Letter from Max

Life’s “Third Act” is what follows after the first two acts: childhood & adulthood. In the literary world the third act is commonly referred to as the “Resolution”, it’s where the story and subplots are all wrapped up nicely. We’ve moved past the setup and the action, now it’s time to tie everything up before the close - The End - but while that may have been true for our ancestors’ third act, rapid advances in technology and medicine have made this no longer a time of ending but a new beginning. All grown-up, relieved of child-rearing responsibilities, and having amassed a lifetime of savings, this period of life offers the greatest opportunity to pursue one’s passion and dreams, whatever they might be.

But while at this stage of life we have time and money like never before, few companies are focused on making products that serve our wants and desires. The innovation ecosystem is so focused on fantastical ideas of a future that may or may not arrive in our lifetime — brain chips, uber drones, asteroid mining —that it’s overlooking the guaranteed and obvious: the population is getting older and there’s a ton of low-hanging fruit because right now the experience flat-out sucks.

Investors have almost completely ignored this space. With a few notable exceptions venture dollars haven’t gone toward upending the antiquated trillion dollar elder care market, capturing the two hundred billion dollars older adults spend on CPG, or profiting from the myriad of other things those with a lifetime of savings are spending their money on.

On the innovation side things are starting to change. More and more entrepreneurs’ eyes are opening to the opportunities in aging and are finding traction. Agetech companies like Eversound which has rolled out its group wireless headphones to over 400 senior communities; Papa which has expanded its reach of “grandkids on-demand” to 14 areas in its first 1.5 years of existence; and Care.Coach which has not only been awarded millions in grants but also inked deals with major medical providers.

Once operating at scale, Agetech companies have started having success attracting venture dollars, however there remains few if any options for startups trying to get off the ground. This is the gap and opportunity that Third Act Ventures is filling.