what’s that believed and welcome to another YouTube hangout super excited to
another YouTube hangout super excited to
another YouTube hangout super excited to be here I have a new friend with me his
be here I have a new friend with me his
be here I have a new friend with me his name is Bill Malloy he is the founding
name is Bill Malloy he is the founding
name is Bill Malloy he is the founding general partner from a venture capital
general partner from a venture capital
general partner from a venture capital company in California called sway
company in California called sway
company in California called sway ventures he is an expert on building
ventures he is an expert on building
ventures he is an expert on building teams on building revenue on investing
teams on building revenue on investing
teams on building revenue on investing in brilliant people he was an early
in brilliant people he was an early
in brilliant people he was an early investor in uber and a bunch of other
investor in uber and a bunch of other
investor in uber and a bunch of other high-profile tech companies and today
high-profile tech companies and today
high-profile tech companies and today we’re going to talk about how to raise
we’re going to talk about how to raise
we’re going to talk about how to raise capital and answer your other
capital and answer your other
capital and answer your other entrepreneurial questions bill from the
entrepreneurial questions bill from the
entrepreneurial questions bill from the offices of sway 9:00 a.m. in California
offices of sway 9:00 a.m. in California
offices of sway 9:00 a.m. in California how you doing man we are slightly above
how you doing man we are slightly above
how you doing man we are slightly above freezing today so that’s exciting since
freezing today so that’s exciting since
freezing today so that’s exciting since the snow is melting down but yes we are
the snow is melting down but yes we are
the snow is melting down but yes we are envious of the San Francisco weather I’m
envious of the San Francisco weather I’m
envious of the San Francisco weather I’m excited to have you on here we haven’t
excited to have you on here we haven’t
excited to have you on here we haven’t had we’re just talking this Dupre show a
had we’re just talking this Dupre show a
had we’re just talking this Dupre show a lot of the people in the VC industry are
lot of the people in the VC industry are
lot of the people in the VC industry are not recognized as thought leaders yet
not recognized as thought leaders yet
not recognized as thought leaders yet haven’t really broken through and the
haven’t really broken through and the
haven’t really broken through and the people talking about raising capital are
people talking about raising capital are
people talking about raising capital are not necessarily the ones actually
not necessarily the ones actually
not necessarily the ones actually practicing it and being in the business
practicing it and being in the business
practicing it and being in the business so it’s awesome to get your firsthand
so it’s awesome to get your firsthand
so it’s awesome to get your firsthand experience I’m excited for the questions
experience I’m excited for the questions
experience I’m excited for the questions as people are joining us live I just
as people are joining us live I just
as people are joining us live I just want to get your quick take on where you
want to get your quick take on where you
want to get your quick take on where you think the state of VC is right now if
think the state of VC is right now if
think the state of VC is right now if I’m an entrepreneur looking at raising
I’m an entrepreneur looking at raising
I’m an entrepreneur looking at raising venture capital why should I go with a
venture capital why should I go with a
venture capital why should I go with a VC firm versus other options by
VC firm versus other options by
VC firm versus other options by entrepreneurs so you know massive
entrepreneurs so you know massive
entrepreneurs so you know massive amounts of capital and part of that the
amounts of capital and part of that the
amounts of capital and part of that the question was raised her own eyes are
question was raised her own eyes are
question was raised her own eyes are icos which there was only 5 billion so I
icos which there was only 5 billion so I
icos which there was only 5 billion so I still feel like venture capital is a
still feel like venture capital is a
still feel like venture capital is a major access to capital for
major access to capital for
major access to capital for entrepreneurs and part of the reason
entrepreneurs and part of the reason
entrepreneurs and part of the reason that a venture capital bioscientists
that a venture capital bioscientists
that a venture capital bioscientists getting getting money to fund your
getting getting money to fund your
getting getting money to fund your business is a number of venture capital
business is a number of venture capital
business is a number of venture capital firms including ourselves at sway
firms including ourselves at sway
firms including ourselves at sway ventures have really taken a value-add
ventures have really taken a value-add
ventures have really taken a value-add road that we’re really having been
road that we’re really having been
road that we’re really having been entrepreneurs before and having built
entrepreneurs before and having built
entrepreneurs before and having built successful
successful
successful businesses we built our teams around
businesses we built our teams around
businesses we built our teams around many operating businesses to help
many operating businesses to help
many operating businesses to help healthy entrepreneurs as we know how
healthy entrepreneurs as we know how
healthy entrepreneurs as we know how hard it is to build and scale a company
hard it is to build and scale a company
hard it is to build and scale a company so where would you start in terms of how
so where would you start in terms of how
so where would you start in terms of how much money you would put in like what’s
much money you would put in like what’s
much money you would put in like what’s the first check that you put into a
the first check that you put into a
the first check that you put into a company typically yeah so our our sweet
company typically yeah so our our sweet
company typically yeah so our our sweet spot if you with all for investing is we
spot if you with all for investing is we
spot if you with all for investing is we ideally want to be entering Series A and
ideally want to be entering Series A and
ideally want to be entering Series A and that that can mean a number of different
that that can mean a number of different
that that can mean a number of different it’s all generalized typically that
it’s all generalized typically that
it’s all generalized typically that company will have product they’ll start
company will have product they’ll start
company will have product they’ll start to have some customer traction you can
to have some customer traction you can
to have some customer traction you can see the line of sight to about a million
see the line of sight to about a million
see the line of sight to about a million dollars in reoccurring revenue so for us
dollars in reoccurring revenue so for us
dollars in reoccurring revenue so for us that’s a you know we like to look at
that’s a you know we like to look at
that’s a you know we like to look at investing about five million dollars in
investing about five million dollars in
investing about five million dollars in that round we do invest in Series B as
that round we do invest in Series B as
that round we do invest in Series B as well and and for us the average check
well and and for us the average check
well and and for us the average check the initial check is ten million
the initial check is ten million
the initial check is ten million can we just led Series B at a company
can we just led Series B at a company
can we just led Series B at a company called best robotics they’re autonomous
called best robotics they’re autonomous
called best robotics they’re autonomous robots that help move goods for
robots that help move goods for
robots that help move goods for companies like DHL in their warehouses
companies like DHL in their warehouses
companies like DHL in their warehouses so it was a twenty five million dollar
so it was a twenty five million dollar
so it was a twenty five million dollar round we led with him so though that’s
round we led with him so though that’s
round we led with him so though that’s the sweet spot now when I will state
the sweet spot now when I will state
the sweet spot now when I will state entrepreneurs out there we as well as a
entrepreneurs out there we as well as a
entrepreneurs out there we as well as a number of other venture firms will and
number of other venture firms will and
number of other venture firms will and after leader though I do have the
after leader though I do have the
after leader though I do have the ability we just invested in an amazing
ability we just invested in an amazing
ability we just invested in an amazing machine learning company Berkeley in the
machine learning company Berkeley in the
machine learning company Berkeley in the small track it was only a hundred
small track it was only a hundred
small track it was only a hundred thousand dollars our goal there is that
thousand dollars our goal there is that
thousand dollars our goal there is that the entrepreneur he has some pilots but
the entrepreneur he has some pilots but
the entrepreneur he has some pilots but he doesn’t have revenue our goal is will
he doesn’t have revenue our goal is will
he doesn’t have revenue our goal is will help that entrepreneur build his
help that entrepreneur build his
help that entrepreneur build his business and then we can invest you know
business and then we can invest you know
business and then we can invest you know a larger capital amount so it’s kind of
a larger capital amount so it’s kind of
a larger capital amount so it’s kind of that range it’s a it’s a broad answer
that range it’s a it’s a broad answer
that range it’s a it’s a broad answer but for us it’s almost like idea through
but for us it’s almost like idea through
but for us it’s almost like idea through Series B and depending on where any
Series B and depending on where any
Series B and depending on where any entrepreneur is it scalable depends on
entrepreneur is it scalable depends on
entrepreneur is it scalable depends on the track size and now I know you love
the track size and now I know you love
the track size and now I know you love technology you want to hyper grow
technology you want to hyper grow
technology you want to hyper grow companies but you’re also about the team
companies but you’re also about the team
companies but you’re also about the team and a management so if I’m an
and a management so if I’m an
and a management so if I’m an entrepreneur I’m looking at getting
entrepreneur I’m looking at getting
entrepreneur I’m looking at getting venture capital funding I’m gonna I’m
venture capital funding I’m gonna I’m
venture capital funding I’m gonna I’m gonna pitch you I’m gonna pitch sway
gonna pitch you I’m gonna pitch sway
gonna pitch you I’m gonna pitch sway what are the three to five most
what are the three to five most
what are the three to five most important things that you look at to say
important things that you look at to say
important things that you look at to say this is worth me putting some time and
this is worth me putting some time and
this is worth me putting some time and money into yeah your as past
money into yeah your as past
money into yeah your as past former life is er you’re already
former life is er you’re already
former life is er you’re already alluding to somebody areas to focus on
alluding to somebody areas to focus on
alluding to somebody areas to focus on so different venture capital firms they
so different venture capital firms they
so different venture capital firms they focus on different areas for us it’s
focus on different areas for us it’s
focus on different areas for us it’s sway ventures first and foremost we’re
sway ventures first and foremost we’re
sway ventures first and foremost we’re all about team so we tend to look for
all about team so we tend to look for
all about team so we tend to look for founders that have done kind of one of
founders that have done kind of one of
founders that have done kind of one of three things you’ve worked inside of a
three things you’ve worked inside of a
three things you’ve worked inside of a larger organization in a product line
larger organization in a product line
larger organization in a product line that’s very similar to what you’re doing
that’s very similar to what you’re doing
that’s very similar to what you’re doing no number one number two you’ve already
no number one number two you’ve already
no number one number two you’ve already found an exit maybe it failed maybe you
found an exit maybe it failed maybe you
found an exit maybe it failed maybe you have a good exit but you’ve already done
have a good exit but you’ve already done
have a good exit but you’ve already done something in that space or you’re just a
something in that space or you’re just a
something in that space or you’re just a genius that has a unique insight from
genius that has a unique insight from
genius that has a unique insight from undergrad or actual and I think the
undergrad or actual and I think the
undergrad or actual and I think the common theme is we’re looking for a
common theme is we’re looking for a
common theme is we’re looking for a unique competitive advantage in the team
unique competitive advantage in the team
unique competitive advantage in the team I think that’s one number two I think
I think that’s one number two I think
I think that’s one number two I think entrepreneurs really need to focus on
entrepreneurs really need to focus on
entrepreneurs really need to focus on co-founders but ideally you want to have
co-founders but ideally you want to have
co-founders but ideally you want to have three co-founders there’s a company we
three co-founders there’s a company we
three co-founders there’s a company we invested in called split dot IO they’re
invested in called split dot IO they’re
invested in called split dot IO they’re in the developer tool space all around
in the developer tool space all around
in the developer tool space all around release management for software and the
release management for software and the
release management for software and the three founders had work together at
three founders had work together at
three founders had work together at Salesforce two were technical so you you
Salesforce two were technical so you you
Salesforce two were technical so you you get this balance it’s kind of a hit by
get this balance it’s kind of a hit by
get this balance it’s kind of a hit by the bus scenario that venture
the bus scenario that venture
the bus scenario that venture capitalists will look at if you just
capitalists will look at if you just
capitalists will look at if you just never knows the track create a balance
never knows the track create a balance
never knows the track create a balance with your your your co-founders I think
with your your your co-founders I think
with your your your co-founders I think in the key part and then the final piece
in the key part and then the final piece
in the key part and then the final piece is for us we look for software as a
is for us we look for software as a
is for us we look for software as a unique competitive advantage so ideally
unique competitive advantage so ideally
unique competitive advantage so ideally we want to have someone that’s the part
we want to have someone that’s the part
we want to have someone that’s the part of the founding team that has a
of the founding team that has a
of the founding team that has a technical background if it’s too
technical background if it’s too
technical background if it’s too brilliant MBAs and they outsource a
brilliant MBAs and they outsource a
brilliant MBAs and they outsource a product some develop a shop it’s really
product some develop a shop it’s really
product some develop a shop it’s really not not for us so those are probably the
not not for us so those are probably the
not not for us so those are probably the three areas that I focus on as an
three areas that I focus on as an
three areas that I focus on as an entrepreneur around team and then
entrepreneur around team and then
entrepreneur around team and then there’s some other areas but if I had to
there’s some other areas but if I had to
there’s some other areas but if I had to pick one that’s team in those three
pick one that’s team in those three
pick one that’s team in those three areas got it now now around the idea of
areas got it now now around the idea of
areas got it now now around the idea of partnerships it comes up a lot on this
partnerships it comes up a lot on this
partnerships it comes up a lot on this channel a lot of my viewers ask how do I
channel a lot of my viewers ask how do I
channel a lot of my viewers ask how do I find the right business partner how do I
find the right business partner how do I
find the right business partner how do I know that it’s gonna work out long term
know that it’s gonna work out long term
know that it’s gonna work out long term what advice do you have for
what advice do you have for
what advice do you have for who are trying to find that right person
who are trying to find that right person
who are trying to find that right person especially if they’re kind of gearing up
especially if they’re kind of gearing up
especially if they’re kind of gearing up to be able to really hyper scale and go
to be able to really hyper scale and go
to be able to really hyper scale and go out and get venture capital do you have
out and get venture capital do you have
out and get venture capital do you have pearls of wisdom around finding that the
pearls of wisdom around finding that the
pearls of wisdom around finding that the perfect business partner for you yeah
perfect business partner for you yeah
perfect business partner for you yeah well this is the some concrete examples
well this is the some concrete examples
well this is the some concrete examples look in Canada you know Waterloo as an
look in Canada you know Waterloo as an
look in Canada you know Waterloo as an example is really you know scale is an
example is really you know scale is an
example is really you know scale is an amazing engineering school so depending
amazing engineering school so depending
amazing engineering school so depending on where you went undergrad or brat
on where you went undergrad or brat
on where you went undergrad or brat trying to tap into your alumni network
trying to tap into your alumni network
trying to tap into your alumni network is I think a great great area we see
is I think a great great area we see
is I think a great great area we see founders actually inside of larger
founders actually inside of larger
founders actually inside of larger organizations that beaker founders there
organizations that beaker founders there
organizations that beaker founders there and then they decide to leave obviously
and then they decide to leave obviously
and then they decide to leave obviously being very careful about the
being very careful about the
being very careful about the intellectual property that you leave
intellectual property that you leave
intellectual property that you leave behind so I mean you got universities
behind so I mean you got universities
behind so I mean you got universities you’ve got companies as you work out and
you’ve got companies as you work out and
you’ve got companies as you work out and then there are a number of great
then there are a number of great
then there are a number of great incubators that come up a part of that
incubators that come up a part of that
incubators that come up a part of that is you may be a brilliant entrepreneur
is you may be a brilliant entrepreneur
is you may be a brilliant entrepreneur and a part of what the incubator does is
and a part of what the incubator does is
and a part of what the incubator does is help you find that co-founder on the
help you find that co-founder on the
help you find that co-founder on the board of an incubator called next few
board of an incubator called next few
board of an incubator called next few and it’s one of the things that they
and it’s one of the things that they
and it’s one of the things that they focus on so you can have a great idea a
focus on so you can have a great idea a
focus on so you can have a great idea a great technology and a part of that
great technology and a part of that
great technology and a part of that process is actually finding that founder
process is actually finding that founder
process is actually finding that founder is that ever something that you guys
is that ever something that you guys
is that ever something that you guys participate in like if there’s a
participate in like if there’s a
participate in like if there’s a weakness in the management team that you
weakness in the management team that you
weakness in the management team that you helped find maybe the the president or
helped find maybe the the president or
helped find maybe the the president or the CEO of the person is like really
the CEO of the person is like really
the CEO of the person is like really good technical marketing but they need
good technical marketing but they need
good technical marketing but they need the leader do you guys get involved in
the leader do you guys get involved in
the leader do you guys get involved in that process or you want that figured
that process or you want that figured
that process or you want that figured out before they come to you one of the
out before they come to you one of the
out before they come to you one of the main pillars rustics way ventures is
main pillars rustics way ventures is
main pillars rustics way ventures is focusing on adding value where the
focusing on adding value where the
focusing on adding value where the entrepreneurs want it that’s a key thing
entrepreneurs want it that’s a key thing
entrepreneurs want it that’s a key thing it’s not just about value that’s being
it’s not just about value that’s being
it’s not just about value that’s being aligned with the founder or founders and
aligned with the founder or founders and
aligned with the founder or founders and part of that is talent so I don’t want a
part of that is talent so I don’t want a
part of that is talent so I don’t want a founder community they don’t feel like
founder community they don’t feel like
founder community they don’t feel like they need to come with everything
they need to come with everything
they need to come with everything completely completely baked and
completely completely baked and
completely completely baked and completely ironed out early on and we’re
completely ironed out early on and we’re
completely ironed out early on and we’re currently we’ve been working maybe for
currently we’ve been working maybe for
currently we’ve been working maybe for six months with one founder yeah a
six months with one founder yeah a
six months with one founder yeah a successful exit in the voice Enterprise
successful exit in the voice Enterprise
successful exit in the voice Enterprise space we’re working with him on his
space we’re working with him on his
space we’re working with him on his business model
business model
business model we’re working with him on five dating is
we’re working with him on five dating is
we’re working with him on five dating is co-founder and we had an investment a
co-founder and we had an investment a
co-founder and we had an investment a time so what they’re it’s early on or
time so what they’re it’s early on or
time so what they’re it’s early on or later on there’s a company Makana in the
later on there’s a company Makana in the
later on there’s a company Makana in the security space and you know we helpline
security space and you know we helpline
security space and you know we helpline a CEO because I’m the VP of engineering
a CEO because I’m the VP of engineering
a CEO because I’m the VP of engineering because teams change over time and the
because teams change over time and the
because teams change over time and the founder may want to move to an executive
founder may want to move to an executive
founder may want to move to an executive chairman role or CTO role so I think
chairman role or CTO role so I think
chairman role or CTO role so I think there’s a number of dynamics that we
there’s a number of dynamics that we
there’s a number of dynamics that we pride ourselves in in value as we grow
pride ourselves in in value as we grow
pride ourselves in in value as we grow it when an entrepreneur is going out
it when an entrepreneur is going out
it when an entrepreneur is going out looking for capital whether that’s a VC
looking for capital whether that’s a VC
looking for capital whether that’s a VC or even even smaller they’re going after
or even even smaller they’re going after
or even even smaller they’re going after angels what do you think are the best
angels what do you think are the best
angels what do you think are the best questions that the entrepreneurs should
questions that the entrepreneurs should
questions that the entrepreneurs should be asking the investors either doing
be asking the investors either doing
be asking the investors either doing their pitch they’re gonna get asked a
their pitch they’re gonna get asked a
their pitch they’re gonna get asked a lot of questions but what questions
lot of questions but what questions
lot of questions but what questions should I be asking you if I’m coming to
should I be asking you if I’m coming to
should I be asking you if I’m coming to pitch you the reality is it is a two-way
pitch you the reality is it is a two-way
pitch you the reality is it is a two-way street meaning with the venture
street meaning with the venture
street meaning with the venture capitalists as well as the foreigner and
capitalists as well as the foreigner and
capitalists as well as the foreigner and I think first informative I think
I think first informative I think
I think first informative I think there’s a cultural you know core values
there’s a cultural you know core values
there’s a cultural you know core values or principles whenever you you using
or principles whenever you you using
or principles whenever you you using your own terminology I think you need to
your own terminology I think you need to
your own terminology I think you need to find out and a partner level who you’re
find out and a partner level who you’re
find out and a partner level who you’re going to be working with and what their
going to be working with and what their
going to be working with and what their core values are and I think part of this
core values are and I think part of this
core values are and I think part of this conversation and part of its finding I
conversation and part of its finding I
conversation and part of its finding I put them outside of the office so I
put them outside of the office so I
put them outside of the office so I think they’re there’s that first and
think they’re there’s that first and
think they’re there’s that first and foremost because it’s given me a
foremost because it’s given me a
foremost because it’s given me a long-term relationship I mean it could
long-term relationship I mean it could
long-term relationship I mean it could be my music 50 10 years it could be
be my music 50 10 years it could be
be my music 50 10 years it could be longer number two I think what are the
longer number two I think what are the
longer number two I think what are the specializations at that part from that
specializations at that part from that
specializations at that part from that firm focus all right for us it’s way
firm focus all right for us it’s way
firm focus all right for us it’s way Venturi’s its capital revenue account
Venturi’s its capital revenue account
Venturi’s its capital revenue account the different firms may have different
the different firms may have different
the different firms may have different approaches some entrepreneurs are better
approaches some entrepreneurs are better
approaches some entrepreneurs are better off with venture capitalists that are
off with venture capitalists that are
off with venture capitalists that are just financial investors we want to give
just financial investors we want to give
just financial investors we want to give you money and then it’s up you to go
you money and then it’s up you to go
you money and then it’s up you to go execute so I think focusing on what is
execute so I think focusing on what is
execute so I think focusing on what is the partner and what is the what is the
the partner and what is the what is the
the partner and what is the what is the venture capital firm do and then finally
venture capital firm do and then finally
venture capital firm do and then finally I think the key thing is how much
I think the key thing is how much
I think the key thing is how much capital is going to be in what’s called
capital is going to be in what’s called
capital is going to be in what’s called reserve
reserve
reserve so if we’re writing a five million
so if we’re writing a five million
so if we’re writing a five million dollar or use this example we’re running
dollar or use this example we’re running
dollar or use this example we’re running the ten million dollar investment into a
the ten million dollar investment into a
the ten million dollar investment into a series B we typically hold ten million
series B we typically hold ten million
series B we typically hold ten million dollars over to the side for follow on
dollars over to the side for follow on
dollars over to the side for follow on message so I think the the idea on can
message so I think the the idea on can
message so I think the the idea on can the firm grow with you as an
the firm grow with you as an
the firm grow with you as an entrepreneur is important I like it
entrepreneur is important I like it
entrepreneur is important I like it well guys if you have a question for
well guys if you have a question for
well guys if you have a question for Bill leave it in the live chat and I
Bill leave it in the live chat and I
Bill leave it in the live chat and I will hopefully be able to get to a good
will hopefully be able to get to a good
will hopefully be able to get to a good chunk of them up first is M of M Hussain
chunk of them up first is M of M Hussain
chunk of them up first is M of M Hussain first question for bill going public
first question for bill going public
first question for bill going public versus private capital funding what do
versus private capital funding what do
versus private capital funding what do you think yeah very very timely
you think yeah very very timely
you think yeah very very timely conversation I was just meeting with an
conversation I was just meeting with an
conversation I was just meeting with an endowment as we made my arm out there
endowment as we made my arm out there
endowment as we made my arm out there drug capital in downloading because
drug capital in downloading because
drug capital in downloading because larger companies uber Airbnb Dropbox
larger companies uber Airbnb Dropbox
larger companies uber Airbnb Dropbox Palantir our house staying private
Palantir our house staying private
Palantir our house staying private longer it’s actually causing a ripple
longer it’s actually causing a ripple
longer it’s actually causing a ripple effect and the problem at the LPD the
effect and the problem at the LPD the
effect and the problem at the LPD the limited partner community so four
limited partner community so four
limited partner community so four founders okay I think going in public is
founders okay I think going in public is
founders okay I think going in public is is something that’s costly and something
is something that’s costly and something
is something that’s costly and something that has a level of regulation and
that has a level of regulation and
that has a level of regulation and oversight so I could get all depends on
oversight so I could get all depends on
oversight so I could get all depends on the investors and the founders is a long
the investors and the founders is a long
the investors and the founders is a long way around to say that because that is
way around to say that because that is
way around to say that because that is staying private is great but you need to
staying private is great but you need to
staying private is great but you need to find ways to inject capital so if you
find ways to inject capital so if you
find ways to inject capital so if you are someone like Airbnb or Alan here and
are someone like Airbnb or Alan here and
are someone like Airbnb or Alan here and you can stay private longer and you can
you can stay private longer and you can
you can stay private longer and you can get private market investments then
get private market investments then
get private market investments then there’s no downside the only thing that
there’s no downside the only thing that
there’s no downside the only thing that I would say is as companies stay private
I would say is as companies stay private
I would say is as companies stay private longer they need to implement it
longer they need to implement it
longer they need to implement it regulations compliance and oversight
regulations compliance and oversight
regulations compliance and oversight like they were operating as a public
like they were operating as a public
like they were operating as a public company you mentioned it earlier rear
company you mentioned it earlier rear
company you mentioned it earlier rear and investor in uber and you know I
and investor in uber and you know I
and investor in uber and you know I think we’ve also seen the troubles that
think we’ve also seen the troubles that
think we’ve also seen the troubles that they’ve gone through it’s an amazing
they’ve gone through it’s an amazing
they’ve gone through it’s an amazing business I think it’s changed the way
business I think it’s changed the way
business I think it’s changed the way that we think about transportation and
that we think about transportation and
that we think about transportation and logistics but at the same time they were
logistics but at the same time they were
logistics but at the same time they were able to stay private longer and now new
able to stay private longer and now new
able to stay private longer and now new CEO new focus on control so if you do
CEO new focus on control so if you do
CEO new focus on control so if you do stay private
stay private
stay private focus on the back kind of
focus on the back kind of
focus on the back kind of like control mechanism early just like
like control mechanism early just like
like control mechanism early just like you were public I love it a bunch of
you were public I love it a bunch of
you were public I love it a bunch of people want to know what your thoughts
people want to know what your thoughts
people want to know what your thoughts on education is and how it relates to
on education is and how it relates to
on education is and how it relates to entrepreneurship should they be going to
entrepreneurship should they be going to
entrepreneurship should they be going to school should to be doing their business
school should to be doing their business
school should to be doing their business what what are your thoughts maybe where
what what are your thoughts maybe where
what what are your thoughts maybe where we’re hitting a hot topic but what do
we’re hitting a hot topic but what do
we’re hitting a hot topic but what do you think about education and the
you think about education and the
you think about education and the relevance to entrepreneurship education
relevance to entrepreneurship education
relevance to entrepreneurship education for all of us it’s going to be very
for all of us it’s going to be very
for all of us it’s going to be very interesting the next 25 years to see how
interesting the next 25 years to see how
interesting the next 25 years to see how the education landscape changes there
the education landscape changes there
the education landscape changes there are some amazing branded schools that
are some amazing branded schools that
are some amazing branded schools that you know still today people are looking
you know still today people are looking
you know still today people are looking for that that checkmark right if you
for that that checkmark right if you
for that that checkmark right if you think about graduating from a university
think about graduating from a university
think about graduating from a university either es hora or master’s degree so I
either es hora or master’s degree so I
either es hora or master’s degree so I still feel like it’s a checkbox that a
still feel like it’s a checkbox that a
still feel like it’s a checkbox that a lot of people are looking for but we’ve
lot of people are looking for but we’ve
lot of people are looking for but we’ve seen some amazing founders that just
seen some amazing founders that just
seen some amazing founders that just found their niche early on and it could
found their niche early on and it could
found their niche early on and it could have been in computer science and it was
have been in computer science and it was
have been in computer science and it was a laser who’s on what they were
a laser who’s on what they were
a laser who’s on what they were passionate about and they are they’re
passionate about and they are they’re
passionate about and they are they’re amazing founders and they’ve been able
amazing founders and they’ve been able
amazing founders and they’ve been able to succeed so I think it all depends on
to succeed so I think it all depends on
to succeed so I think it all depends on the person and what their unique
the person and what their unique
the person and what their unique competitive advantages for me I felt
competitive advantages for me I felt
competitive advantages for me I felt like I needed I needed to focus my
like I needed I needed to focus my
like I needed I needed to focus my underground onion hearing and get those
underground onion hearing and get those
underground onion hearing and get those technical skills I felt like I needed to
technical skills I felt like I needed to
technical skills I felt like I needed to get a master’s in business because I
get a master’s in business because I
get a master’s in business because I needed to round out what I’d done from a
needed to round out what I’d done from a
needed to round out what I’d done from a technical standpoint but I’ve also seen
technical standpoint but I’ve also seen
technical standpoint but I’ve also seen amazing entrepreneurs you know dropped
amazing entrepreneurs you know dropped
amazing entrepreneurs you know dropped out of one or two years of undergrad
out of one or two years of undergrad
out of one or two years of undergrad because they felt starting their
because they felt starting their
because they felt starting their business I was rightly down so I used to
business I was rightly down so I used to
business I was rightly down so I used to work at a venture capital firm here in
work at a venture capital firm here in
work at a venture capital firm here in Toronto and if we saw a business plan
Toronto and if we saw a business plan
Toronto and if we saw a business plan where all the founders had all had PhDs
where all the founders had all had PhDs
where all the founders had all had PhDs and multiple PhDs and no kind of
and multiple PhDs and no kind of
and multiple PhDs and no kind of entrepreneurial background it’d be
entrepreneurial background it’d be
entrepreneurial background it’d be almost a strike against like too much
almost a strike against like too much
almost a strike against like too much education and not enough practical
education and not enough practical
education and not enough practical experience I wonder from your
experience I wonder from your
experience I wonder from your perspective if you see everybody with
perspective if you see everybody with
perspective if you see everybody with phd’s is that a good thing is that a bad
phd’s is that a good thing is that a bad
phd’s is that a good thing is that a bad thing do you even care where they went
thing do you even care where they went
thing do you even care where they went to school like how do you evaluate
to school like how do you evaluate
to school like how do you evaluate education when you’re looking at who
education when you’re looking at who
education when you’re looking at who you’re gonna invest in you know I have
you’re gonna invest in you know I have
you’re gonna invest in you know I have one of my old mentor best thing you can
one of my old mentor best thing you can
one of my old mentor best thing you can do is look at someone’s resume or
do is look at someone’s resume or
do is look at someone’s resume or and because it starts to create this
and because it starts to create this
and because it starts to create this this box right PFF ehe do you not have a
this box right PFF ehe do you not have a
this box right PFF ehe do you not have a degree so I try to follow that as much
degree so I try to follow that as much
degree so I try to follow that as much as I can as I’m meeting simple and
as I can as I’m meeting simple and
as I can as I’m meeting simple and really understand them or who they are I
really understand them or who they are I
really understand them or who they are I think it’s something that’s very
think it’s something that’s very
think it’s something that’s very important I think it depends on the type
important I think it depends on the type
important I think it depends on the type of technology right for us we’re using
of technology right for us we’re using
of technology right for us we’re using we’re looking at software as a unique
we’re looking at software as a unique
we’re looking at software as a unique competitive advantage we will invest in
competitive advantage we will invest in
competitive advantage we will invest in hardware companies but as an example
hardware companies but as an example
hardware companies but as an example some of the unique stuff is happening in
some of the unique stuff is happening in
some of the unique stuff is happening in artificial intelligence and machine
artificial intelligence and machine
artificial intelligence and machine learning the truly truly unique stuff is
learning the truly truly unique stuff is
learning the truly truly unique stuff is still in universities so you’re actually
still in universities so you’re actually
still in universities so you’re actually it’s actually a benefit that three PhDs
it’s actually a benefit that three PhDs
it’s actually a benefit that three PhDs that have never really built a business
that have never really built a business
that have never really built a business because you’re you’re betting that
because you’re you’re betting that
because you’re you’re betting that they’re gonna create some new algorithm
they’re gonna create some new algorithm
they’re gonna create some new algorithm around machine learning that’s a more
around machine learning that’s a more
around machine learning that’s a more mature business that’s security or
mature business that’s security or
mature business that’s security or infrastructure that’s more business
infrastructure that’s more business
infrastructure that’s more business execution where the PhD wouldn’t really
execution where the PhD wouldn’t really
execution where the PhD wouldn’t really matter god it’s really interesting how
matter god it’s really interesting how
matter god it’s really interesting how you don’t want to look at a resume the
you don’t want to look at a resume the
you don’t want to look at a resume the mansion partner at my firm would always
mansion partner at my firm would always
mansion partner at my firm would always say he’d always try to find the horse
say he’d always try to find the horse
say he’d always try to find the horse for the course like bet on the jockey
for the course like bet on the jockey
for the course like bet on the jockey not the horse and so I’m curious for you
not the horse and so I’m curious for you
not the horse and so I’m curious for you how do you getting the meeting with the
how do you getting the meeting with the
how do you getting the meeting with the VC is is the first step and most people
VC is is the first step and most people
VC is is the first step and most people don’t even get that first meeting so how
don’t even get that first meeting so how
don’t even get that first meeting so how do you determine where you’re gonna
do you determine where you’re gonna
do you determine where you’re gonna spend your time because it’s so valuable
spend your time because it’s so valuable
spend your time because it’s so valuable if you’re not looking at the resume with
if you’re not looking at the resume with
if you’re not looking at the resume with the person how do you make that judgment
the person how do you make that judgment
the person how do you make that judgment call and who to who to spend time on so
call and who to who to spend time on so
call and who to who to spend time on so you know for us we investors in great
you know for us we investors in great
you know for us we investors in great companies Twilio sind grid for like you
companies Twilio sind grid for like you
companies Twilio sind grid for like you uber so we got the time referral network
uber so we got the time referral network
uber so we got the time referral network that now comes from our existing
that now comes from our existing
that now comes from our existing founders where they’re having exits
founders where they’re having exits
founders where they’re having exits we’re now investing in their next
we’re now investing in their next
we’re now investing in their next companies we’ve got great relationships
companies we’ve got great relationships
companies we’ve got great relationships with with large corporations which I
with with large corporations which I
with with large corporations which I think spawned some of the innovation
think spawned some of the innovation
think spawned some of the innovation that’s
that’s
that’s in technology Google Cisco Microsoft so
in technology Google Cisco Microsoft so
in technology Google Cisco Microsoft so our deal flow against has come from
our deal flow against has come from
our deal flow against has come from known networks as opposed to just kind
known networks as opposed to just kind
known networks as opposed to just kind of sitting there stumbling and do it
of sitting there stumbling and do it
of sitting there stumbling and do it we’re very proactive about how we think
we’re very proactive about how we think
we’re very proactive about how we think that our deal well the next question
that our deal well the next question
that our deal well the next question feeds into that neezy is writing in to
feeds into that neezy is writing in to
feeds into that neezy is writing in to say how do you connect into the networks
say how do you connect into the networks
say how do you connect into the networks of venture capital so what would you
of venture capital so what would you
of venture capital so what would you recommend a few months ago about this I
recommend a few months ago about this I
recommend a few months ago about this I think it’s it’s like anything treat it
think it’s it’s like anything treat it
think it’s it’s like anything treat it like sales meaning do your research and
like sales meaning do your research and
like sales meaning do your research and try to find something unique so
try to find something unique so
try to find something unique so different venture firms focus on
different venture firms focus on
different venture firms focus on different areas for us it’s advanced
different areas for us it’s advanced
different areas for us it’s advanced enterprise transportation logistics
enterprise transportation logistics
enterprise transportation logistics cyber and then finally like hard tech on
cyber and then finally like hard tech on
cyber and then finally like hard tech on the consumer side and then each partner
the consumer side and then each partner
the consumer side and then each partner you can find all this public information
you can find all this public information
you can find all this public information on on databases like CBM sites
on on databases like CBM sites
on on databases like CBM sites CrunchBase each partner does a certain
CrunchBase each partner does a certain
CrunchBase each partner does a certain type of deals focus on their thought
type of deals focus on their thought
type of deals focus on their thought leadership on medium and really try to
leadership on medium and really try to
leadership on medium and really try to find a connection to a partner that is
find a connection to a partner that is
find a connection to a partner that is in an area i think someone that’s just
in an area i think someone that’s just
in an area i think someone that’s just going out and blanketing I haven’t
going out and blanketing I haven’t
going out and blanketing I haven’t really invest in Bitcoin as an example
really invest in Bitcoin as an example
really invest in Bitcoin as an example firms in point
firms in point
firms in point personally I may be some if I’m getting
personally I may be some if I’m getting
personally I may be some if I’m getting that business plan that that person
that business plan that that person
that business plan that that person hasn’t done research on what I’m
hasn’t done research on what I’m
hasn’t done research on what I’m passionate about its way of what I got
passionate about its way of what I got
passionate about its way of what I got it
it
it next question bill I want to ask you if
next question bill I want to ask you if
next question bill I want to ask you if you had a chance to meet yourself 15
you had a chance to meet yourself 15
you had a chance to meet yourself 15 years back and you had one minute to
years back and you had one minute to
years back and you had one minute to give yourself advice what would you say
give yourself advice what would you say
give yourself advice what would you say wow that’s an easy question so I think
wow that’s an easy question so I think
wow that’s an easy question so I think my father says as well I think you know
my father says as well I think you know
my father says as well I think you know you need to do a better job of stopping
you need to do a better job of stopping
you need to do a better job of stopping and smelling the roses I think taking
and smelling the roses I think taking
and smelling the roses I think taking that example I’d say continue to drive
that example I’d say continue to drive
that example I’d say continue to drive hard but spend more time focusing on
hard but spend more time focusing on
hard but spend more time focusing on those relationships right we’re talking
those relationships right we’re talking
those relationships right we’re talking about team and people as opposed to for
about team and people as opposed to for
about team and people as opposed to for me every execution or in oh I
me every execution or in oh I
me every execution or in oh I my bollocks say stop and smell the roses
my bollocks say stop and smell the roses
my bollocks say stop and smell the roses a little bit or so so then my follow-up
a little bit or so so then my follow-up
a little bit or so so then my follow-up to that is if we if we you know fast
to that is if we if we you know fast
to that is if we if we you know fast forward 15 years later you get asked the
forward 15 years later you get asked the
forward 15 years later you get asked the same question would you be telling
same question would you be telling
same question would you be telling yourself the same thing we’ll be doing
yourself the same thing we’ll be doing
yourself the same thing we’ll be doing it in VR though and not not over YouTube
it in VR though and not not over YouTube
it in VR though and not not over YouTube Hangouts please sleep
Salima is asking what kind of control do
Salima is asking what kind of control do you give up as an entrepreneur when you
you give up as an entrepreneur when you
you give up as an entrepreneur when you get money from a venture capitalist yeah
get money from a venture capitalist yeah
get money from a venture capitalist yeah so venture capital compared to private
so venture capital compared to private
so venture capital compared to private equity is you’re typically not taking
equity is you’re typically not taking
equity is you’re typically not taking controlling states and companies so
controlling states and companies so
controlling states and companies so you’re buying you know I’m saying on
you’re buying you know I’m saying on
you’re buying you know I’m saying on average 10 to 25% of the company now
average 10 to 25% of the company now
average 10 to 25% of the company now what does come with that is I’d say a
what does come with that is I’d say a
what does come with that is I’d say a board governance so in every reckon that
board governance so in every reckon that
board governance so in every reckon that we’re leading when it’s happening is we
we’re leading when it’s happening is we
we’re leading when it’s happening is we create a board structure so if it’s
create a board structure so if it’s
create a board structure so if it’s early on and we’re the first money in
early on and we’re the first money in
early on and we’re the first money in we’ll create a board of three it’s us
we’ll create a board of three it’s us
we’ll create a board of three it’s us the founder and then an independent
the founder and then an independent
the founder and then an independent that’s selected by us and the founder so
that’s selected by us and the founder so
that’s selected by us and the founder so that board control sets the governance
that board control sets the governance
that board control sets the governance for the for the company so it does
for the for the company so it does
for the for the company so it does become a more of a balance we’re down
become a more of a balance we’re down
become a more of a balance we’re down the pool or do sentence controls the the
the pool or do sentence controls the the
the pool or do sentence controls the the company necessarily hears the founder so
company necessarily hears the founder so
company necessarily hears the founder so that was interesting because you said if
that was interesting because you said if
that was interesting because you said if I’m the first money in if if you’re not
I’m the first money in if if you’re not
I’m the first money in if if you’re not if there’s angel investors that people
if there’s angel investors that people
if there’s angel investors that people taking deals with what percentage is the
taking deals with what percentage is the
taking deals with what percentage is the entrepreneur still have to own
entrepreneur still have to own
entrepreneur still have to own themselves when they’re coming to you
themselves when they’re coming to you
themselves when they’re coming to you that you would still look at the deal
that you would still look at the deal
that you would still look at the deal because you don’t want to buy out
because you don’t want to buy out
because you don’t want to buy out another investor and you want them still
another investor and you want them still
another investor and you want them still to have enough equity so it’s meaningful
to have enough equity so it’s meaningful
to have enough equity so it’s meaningful right yeah you know it ranges is such a
right yeah you know it ranges is such a
right yeah you know it ranges is such a wide right see depending on the stage
wide right see depending on the stage
wide right see depending on the stage accommodate these founders you know who
accommodate these founders you know who
accommodate these founders you know who get alluded over time it could be they
get alluded over time it could be they
get alluded over time it could be they own 10 to 15 percent of the company and
own 10 to 15 percent of the company and
own 10 to 15 percent of the company and if it’s early on and they own in a
if it’s early on and they own in a
if it’s early on and they own in a seventy percent of the company so the
seventy percent of the company so the
seventy percent of the company so the good thing if you’re doing it right
good thing if you’re doing it right
good thing if you’re doing it right with the right venture capitalist what
with the right venture capitalist what
with the right venture capitalist what you do is you go through new financings
you do is you go through new financings
you do is you go through new financings you’re doing what’s called expanding the
you’re doing what’s called expanding the
you’re doing what’s called expanding the option pool because the founder let’s
option pool because the founder let’s
option pool because the founder let’s say you start with 50% ownership as the
say you start with 50% ownership as the
say you start with 50% ownership as the new money comes in that founders gonna
new money comes in that founders gonna
new money comes in that founders gonna get diluted down 50 will go to 35 but
get diluted down 50 will go to 35 but
get diluted down 50 will go to 35 but what you can do the founders still
what you can do the founders still
what you can do the founders still active is you can issue the new stock
active is you can issue the new stock
active is you can issue the new stock options it’s a way to kind of re up
options it’s a way to kind of re up
options it’s a way to kind of re up their ownership so we’re a big proponent
their ownership so we’re a big proponent
their ownership so we’re a big proponent of that because you wanted to be anymore
of that because you wanted to be anymore
of that because you wanted to be anymore the founder not only for the founders
the founder not only for the founders
the founder not only for the founders but for the executive team we spend a
but for the executive team we spend a
but for the executive team we spend a lot of time focusing on cash
lot of time focusing on cash
lot of time focusing on cash compensation that well as equity
compensation that well as equity
compensation that well as equity compensation we actually have a matrix
compensation we actually have a matrix
compensation we actually have a matrix that we developed for our founders helps
that we developed for our founders helps
that we developed for our founders helps them baseline because a company example
them baseline because a company example
them baseline because a company example the company in our portfolio you say
the company in our portfolio you say
the company in our portfolio you say look I don’t want to pay market rates
look I don’t want to pay market rates
look I don’t want to pay market rates for our for our for our team and that
for our for our for our team and that
for our for our for our team and that goes for me as well as the CEO right now
goes for me as well as the CEO right now
goes for me as well as the CEO right now I’m gonna make you know X dollars a year
I’m gonna make you know X dollars a year
I’m gonna make you know X dollars a year and that’s 50% of what market is but
and that’s 50% of what market is but
and that’s 50% of what market is but we’re going to overcompensate in equity
we’re going to overcompensate in equity
we’re going to overcompensate in equity so a part of it is what what is the
so a part of it is what what is the
so a part of it is what what is the company modality to compensation and has
company modality to compensation and has
company modality to compensation and has to the CEO and the founders have to uh
to the CEO and the founders have to uh
to the CEO and the founders have to uh to live what they’re saying for them
to live what they’re saying for them
to live what they’re saying for them personally but then just get that
personally but then just get that
personally but then just get that benchmark cuz you may say look we want a
benchmark cuz you may say look we want a
benchmark cuz you may say look we want a cash compensation 125 which in the
cash compensation 125 which in the
cash compensation 125 which in the market and under compensated equity just
market and under compensated equity just
market and under compensated equity just understand what that that ratio is for
understand what that that ratio is for
understand what that that ratio is for you as a founder what percentage are
you as a founder what percentage are
you as a founder what percentage are there warning bells kind of going off
there warning bells kind of going off
there warning bells kind of going off for you look if I’m coming to you for
for you look if I’m coming to you for
for you look if I’m coming to you for Series A and I own eight percent of my
Series A and I own eight percent of my
Series A and I own eight percent of my company that’s probably a big risk right
company that’s probably a big risk right
company that’s probably a big risk right so what’s the lowest percent that like
so what’s the lowest percent that like
so what’s the lowest percent that like where it word starts to your alarms are
where it word starts to your alarms are
where it word starts to your alarms are going off for you your ownership early
if there are three co-founders and
if there are three co-founders and everyone owns twenty to twenty five
everyone owns twenty to twenty five
everyone owns twenty to twenty five percent well maybe then it starts to
percent well maybe then it starts to
percent well maybe then it starts to make sense
make sense
make sense I think it depends on how many come back
I think it depends on how many come back
I think it depends on how many come back you have yeah it’s one founder and you
you have yeah it’s one founder and you
you have yeah it’s one founder and you call that series a with 15% or something
call that series a with 15% or something
call that series a with 15% or something going on got it
going on got it
going on got it the next questions coming in around
the next questions coming in around
the next questions coming in around margins what kind of margins are you
margins what kind of margins are you
margins what kind of margins are you looking for for the products or services
looking for for the products or services
looking for for the products or services that your companies are selling yeah so
that your companies are selling yeah so
that your companies are selling yeah so we invest in both hardware and software
we invest in both hardware and software
we invest in both hardware and software we’re always looking upwards a
we’re always looking upwards a
we’re always looking upwards a competitive manage the hardware
competitive manage the hardware
competitive manage the hardware companies obviously have because
companies obviously have because
companies obviously have because inherently lower margin bumpy that
inherently lower margin bumpy that
inherently lower margin bumpy that they’re good so we invest in a company
they’re good so we invest in a company
they’re good so we invest in a company called new home it’s part of the
called new home it’s part of the
called new home it’s part of the executive team from nest which sold it
executive team from nest which sold it
executive team from nest which sold it to Google the multi-billion dollar exit
to Google the multi-billion dollar exit
to Google the multi-billion dollar exit have now launched a lighting product
have now launched a lighting product
have now launched a lighting product that’s hardware software and the market
that’s hardware software and the market
that’s hardware software and the market is in that are going to range from you
is in that are going to range from you
is in that are going to range from you know 35 is 60% and so we’re fine with
know 35 is 60% and so we’re fine with
know 35 is 60% and so we’re fine with that right because they can get scale
that right because they can get scale
that right because they can get scale and volume and it’s a very hard
and volume and it’s a very hard
and volume and it’s a very hard technological problem to solve and if
technological problem to solve and if
technological problem to solve and if you’re able to solve it it’s a massive
you’re able to solve it it’s a massive
you’re able to solve it it’s a massive business on the software side we’re
business on the software side we’re
business on the software side we’re looking at 60 to 90 percent margins and
looking at 60 to 90 percent margins and
looking at 60 to 90 percent margins and so I think it very much depends on how
so I think it very much depends on how
so I think it very much depends on how much do you prioritize top-line revenue
much do you prioritize top-line revenue
much do you prioritize top-line revenue growth versus actually turning a profit
growth versus actually turning a profit
growth versus actually turning a profit yeah there’s this term inventor that’s
yeah there’s this term inventor that’s
yeah there’s this term inventor that’s called unit economics so I think what
called unit economics so I think what
called unit economics so I think what you have to be careful of are the unit
you have to be careful of are the unit
you have to be careful of are the unit economics of the business or what I mean
economics of the business or what I mean
economics of the business or what I mean by that are if you look at a top-line
by that are if you look at a top-line
by that are if you look at a top-line revenue growth you’re willing to absorb
revenue growth you’re willing to absorb
revenue growth you’re willing to absorb a loss and please for the hit scale so
a loss and please for the hit scale so
a loss and please for the hit scale so you have to make sure that the unit
you have to make sure that the unit
you have to make sure that the unit economic that’s a deal makes sense
economic that’s a deal makes sense
economic that’s a deal makes sense we’re investors and ecommerce and
we’re investors and ecommerce and
we’re investors and ecommerce and logistics company college toad so as
logistics company college toad so as
logistics company college toad so as they add new distribution centers their
they add new distribution centers their
they add new distribution centers their margins dramatically increased because
margins dramatically increased because
margins dramatically increased because the cost of shipment goes to have them
the cost of shipment goes to have them
the cost of shipment goes to have them to make a business case that the unit
to make a business case that the unit
to make a business case that the unit economics get get better over time is
economics get get better over time is
economics get get better over time is almost all the time we’re investing in
almost all the time we’re investing in
almost all the time we’re investing in businesses that are losing money right
businesses that are losing money right
businesses that are losing money right they’re investing so heavily in the R&D
they’re investing so heavily in the R&D
they’re investing so heavily in the R&D the
the
the all about can you prove the unit
all about can you prove the unit
all about can you prove the unit economics make sense I think to the
economics make sense I think to the
economics make sense I think to the founders and entrepreneurs that are
founders and entrepreneurs that are
founders and entrepreneurs that are listening I think that’s a key thing to
listening I think that’s a key thing to
listening I think that’s a key thing to focus on them is to focus on the unit
focus on them is to focus on the unit
focus on them is to focus on the unit economics your business and proving that
economics your business and proving that
economics your business and proving that you can get to a profitable business and
you can get to a profitable business and
you can get to a profitable business and those assumptions can be validated got
those assumptions can be validated got
those assumptions can be validated got it next one coming in saying bill I’m 17
it next one coming in saying bill I’m 17
it next one coming in saying bill I’m 17 years old I want to be an entrepreneur
years old I want to be an entrepreneur
years old I want to be an entrepreneur what advice do you have for me either
what advice do you have for me either
what advice do you have for me either start coding on your own go to like a
start coding on your own go to like a
start coding on your own go to like a reactor or if you want to go to the
reactor or if you want to go to the
reactor or if you want to go to the University but I’m being an engineer
University but I’m being an engineer
University but I’m being an engineer myself you’re a software and master and
myself you’re a software and master and
myself you’re a software and master and I invest in technology and innovations
I invest in technology and innovations
I invest in technology and innovations and I think you really need to
and I think you really need to
and I think you really need to understand how products and companies
understand how products and companies
understand how products and companies are built it would be number one and
are built it would be number one and
are built it would be number one and number two it’s like just going to start
number two it’s like just going to start
number two it’s like just going to start something then you have technology but
something then you have technology but
something then you have technology but if you can like building that get it
if you can like building that get it
if you can like building that get it lost try to do something you know write
lost try to do something you know write
lost try to do something you know write a book see if you can take it out make
a book see if you can take it out make
a book see if you can take it out make money just do something that is running
money just do something that is running
money just do something that is running businesses is hard you know when I was
businesses is hard you know when I was
businesses is hard you know when I was an entrepreneur sitting here on board
an entrepreneur sitting here on board
an entrepreneur sitting here on board meetings the venture capitalists that I
meetings the venture capitalists that I
meetings the venture capitalists that I loved the most
loved the most
loved the most weren’t the venture capitalists that
weren’t the venture capitalists that
weren’t the venture capitalists that when my business would have downturn
when my business would have downturn
when my business would have downturn they were criticizing me every minute or
they were criticizing me every minute or
they were criticizing me every minute or helping me and their ballot II love this
helping me and their ballot II love this
helping me and their ballot II love this business venture capitalists and built
business venture capitalists and built
business venture capitalists and built businesses so they understood how hard
businesses so they understood how hard
businesses so they understood how hard it was so I think focus on the technical
it was so I think focus on the technical
it was so I think focus on the technical side and then just go start something I
side and then just go start something I
side and then just go start something I think time for one more question
think time for one more question
think time for one more question I build what advice do you have for
I build what advice do you have for
I build what advice do you have for entrepreneurs who want to develop their
entrepreneurs who want to develop their
entrepreneurs who want to develop their leadership skills leadership skills so I
leadership skills leadership skills so I
leadership skills leadership skills so I think the best advice that I can give is
think the best advice that I can give is
think the best advice that I can give is focus on surrounding yourself either
focus on surrounding yourself either
focus on surrounding yourself either officially or unofficially with mentors
officially or unofficially with mentors
officially or unofficially with mentors and advisers so you know you can do this
and advisers so you know you can do this
and advisers so you know you can do this where if you have you know one to five
where if you have you know one to five
where if you have you know one to five mentors or advisers I think like really
mentors or advisers I think like really
mentors or advisers I think like really go out and ask them and it could be you
go out and ask them and it could be you
go out and ask them and it could be you know your way to to treat them as you
know your way to to treat them as you
know your way to to treat them as you fight them out to lunch
fight them out to lunch
fight them out to lunch but really focus on people that are in
but really focus on people that are in
but really focus on people that are in sectors that you want to middle
sectors that you want to middle
sectors that you want to middle businesses or have leadership skills
businesses or have leadership skills
businesses or have leadership skills that you feel like you need to focus on
that you feel like you need to focus on
that you feel like you need to focus on so I think that’s the informal way if
so I think that’s the informal way if
so I think that’s the informal way if you already have a business I highly
you already have a business I highly
you already have a business I highly highly advise building yourself if you
highly advise building yourself if you
highly advise building yourself if you don’t already have a horrible or you can
don’t already have a horrible or you can
don’t already have a horrible or you can build an advisory board and actually
build an advisory board and actually
build an advisory board and actually give them some sort of stock options in
give them some sort of stock options in
give them some sort of stock options in your business and we’re gonna come up
your business and we’re gonna come up
your business and we’re gonna come up with a template that the audience can
with a template that the audience can
with a template that the audience can use I mean the way to do this is not
use I mean the way to do this is not
use I mean the way to do this is not this the issue I’ll make this up
this the issue I’ll make this up
this the issue I’ll make this up X percent to the advisors but to really
X percent to the advisors but to really
X percent to the advisors but to really make it based on what they do for you so
make it based on what they do for you so
make it based on what they do for you so we’re gonna agree on a 90 day plan Jane
we’re gonna agree on a 90 day plan Jane
we’re gonna agree on a 90 day plan Jane Doe and you’re gonna help me with how to
Doe and you’re gonna help me with how to
Doe and you’re gonna help me with how to think strategically about my business
think strategically about my business
think strategically about my business and I’ll give you why percent those
and I’ll give you why percent those
and I’ll give you why percent those stock options and then let’s dip down in
stock options and then let’s dip down in
stock options and then let’s dip down in 90 days and see if it’s working for both
90 days and see if it’s working for both
90 days and see if it’s working for both of us I think there’s a lot of drag and
of us I think there’s a lot of drag and
of us I think there’s a lot of drag and businesses that I’ve been vested in for
businesses that I’ve been vested in for
businesses that I’ve been vested in for the boxers that don’t really add a lot
the boxers that don’t really add a lot
the boxers that don’t really add a lot of value focus on the informal take
of value focus on the informal take
of value focus on the informal take someone out to lunch or dinner and just
someone out to lunch or dinner and just
someone out to lunch or dinner and just ask them to be a mentor advisor and it
ask them to be a mentor advisor and it
ask them to be a mentor advisor and it you’re a scale build yourself an
you’re a scale build yourself an
you’re a scale build yourself an advisory board it is cool well if you
advisory board it is cool well if you
advisory board it is cool well if you get that template created let me know
get that template created let me know
get that template created let me know I’ll share it I think it’d be really
I’ll share it I think it’d be really
I’ll share it I think it’d be really hurtful ah I’m curious myself to see it
hurtful ah I’m curious myself to see it
hurtful ah I’m curious myself to see it so I’m excited bill it’s crazy how
so I’m excited bill it’s crazy how
so I’m excited bill it’s crazy how quickly time flies one like 30 seconds
quickly time flies one like 30 seconds
quickly time flies one like 30 seconds final message that you want to share to
final message that you want to share to
final message that you want to share to the entrepreneurs watching yeah okay for
the entrepreneurs watching yeah okay for
the entrepreneurs watching yeah okay for us its way ventures a part of our belief
us its way ventures a part of our belief
us its way ventures a part of our belief is over the next 25 years that software
is over the next 25 years that software
is over the next 25 years that software is gonna help improve the lives of
is gonna help improve the lives of
is gonna help improve the lives of process consumers as well as businesses
process consumers as well as businesses
process consumers as well as businesses they’re running the world and I think
they’re running the world and I think
they’re running the world and I think it’s this idea that old industries are
it’s this idea that old industries are
it’s this idea that old industries are being transformed machine learning
being transformed machine learning
being transformed machine learning artificial intelligence are really now
artificial intelligence are really now
artificial intelligence are really now starting to become mainstream and then
starting to become mainstream and then
starting to become mainstream and then finally this idea that device is right
finally this idea that device is right
finally this idea that device is right the Internet of Things it’s really
the Internet of Things it’s really
the Internet of Things it’s really coming coming through ition so I think
coming coming through ition so I think
coming coming through ition so I think for the audience that’s listening
for the audience that’s listening
for the audience that’s listening there’s any way that we
there’s any way that we
there’s any way that we and what you’re building your business
and what you’re building your business
and what you’re building your business you’ve got my Twitter account but please
you’ve got my Twitter account but please
you’ve got my Twitter account but please come to sway venture comm sway VC calm
come to sway venture comm sway VC calm
come to sway venture comm sway VC calm and happy to be helpful I love it bill
and happy to be helpful I love it bill
and happy to be helpful I love it bill thank you so much for the time guys
thank you so much for the time guys
thank you so much for the time guys check out sway ventures bill on Twitter
check out sway ventures bill on Twitter
check out sway ventures bill on Twitter is be Malloy III we’ve linked it up in
is be Malloy III we’ve linked it up in
is be Malloy III we’ve linked it up in the title those videos you can check him
the title those videos you can check him
the title those videos you can check him out there really appreciate you spending
out there really appreciate you spending
out there really appreciate you spending the time with us
the time with us
the time with us and looking forward to connecting in
and looking forward to connecting in
and looking forward to connecting in hopefully faster than 15 years on VR
hopefully faster than 15 years on VR
hopefully faster than 15 years on VR [Laughter]
[Laughter]
[Laughter] Cheers
”
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