This newsletter gathers together this week’s most interesting content related to the Venture capital ecosystem. I curate this in Feedly and email it as a newsletter on Friday evening, Pacific time, each week. There is little or no commentary included — except for when I make comments or highlights directly in Feedly.
Keith Teare
Takeaways From The Seed Series Interviews Of 2019: Part 1 of 2
Crunchbase News / Saved by Keith Teare
A lot of good advice was packed into the Seed Series of 2019. Here is our first set of key takeaways from interviews with leading seed investors as we shift into 2020. We begin by taking a look at the early days in seed with Jeff Clavier, followed by Susan Lyne who discusses the female consumer.
Stranger than I could have imagined: 5 years in VC and joining OMERS Ventures
Medium / Saved by Keith Teare
Stranger than I could have imagined: 5 years in VCLate 2014 in Mobile, Alabama, just before starting life as a VCI love to remind myself that the future is always “stranger than we can imagine”, to quote biologist JBS Haldane.
First survey of venture capital deal terms reveals 14 key terms for European startups — International Investment
International Investment / Saved by Keith Teare
The technology arm of Withers Worldwide, the international law firm, has carried out what it says is the first analysis of how venture capital deals are structured across Europe. Withers tech, working with venture capital teams in France, Germany and Switzerland, has concluded that with more similarities than differences in deal structures between the jurisdictions, investors should have confidence about embarking on cross-border transactions. Read More
Venture capital funding fled U.S. and China for Britain in 2019 — Axios
Axios / Saved by Keith Teare
Venture capital funding fell significantly in the U.S. and China last year, but boomed in the U.K., rising to a record $13.2 billion, according to a report prepared for the British government by industry group Tech Nation and research firm Dealroom.
USV’s Climate Thesis
AVC / Saved by Keith Teare
My partner Albert wrote a bit about how USV is investing in the climate/sustainability sector today. The high-level summary is “not very differently than we have and are investing in other sectors”. READ MORE
Investing in WorkBoard
Andreessen Horowitz / Saved by Keith Teare
Running a business is hard — there are many things a team could be doing, but only a small number they should be doing. Organizations waste a lot of mental calories figuring out where to focus and trying to track what’s actually being done and if it’s being done well.
Are OYO’s deep cuts a reality check for unicorns?
Fundings & Exits — TechCrunch / Saved by Keith Teare
Hello and welcome back to our regular morning look at private companies, public markets and the gray space in between. After a short pause, we’re back on the topic of unicorn layoffs.
READ MORE
All of the World’s Wealth in One Visualization
Visual Capitalist / Saved by Keith Teare
All of the World’s Wealth in One Visualization The financial concept of wealth is broad, and it can take many forms. While your wealth is most likely driven by the dollars in your bank account and the value of your stock portfolio and house, wealth also includes a number of smaller things as well, such as the old furniture in your garage or a painting on the wall. READ MORE
VC Funds Had Their Best Year Ever. But There’s a Catch. — Institutional Investor
Institutional Investor / Saved by Keith Teare
This content is from: Portfolio VC Funds Had Their Best Year Ever. But There’s a Catch. A closer look at the data raises the question of how much the rise in equity markets has influenced start-up valuations, according to a new report.
A Swiss office just sold for $135 million on the blockchain
Decrypt / Saved by Keith Teare
A blockchain real estate firm, BrickMark, has bought a property in the heart of Zurich, Switzerland, for $135 million worth of BrickMark Tokens, it announced yesterday. BrickMark tokens are based on the Ethereum blockchain platform. READ MORE
Silicon Valley Abandons the Culture That Made It the Envy of the World
The Atlantic / Saved by Keith Teare
Once upon a time, in the notorious start-up cradle, small was beautiful. Alexis C. Madrigal January 15, 2020 For decades, whole regions, nations even, have tried to model themselves on a particular ideal of innovation, the lifeblood of the modern economy. READ MORE
China corporate VC investment led by tech giants hits 20b yuan — Chinadaily USA
Chinadaily USA / Saved by Keith Teare
By Zhao Shiyue | chinadaily.com.cn | Updated: 2020–01–15 10:48
The Zhongguancun Innovation Street in Beijing, Jan 16, 2018. [Photo/Sipa]
Corporate venture capital (CVC) in China grew rapidly with 20.3 billion yuan ($2.94 billion) funding in 2018, accounting for 17 percent of the total venture capital investments, and tech giant firms ruled the top five most active CVC investors, according to a new industrial report. READ MORE
UK tech investment grew faster than the US and China in 2019 — CNBC
CNBC / Saved by Keith Teare
Lights installation are seen in the financial district of Canary Wharf as part of the WInter Lights festival, London on January 15, 2019. Alberto Pezzali | NurPhoto | Getty Images Investment in the U.K.’s technology sector grew at a faster pace than in the U.S.
Cloudinary approves $ 60 million ARR without venture capital money — Newsdio — NewsDio
NewsDio / Saved by Keith Teare
Hello and welcome Let’s return to our usual morning look at private companies, public markets and intermediate gray space. Today we continue our exploration of companies that have reached the material scale, generally seen through the lens of annual recurring revenue (ARR).
Exit value tops $256B as 2019 closes a record-setting decade in US VC [datagraphic] — PitchBook News & Analysis
PitchBook News & Analysis / Saved by Keith Teare
2019 was an unprecedented year for US venture capital. While record sums of dry powder continued to propel dealmaking along elevated heights, investors and companies alike remained alert to the sheer degree of financing sizes and valuations as they stayed stubbornly high.
Uber Senior Executive Rachel Holt Departs, Reveals Plans to Co-Found Venture Capital Firm — The Union Journal
The Union Journal / Saved by Keith Teare
Uber’s senior executive Rachel Holt, that supervises the ride-hailing firm’s bike and also mobility scooter procedures in addition to collaborations with public transportation companies, will certainly tip down to begin her very own venture.”After 8.5 unforgettable years at @Uber and more than a half-dozen funding rounds, I’ve decided to put the shoe on the other foot…,” Holt, Uber’s head of New Mobility, tweeted on Tuesday.
The Problem of an Aging Global Population, Shown by Country
2K
Visual Capitalist / Saved by Keith Teare
The Implications of an Aging Population The world is experiencing a seismic demographic shift — and no country is immune to the consequences. While increasing life expectancy and declining birth rates are considered major achievements in modern science and healthcare, they will have a significant impact on future generations.
The Crucible Of Leadership
33
Union Square Ventures / Saved by Keith Teare
Yesterday evening, the Gotham Gal and I went to see Jerry Colonna do a reading from his recent book , Reboot: Leadership and the Art of Growing Up . As we were standing around chatting waiting for Jerry to go on and start reading, Jerry mentioned that he once wrote a guest post for AVC.
READ MORE
Visa, Plaid, Networks, and Jobs
Stratechery by Ben Thompson / Saved by Keith Teare
Before the network, there is the job. In the case of Visa, or, to be more exact, the Bank Americard that would eventually be spun out and renamed Visa, the job for consumers was obvious: instant credit for anything, without the need for a merchant-specific account or a visit to the bank for a personal loan.
Learning The Language Of Investors Enabled This Founder To Raise $15 Million Dollars — Forbes
300+
Forbes / Saved by Keith Teare
Jess Ewing, CEO & Founder and Kelly Carroll Creative Director & Founder at Litierati Aleksandra GajdeczkaWhile being a product manager at Google gave Jessica Ewing, CEO and co-founder at Literati, a network of people to raise money from, it didn’t prepare her for the conversation. READ MORE
Why Britain is the ‘unicorn’ capital of Europe — MarketWatch
4
MarketWatch / Saved by Keith Teare
Why Britain is the ‘unicorn’ capital of Europe By Lina Saigol Published: Jan 15, 2020 8:25 am ET Britain beats Germany and France to become the ‘unicorn’ capital of Europe The U.K. READ MORE
Data Shows A Slightly Diminished Role For ‘Supergiant’ Rounds Of $100M Or More In Driving VC Dollar Volume Worldwide
Crunchbase News / Saved by Keith Teare
Nobody is saying that $100 million isn’t a lot of money. It is, to be sure. But in startup land it has become a regular (though still relatively rare) occurrence for private companies to raise that much money in a single round of funding. READ MORE
Mega-deals increase in 2019; VC fundraising could climb in 2020, report says
Venture Capital Journal / Saved by Keith Teare
In 2019, VC deal value surpassed $135bn, exit activity reached all-time high and the median new fund size approached $80m found a new report by PitchBook and the NVCA. READ MORE
Here are the 11 most important statistics on venture capital in 2019 — Business Insider UK
Business Insider UK / Saved by Keith Teare
“More is more” was the mantra for startups seeking funding in 2019.A new report from PitchBook and the National Venture Capital Association summed up the trends that led to record deal sizes, higher valuations, and the rise of mega-rounds last year.These are the 11 most revealing statistics on venture capital that you need to know for the year ahead.Click here for more BI Prime stories.It’s no secret that there’s a lot of money pouring into the tech startup scene these days. READ MORE
VC backing for UK scale-ups rockets by 22% in 2019, hitting £9bn — GrowthBusiness.co.uk
GrowthBusiness.co.uk / Saved by Keith Teare
Europe attracted $38bn of VC investment in 2019, shattering previous records Venture capital investment in UK scale-ups rocketed by 22 per cent in 2019 to hit more than £9bn last year, according to research. READ MORE
Hedge Funds, Family Offices Fuel Surge in Mega VC Deals — Institutional Investor
Institutional Investor / Saved by Keith Teare
This content is from: Portfolio Hedge Funds, Family Offices Fuel Surge in Mega VC Deals Nontraditional venture capital investors are buoying mega-rounds, keeping dealmaking near record levels last year, according to a new PitchBook report. READ MORE
US venture capital in China tumbles as tech decoupling deepens, report says — Tech in Asia
Tech in Asia / Saved by Keith Teare
US venture investment in China is expected to plunge to a six-year low for 2019 as a deepening technology decoupling between the two countries rips apart early-stage deals. Photo credit: Mikki Sprenkle READ MORE
Are There Still Fundraising Seasons?
Matt Turck / Saved by Keith Teare
No longer. But, also, kinda, yes… It’s complicated. When people talk about “fundraising seasons”, they mean that there are certain times of the calendar year when you should be running your fundraising process. READ MORE
European Venture Report: VC Dollars Rise In 2019
Crunchbase News / Saved by Keith Teare
Venture capital deals in the United States and China tend to get the most attention, but VC dollars flowing to Europe have quietly been on the rise.
Parker Conrad’s hard-won billion dollar startup lessons: Do unscalable things, but then actually scale it (Part 1)
garry’s posthaven / Saved by Keith Teare
New Vlog this morning! It was a real treat to sit down with Parker. Transcript below Today we’re going to hang out with Parker Conrad. He created Rippling. He’s one of the best product-focused CEO’s I’ve ever met. READ MORE
Bio: The Next Decade
Andreessen Horowitz / Saved by Keith Teare
Editor’s Note: This post first appeared as an issue of the a16z Bio Newsletter. To receive this newsletter, please sign up here. In this post: The Circle of Life for Health Tech Startups: What the first generation of health tech startups learned; what the second did differently; and what the coming generation will do best of all Discovery v. READ MORE
How To Invest In Startups
Sam Altman / Saved by Keith Teare
I look for founders who are scrappy and formidable at the same time (a rarer combination than it sounds); mission-oriented, obsessed with their companies, relentless, and determined; extremely smart (necessary but certainly not sufficient); decisive, fast-moving, and willful; courageous, high-conviction, and willing to be misunderstood; strong communicators and infectious evangelists; and capable of becoming tough and ambitious.
After three years of growth, digital health funding declined in 2019 to $8.9B: report — FierceHealthcare
Fierce Healthcare / Saved by Keith Teare
After a record-setting 2018, global venture capital funding in digital health declined in 2019 with $8.85 billion raised in 615 deals, according to a new report. That’s a 6% drop compared to $9.5 billion in 698 deals in 2018, according to a new report from Austin, Texas-based communications and research firm Mercom Capital Group.
Visa is acquiring Plaid for $5.3 billion, 2x its final private valuation — TechCrunch
TechCrunch / Saved by Keith Teare
Visa is acquiring Plaid for $5.3 billion, 2x its final private valuation Visa announced today that it is buying financial services API startup Plaid for $5.3 billion. Plaid develops financial services APIs.
US Venture Capital Investment Surpasses $130 Billion in 2019 for Second Consecutive Year — Yahoo Finance
Yahoo Finance / Saved by Keith Teare
SEATTLE, Jan. 14, 2020 /PRNewswire/ — By the end of 2019, the venture industry deployed $136.5 billion in US-based companies, surpassing the $130 billion-mark for the second consecutive year, according to the PitchBook-NVCA Venture Monitor, the authoritative quarterly report on venture capital activity in the entrepreneurial ecosystem jointly produced by PitchBook and the National Venture Capital Association (NVCA), with support from Silicon Valley Bank and Carta.
VC firm reveals 3 secrets to a successful crypto business
Decrypt / Saved by Keith Teare
Private venture capital firm Andreessen Horowitz has just helped demystify the three most important components of successful crypto-businesses. A new report released by the California-based VC firm sheds light on how crypto businesses developing decentralized applications (dapps) for smart contract platforms can more reliably achieve long-term success.
Ethan Batraski and Racquel Bracken Promoted to Partner
Venrock / Saved by Keith Teare
Todd Graham Joins with Focus on Cybersecurity and Infrastructure For over 40 years, Venrock has been committed to diversified, early stage investing — supporting entrepreneurs who will run through walls to create new products and services, surmounting obstacles that most think impossible.
5 Trends for 2020
Trend Watching / Saved by Keith Teare
YOUR RESPONSE? This trend is just one, actionable angle on a far deeper and ongoing shift that you know well. Back in the days of top-down, legacy, one-to-many media, we had top-down, legacy, one-to-many brands.
Convertible Loans: What to Look out For
Medium / Saved by Keith Teare
Convertible Loans: What to Look out ForIt probably happens to most founders at least once: His or her company needs money quickly and there is an interested investor, but there is not enough time to execute a full-stack seed financing including governance rules, exit provisions, etc.
20VC: Khosla Ventures Founding Partner, Samir Kaul on Why Pro Rata Is A Cop Out, Why He Likes Technical Risk and Does Not Take Market Risk & How To Approach Time Allocation Across The Portfolio In Venture
The Twenty Minute VC: Venture Capital | Startup Funding | The Pitch / Saved by Keith Teare
Samir Kaul is a Founding Partner and Managing Director at Khosla Ventures, one of the valley’s most renowned firms of the last decade with a portfolio including Square, Affirm, DoorDash, Impossible Foods and OpenDoor just to name a few.
Why Seed Funds Have Scaled
Haystack.vc / Saved by Keith Teare
For those following this blog and the seed market over the past decade, you may have noticed that every year, we see increases across the board — more investors, newer funds, and funds that get larger.
The State of The Venture Market
Howard Lindzon / Saved by Keith Teare
While I have not been on the road for seven weeks, I continue to do Zoom calls with founders pitching interesting seed stage opportunities. But from what I read, I can sense the venture markets changing a bit. READ MORE
The Top Five Myths About Building Billion-Dollar Startups
645 Ventures / Saved by Keith Teare
Table of Contents:- Myth #1: Billion-Dollar Startups Raise Large Funding Rounds Early in Their Histories — Myth #2: Top VC Firms Don’t Miss Billion-Dollar Startups at the Early-Stage
The Sum of Its Parts: The Smartphone Multiplier Market
Visual Capitalist / Saved by Keith Teare
The Sum of Its Parts: The Smartphone Multiplier Market There’s a 60% chance you’re reading this article on a smartphone right now — a testament to how ubiquitous these devices have truly become in our lives.
13 Things That Say “Don’t Fund Me” To VCs
SaaStr / Saved by Keith Teare
Q: As a venture capitalist, what are some red flags that would make you reject a startup immediately? First, there is a lot of marginal behavior that doesn’t lead to an immediate rejection, but does lead to immediate skepticism