Sayan Ghosh - OG Capital’s Post

Navigating the complexities of venture deals is akin to crossing a river for founders and VCs, with each side facing unique hurdles — differing priorities, valuation expectations, and ownership concerns — that can complicate this critical partnership. Karan Gupta (Principal) explores the intricate dynamics of founder-VC relations, emphasizing the importance of transparency, alignment, and mutual respect. Read the full blog here: https://bit.ly/3YGZuM0 #AuxanoAscent #VentureCapital #Dealmaking #InvestmentStrategy #FounderInvestorRelations #BusinessGrowth #FundingJourney

“A lot of investors are driven by heat, versus being driven by true innovation,” There is so much truth in this sentence. This mindset makes things very challenging for founders with physical products and consumer goods. Physical products are not in fashion. On several occasions, I was advised to include a tech aspect to the vision I have of Nyfasi to make it easier to raise. The heat factor also influences the stage at which you can raise. For example, consumer goods founders become investable once their startups are revenue-generating. Founders in hot fields have a higher chance of raising at the idea stage. Terri Burns's mindset is refreshing!

Very proud to announce emma Ventures’ first Direct Venture Secondaries deal! 🚀   Great to combine our vast experience in the Secondaries space with our activity in Venture Capital and to create a win-win situation for the company, the seller and emma Ventures as the buyer! 🤝   Venture Secondaries are on the rise – at a time when companies are staying private for longer, investors increasingly embrace the Secondaries markets as a practical third option to liquidity where they are able to control the timing of their exit, unlike in a traditional IPO or M&A. ↗️   By purchasing from early shareholders seeking liquidity, Secondaries buyers can acquire stakes in potentially high-growth companies at reduced risk and an attractive pricing - thereby supporting the company as long-term partner in the next phase of growth. ⚙️

For all the buzz around VC secondaries, the market is not ready yet. I talked to Alexandre Covello, managing partner at VC secondaries outfit 109 Capital, about the roadblocks ahead. 1️⃣ What are VC secondaries? The VC secondary market covers three segments: direct secondaries (employees selling shares), LP-led secondaries (LPs selling stakes in VC funds), and GP-led (such as continuation funds, tender offers, and strip sales). In our discussion, we focused on LP-led secondaries. 2️⃣ How big is the market? Industry Ventures estimated the VC secondary's market TAM to be $140 billion. The actual transaction volume is challenging to assess but is supposed to be much smaller to date. The total PE secondary market is $100 billion today. 3️⃣ Why now? LP-led secondaries are driven by LPs rebalancing portfolios amid public and private market valuation gaps. They also seek liquidity due to lower distributions from VC firms in this poor exit environment. 4️⃣ Problem #1: Buy Side 90% of dry powder is in the hands of a few players—such as Lexington Partners, Ardian, and Blackstone focusing on PE-backed companies with stable cash flow and visible exit horizons. These are easier to price and model than VC portfolios made of unprofitable companies and subject to the power law. 5️⃣ Problem #2: Sell Side While many family offices and CVC funds are looking to sell their VC portfolios, the most promising assets are in the hands of VC firms unwilling to sell their "fund returners." "We need buyers attracted to VC risk-reward profiles. Startup founders who made big exits and understand the asset class may be promising VC secondaries buyers. It’s important to spread the message about the opportunity in the portfolio acquisition segment.” - Alexandre Covello (109 Capital) 🔗 Full article: https://buff.ly/3v2i5pF *** 💖 Consider liking this post to get more similar content from me. 📨 Subscribe to my newsletter for more VC guest interviews: https://buff.ly/4bUl9on #venturecapital #VCsecondaries #secondarymarket

🎯 Mastering the Venture Fundraising Journey 🎯 Having guided many startup founders through the complex world of VC and angel investing, we have noticed two recurring questions, even from experienced fundraisers: 1️⃣ Where do I begin? 2️⃣ How can I speed things up? To simplify the process, we created a straightforward illustration of the Venture Fundraising Funnel. It’s a framework we use to help founders navigate the journey. Here’s what we always emphasize:    •   🚀 Fundraising is NOT linear. It’s an iterative process full of learning curves.    •   🛠️ Think of it as a funnel. Your goal is to move investors smoothly through each stage, maintaining momentum while narrowing down to the final deal. The Fundraising Stages: 1️⃣ Preparation: Build your funding strategy, create your investor pipeline, craft your deck, and organize your data room. 2️⃣ Outreach: Connect with VCs, angels, and corporates. Expect a rollercoaster of uncertainty and rejections. 3️⃣ Meetings: Engage in 2-5 discussions with investors to showcase your vision and align interests. 4️⃣ Term Sheet: Receive a formal document outlining the potential deal’s terms. 5️⃣ Due Diligence: Investors review your data room, talk to customers, and de-risk their commitment. 6️⃣ Legal Review: Finalize the deal with detailed legal documentation (get a great lawyer here). 7️⃣ Closing: Celebrate the signed deal, receive the funds, and plan your big announcement. 🎉 💡 Pro Tip: Fundraising is a roller-coaster ride filled with uncertainty, but it’s also a chance to learn, refine, and grow. Once you secure funding, the real work begins—delivering on your promises 🚀 #vc #fundraise #funnel #method

Fundraising lessons from the past 12 months + a chat with Ken Thomas (Backfuture VC) https://buff.ly/3ziCRmE Delve into a year of fundraising insights with an exclusive discussion featuring Ken Thomas from Backfuture VC. Acquire valuable knowledge and strategies in the ever-evolving realm of fundraising, navigating obstacles, and capitalizing on opportunities in the venture capital landscape. Draw inspiration and practical guidance from seasoned professionals. Stay abreast of current trends and optimal approaches to enhance fundraising endeavors. #VCInsights #CapitalRaising.

Really interesting article by Christopher Wink, at Technical.ly on how #VC is changing. The stats are sobering. Drives home how hard it actually is raise VC, and then to establish a lasting company and brand. Really worthy points to consider around who VC is for. Shoutout to those #founders who have created established, lasting businesses!

This should be required listening by all start-up founders. There is a revolution of smart start-up founders that eschew VC's by building capital efficient and profitable businesses (I welcome you to the "club"). We spend our time solving clients very real problems, rather than with "money people". We do not get hundreds of likes for raising capital, and we do not care. We work for our clients, that feedback is all we need. Kudos to the following people for leading this revolution: Right Side Capital Management, Dave Lambert, Kevin Dick, John Eng, Paul Swiencicki, Samantha Lewis

"At Outward VC, we understand the challenges faced by #early-stage #founders. 📝 Our core principles include:  1. No social proof required: We evaluate founders based on their merits, not their connections.  2. Bias for drive: We seek founders with chips on their shoulders, determined and hungry for success.  3. Swift decision-making: We work efficiently to understand founders and build our investment case.  4. Clear communication: If we can’t build conviction, we provide honest, constructive feedback.  5. All-in support: Once committed, we roll up our sleeves to help close funding rounds.  6. Ongoing engagement: Post-investment, we remain actively involved, #founders can expect us to always do our homework and turn up (or stand back if that makes more sense)"   More from Kevin Chong on why we set up our second fund 👇 . Please get in touch with the team (Andi Kazeroonian, Sanchit Dhote, Sebastien Mafuna, Manuel E.) if you're building in #fintech + #ConnectedSectors

So excited to gave Ankit Agarwal on this new episode of Unlocking Venture Capital Podcast where we talking about his experiences doing direct venture investments and #LP investments and he looks for. you also get peeks into founder life stories. #podcast #LP #investor #VC #investment #vc #venturecapital