed, Smith plans to stay focused on its core mission: supporting technical founders and helping them turn innovative ideas into market-leading companies. As AI continues to reshape every industry and cybersecurity remains a top priority for businesses worldwide, the sectors she targets are poised for continued growth.

“Technology moves fast, but building a lasting company takes time and focus,” Smith concluded. “We’re here for the long haul, not just to write a check, but to be a partner through every stage of growth. With this new fund, we have the resources to go deeper, support more founders, and build on the momentum we’ve already created.”