Matt Krna: Two Meter Capital
In our Meet a VC series, we sit down with NVCA members to share the people and perspectives behind the venture capital industry. This spotlight features Matt Krna of Two Meter Capital, a firm building the scaffolding to support a maturing venture industry. They help GPs manage, optimize, and find liquidity in their longer-lived portfolios, so the entrepreneurs inside those portfolios always have a champion.
An Odyssey Through Venture
Matt Krna has spent nearly his entire career inside the venture industry. He started as an analyst at Canaan Partners working on hardware and semiconductor deals, then rose to lead the US Internet investment practice at Investor Growth Capital, where he co-founded the firm’s digital health effort. From there he was recruited to SoftBank to help raise a growth-stage fund. He and his partners backed companies like Fitbit and BigCommerce, and as Matt puts it, “we actually did what we said we were going to do. It doesn’t always happen that way in the venture world.” In 2015 he left to co-found Princeville Capital, the successor fund.
Then COVID hit. Like a lot of people, Matt went into hibernation mode and started noodling on where the venture market was going next. The idea that emerged became Two Meter Capital, which spent a few years in the lab before formally hanging its shingle in 2024.
The Scaffolding to Help Support the Industry
The venture business has matured, Matt says, from an almost apprenticeship-model industry where firms looked broadly similar to a much more sophisticated market. Capital is consolidating into a smaller number of large firms and companies are staying private much longer than before.
“Companies used to take six years to go private. Now they’re taking 15 on average. The 10-year fund life with two one-year extensions? That was an artifact someone came up with 30 years ago. The fact of the matter is, these portfolios just stay around for way longer.”
His conclusion: the industry needs scaffolding and that’s exactly what Two Meter Capital is building. The firm calls it “GP on demand”, or “harvest management”. A venture firm’s core competencies, in Matt’s view, are raising money, finding outlier companies, and continuing to back the winners. Two Meter Capital takes the rest off GPs’ shoulders.
Why That Matters for Founders
The work isn’t only about back-office relief. Inside many tail portfolios sit dozens of companies whose original investors are looking toward the next fund. Some companies are just hitting their stride. Some are stuck in the middle. All of them deserve a GP who’s paying attention.
That’s the gap Two Meter Capital fills. Matt’s team helps clients decide which companies to lean back into (“they’re really starting to hit their KPIs finally”), which to pull back from, and which need help finding the right next step. They generate liquidity that keeps the venture flywheel moving.
Without that work, founders in older funds could start to feel that a firm has quietly moved on. With it, they keep a champion at the cap table.
Creating a Path Forward
Two Meter Capital’s clients fall into two camps. The first is mid-sized to large traditional funds, often actively investing out of fund 11 or 12 while still carrying 200 companies across funds 7, 8, and 9. One managing partner told Matt his firm was spending $4 to $5 million a year just on partner and associate time tied up in board meetings for older funds.
The second camp is where Matt’s framing gets distinctive: emerging managers for whom there won’t be another fund.
“If you’re an entrepreneur and the company isn’t going the way you wanted, there are off-ramps. You find another CEO. You gracefully exit. If you’re an emerging manager and you decide this wasn’t for me, there’s no off-ramp. You’re responsible for that portfolio for the next 10-plus years.”
By taking on 90 percent of that lift, Two Meter Capital is, in effect, creating an off-ramp where none existed. Matt sees a second-order effect too. Knowing there’s a graceful exit may actually encourage more new managers to enter the industry in the first place.
Why He’s Optimistic
Ask what keeps him in love with the industry, and Matt’s answer is simple: innovation.
“The entrepreneurs are coming up with so many new concepts. I’ve been in the industry long enough to see multiple waves. The internet wave. Mobile. AI is poised to eclipse most, if not all of those. It’s going to be amazingly transformative for every aspect of society, in ways that I think 99 percent of people on the planet don’t appreciate.”
The other thing keeping him optimistic is more personal: the niche Two Meter Capital is carving out.
“I spent the first 10 years of my career apprenticing in this industry. The next 10, building a track record as an investor. This next chapter is maybe helping to change the paradigm a little bit, in a way that continues to bring our venture industry forward, more capable of ultimately supporting entrepreneurs and building.”
One Last Thing: Why “Two Meter”?
The name comes from water polo, which his children play competitively. The 2 meter position sits right in front of the opposing goal. It’s the player who fights for the ball, muscles through defenders, and puts it in the cage.
