Top 8 Venture Capital Firms for Pharmaceutical Startups

For founders in the pharmaceutical and life sciences sectors, understanding the investor scene is a critical step before raising capital. Finding a partner who truly gets your work is half the battle.

To help you find the right fit, our team has curated this overview of the top pharmaceutical and biotech venture capital firms. Think of it as a starting point to identify the investors most relevant to your company.

Actively raising? You can now access non-dilutive funding options like venture debt and credit lines through Rho Capital. Rho provides access to business banking, corporate cards, and bill pay—built for startup teams moving fast.

Key Takeaways

• For pharmaceutical startups, securing venture funding provides the necessary capital to support long research and development timelines, navigate clinical trials, and achieve regulatory milestones.
• The pharmaceutical industry sees investment from corporate venture arms like Pfizer and Bristol-Myers Squibb, as well as dedicated life science funds such as Apple Tree Partners and Schooner Capital.
• Once you secure funding, Rho helps you manage your new capital with an integrated platform for business banking, corporate cards, and automated bill pay.

Which VC Firms in Pharmaceutical Are Right for Your Stage?

Whether you’re just starting out or preparing for an exit, it helps to connect with the right investors. Here’s a brief look at which venture capital firms in the pharmaceutical sector invest at each stage.

Pre-seed and Seed VC Firms in Pharmaceutical

This initial funding stage helps new companies validate their core scientific ideas and build a foundational team. Firms like Apple Tree Partners and Schooner Capital are known to invest at this nascent stage in the life sciences.

Early Stage VC Firms in Pharmaceutical

Early-stage funding, typically covering Series A and B rounds, provides the capital needed to move from preclinical research into clinical trials. For pharmaceutical startups at this point, investors such as Bristol-Myers Squibb, Vertex Ventures HC, and Aperture Venture Partners provide critical support.

Late Stage VC Firms in Pharmaceutical

Late-stage venture capital supports companies through advanced clinical development and commercial launch, often leading to an IPO or acquisition. Key late stage venture capital firms in this space include the corporate venture arm of Pfizer as well as dedicated funds like NGN Capital. Once you secure this significant capital, Rho’s integrated financial tools help you manage and deploy it efficiently.

It's also worth noting that some VC firms, like Boston Millennia Partners, invest across all funding stages.

To help you find the right investment partner, we've compiled information on the top VC firms in the pharmaceutical sector. Below, you'll find details about their typical investment stages, geographic focus, and what makes each firm distinct for founders.

1. Pfizer

As the corporate venture capital arm of the global biopharmaceutical company, Pfizer Ventures invests in emerging companies that align with its mission to develop innovative medicines. They provide strategic backing to startups that are pushing the boundaries of science.

The firm supports companies with groundbreaking technology, showing a clear focus on biotechnology, precision medicine, and new therapeutic platforms. Their portfolio includes high-profile companies like Arrakis Therapeutics, which pioneers small-molecule drugs that target RNA.

Pfizer Ventures is a strong match for founders whose work is advancing toward clinical stages and who would benefit from a strategic corporate partnership. This is particularly true for teams that value deep scientific alignment and industry expertise alongside capital.

• Investment stages: Venture and private equity
• Industries of focus: Biotechnology, Health Care, Pharmaceutical, Precision Medicine
• Geographical presence: Based in New York, with a global investment reach
• Founded: 1849
• Notable portfolio companies: Arrakis Therapeutics, Artios Pharma, Rhythm Pharmaceuticals
• Portfolio size: 52 investments
• Number of exits: 19

You can refer to their website here.

2. Bristol-Myers Squibb

Bristol-Myers Squibb is a global pharmaceutical company that actively invests in and acquires innovative life science companies. Their corporate venture and business development efforts focus on bringing in external assets to strengthen their own pipeline.

The firm's recent activity shows a strong strategic focus on oncology and neuroscience, often through outright acquisitions of companies with late-stage therapies. Their partnerships, like the one with Cellares for cell-therapy manufacturing, also signal a commitment to securing the technology needed for future treatments.

BMS is an ideal partner for founders whose companies have advanced clinical assets, particularly in precision oncology. If your goal is a strategic acquisition by a major pharmaceutical leader that can take your product to market, BMS should be on your list. After such a significant transaction, Rho’s platform can help you manage the capital, whether you’re winding down operations or funding your next venture.

• Investment stages: Early Stage Venture, Venture
• Industries of focus: Biotechnology, Health Care, Medical, Pharmaceutical, Precision Medicine
• Geographical presence: Based in New York, with a global reach
• Founded: 1887
• Notable investments: Karuna Therapeutics, Mirati Therapeutics, Turning Point Therapeutics
• Portfolio size: 101 investments
• Number of exits: 17

You can refer to their website here.

3. Apple Tree Partners

Apple Tree Partners is a venture capital firm that builds and invests in companies across the life sciences, including pharmaceuticals, biotech, and medical devices. They are known for their hands-on approach, often creating companies from the ground up based on promising science.

The firm is notable for its flexibility, investing from the seed stage all the way through to post-IPO rounds. Their portfolio demonstrates a strong history of successful exits, including both IPOs like Akero Therapeutics and major acquisitions like Corvidia Therapeutics by Novo Nordisk.

Apple Tree Partners is an excellent match for founders seeking a long-term partner who can provide support across the entire company lifecycle. If you need a firm with deep operational experience and a clear path to a significant exit, they are a strong contender.

• Investment stages: Seed, early-stage, late-stage, and post-IPO
• Industries of focus: Biotechnology, Pharmaceutical, Medical Device
• Geographical presence: Based in New York
• Founded: 1999
• Notable portfolio companies: Akero Therapeutics, Stoke Therapeutics, Corvidia Therapeutics
• Portfolio size: 61 investments
• Number of exits: 16

You can refer to their website here.

4. Schooner Capital

Schooner Capital is a private investment firm that provides both venture capital and private equity funding. With roots in Boston dating back to 1971, they have a long track record of supporting companies across a range of industries.

The firm’s most distinct characteristic is its flexibility, investing from seed rounds all the way through to late-stage private equity. Their portfolio reflects this breadth, featuring pharmaceutical companies like Cullinan Oncology alongside innovators in clean energy and clinical trial software.

This makes Schooner Capital an ideal partner for founders who value a long-term relationship with an investor that can provide support across the entire company lifecycle. As you scale through these funding stages, Rho provides the financial infrastructure to manage your capital effectively.

• Investment stages: Seed, early-stage, late-stage, and private equity
• Industries of focus: Pharmaceutical, Medical Device, Financial Services, Media and Entertainment
• Geographical presence: Based in Boston, Massachusetts
• Founded: 1971
• Notable portfolio companies: Cullinan Oncology, 4G Clinical, Commonwealth Fusion Systems
• Portfolio size: 70 investments
• Number of exits: 14

You can refer to their website here.

5. Vertex Ventures HC

Vertex Ventures HC is a venture capital firm that invests across the healthcare industry. Their focus includes biopharmaceuticals, medical devices, and digital health companies.

The firm backs companies with ambitious scientific platforms, from next-generation cell therapies to ultra-miniaturized medical devices. Their portfolio includes Sonoma Biotherapeutics, which is developing T-cell therapies, and Neuspera Medical, which is creating tiny implantable devices.

Vertex Ventures HC is a good fit for founders whose companies are built on advanced science and are ready for clinical development. Once you secure funding for these critical trials, our platform helps you manage the capital with integrated banking and spending controls.

• Investment stages: Early Stage Venture, Late Stage Venture
• Industries of focus: Biopharmaceuticals, Medical Device, Health Care, Digital Health
• Geographical presence: Based in Palo Alto, California
• Founded: 2014
• Notable portfolio companies: Sonoma Biotherapeutics, Neuspera Medical, Boundless Bio
• Portfolio size: 40 investments
• Number of exits: 9

You can refer to their website here.

6. Boston Millennia Partners

Boston Millennia Partners provides private equity and venture capital to high-growth companies, with a long history of investing in the healthcare and business services industries.

The firm is notable for its flexible investment strategy, providing capital from seed rounds through to private equity. Their portfolio includes major successes like the global CRO PAREXEL and biotech innovator GlycoFi, which delivered a notable exit for investors.

This firm is a strong choice for founders who want a financial partner for the entire company journey, from initial idea to a major exit. Once you secure funding, Rho’s integrated platform can help you manage your capital with tools for banking, corporate cards, and payments.

• Investment stages: Seed, early-stage, late-stage, venture, and private equity
• Industries of focus: Health Care, Pharmaceutical, Information Technology, SaaS
• Geographical presence: Based in Boston, Massachusetts
• Founded: 1984
• Notable portfolio companies: PAREXEL International, GlycoFi, Ilex Oncology
• Portfolio size: 140 investments
• Number of exits: 61

You can refer to their website here.

7. Aperture Venture Partners

Aperture Venture Partners is a New York-based venture capital firm that invests in the medical device, pharmaceutical, and diagnostics sectors. They provide funding to companies from early to late stages of development.

The firm is notable for its history of successful exits, backing companies toward both IPOs and major acquisitions. Their investment in Biohaven Pharmaceutical led to an $11.6 billion acquisition by Pfizer, one of the largest recent biotech exits.

Aperture is an ideal partner for founders whose companies have a clear path to a high-value exit. They are a strong choice for teams in pharma or med-tech aiming for an IPO or a strategic acquisition by an industry leader.

• Investment stages: Early Stage Venture, Late Stage Venture, Venture
• Industries of focus: Medical Device, Pharmaceutical, Health Care, Diagnostics
• Geographical presence: Based in New York
• Founded: 2002
• Notable portfolio companies: Biohaven Pharmaceutical, Inspire Medical Systems, Aclaris Therapeutics
• Portfolio size: 62 investments
• Number of exits: 25

You can refer to their website here.

8. NGN Capital

NGN Capital is a venture capital firm that invests in healthcare companies across the United States and Europe. They focus on providing capital to businesses in the biopharmaceutical and medical technology sectors.

The firm is distinguished by its track record of backing companies to significant exits, including the nearly $28 billion acquisition of Horizon Therapeutics. Their portfolio shows a clear focus on high-impact areas like rare diseases, liquid biopsies, and novel medical devices.

NGN Capital is a strong partner for founders in the US or Europe whose companies are developing breakthrough technologies with a clear path to a major exit. After securing a significant round, Rho’s platform helps you manage the capital with integrated banking and spending controls.

• Investment stages: Early Stage Venture, Late Stage Venture
• Industries of focus: Biotechnology, Pharmaceutical
• Geographical presence: Based in New York, with investments in the US and Europe
• Founded: 2003
• Notable portfolio companies: Horizon Therapeutics, Exosome Diagnostics, Cardiovalve
• Portfolio size: 38 investments
• Number of exits: 13

You can refer to their website here.

What This Tells Us About The VC Scene for Pharmaceutical Companies

The investor scene for pharmaceutical companies appears well-supported and varied. The presence of both corporate venture arms and specialized funds means you have options, whether you seek a strategic partner or a purely financial one. Notably, several firms invest across all stages, from seed to exit, which is a positive sign for founders looking for a long-term partner to support their company’s growth.

While the investment stages are balanced, there is a clear geographic concentration in the Northeast, especially in New York and Boston. As you plan your outreach, keep in mind that equity isn't the only route. Rho Capital can connect you to non-dilutive funding options tailored to your business. After securing capital, our integrated platform helps you manage it with tools for banking, corporate cards, and automated payments, so you can focus on the science.

Raise Confidently with Rho

When you're raising capital, your time and energy are your most valuable assets. A focused list of relevant investors helps you direct your efforts where they will count the most.

If you’re seeking funding, Rho Capital connects you to non-dilutive funding options like venture debt and credit lines through a fast, guided process. We help you access financing tailored to your business without chasing lenders.

Once your capital is secured, our integrated platform provides the tools to manage it. With business banking, corporate cards, and automated bill pay in one place, you can deploy funds with clarity and control.

FAQs about Venture Capital Firms Focused on Pharmaceutical

Which are the top biotech venture capital firms in Boston?

Boston is a major center for biotech innovation. Firms like Boston Millennia Partners and Schooner Capital are based there, providing capital across various stages. The city’s concentration of research institutions and talent makes it a key funding hub.

What are the top life science venture capital firms in the Bay Area?

The Bay Area is home to leading life science investors like Vertex Ventures HC. These firms are drawn to the region's strong ecosystem of scientific research, talent, and a long history of successful company building in the sector.

How do early-stage venture capital firms evaluate pharmaceutical startups?

Early-stage VCs focus on the strength of your scientific data, the size of the potential market, your intellectual property position, and the expertise of your founding team. A clear development plan is also critical for securing their investment.

What is the difference between corporate and traditional VCs in pharma?

Corporate VCs, like Pfizer Ventures, are investment arms of large pharma companies and often seek strategic alignment. Traditional VCs are purely financial investors focused on returns, though many have deep operational expertise in the life sciences.

How can my pharmaceutical startup get funding without dilution?

For non-dilutive financing, Rho Capital connects you with options like venture debt and credit lines. Our guided process helps you find the right partner without giving up equity, so you can extend your runway and maintain control.

How can Rho help my startup manage its venture capital?

Once you secure funding, our integrated platform helps you manage it. Rho provides business banking, corporate cards, and automated payments in one place, giving you clear control over your new capital and operations.