Nick Tippmann 🏔️☁️

That's why it's often very difficult to recognize new leaders – their ideas go beyond the conventional frameworks we're accustomed to. Keep your mind open. Don't let yesterday's templates define your future. #Leadership, #Innovation, #OpenMind, #FutureThinking, #venturethinking,   https://lnkd.in/eASPGsuu

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Rolling into another day of the Primary Summit. Hit me up if we should connect onsite. Kudos to the Primary Ventures team so far, as yesterday’s Pre-Seed Summit was on point. Mar Hershenson, Benjamin Sun, Chris Douvos, Zach Weinberg, and Graham Pingree all dropping helpful nuggets for fund managers. Some paraphrased highlights: - Chris Douvos (AHOY Capital) - Most fund decks are terrible. Start with your people (not your strategy) and know you have about 6 slides of his attention. - Zach Weinberg (Curie.Bio ) - beleives SF’s AI talent is a significant advantage over NY, wouldn’t build AI in NY. Also questions if VC exits can keep up with VC expansion (generally hilarious and smart Twitter follow) - Mar Hershenson (Pear VC) - VC is so much more competitive now. It’s not enough to be an ex-founder with a great network and domain expertise. Have a better “why you are different” or do something else! - Benjamin Sun (Primary Venture Partners)- still sees arbitrage in going long NY venture (vs. SF). Do the work to keep various influential networking nodes aware of what you’re doing and how you think.

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Let the wave begin! Pioneer Fund company Recall.ai *grew their revenue 10x* in the past year, has 300 enterprise customers, and just raised a $10M Series A led by Ridge Ventures. David Gu and Amanda Zhu dropped out of college at age 19 to start the company. They've grown it exponentially with a tiny team. They make it easy to build meeting bots that are cross-platform. They're aggregating all these different APIs into one unified API, the way Twilio did with cell phones. At first it "sounds" easy to build a meeting bot -- just integrate with the Zoom API. But in fact there's a huge long tail of things you need to build, security and privacy pitfalls, automations, transcription complexities, integrations, the calendar invites where someone is using Google Meet or Teams, staying up-to-date with the libraries, etc etc. Recall takes care of all of that. It's WAY easier to build on top of Recall.ai and focus on the features that make you unique. Congratulations to the Recall team!

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Did you know that YC founders get a secret weapon… and it’s not what you think. “Bookface” is YC’s internal social network. It was needed because YC had funded larger batches and the hardest part of a community is knowing who is in it and who you can trust and ask for help. On the platform, founders share real methods and advice that would break if it were shared widely It’s secret knowledge shared with a trust-first community - answering 80% of the questions a founder can have about building and selling a product, be it to clients, candidates or investors. Before the platform, if you had a B2B startup, you had to reach out cold to potential customers. Now there are over 1000 YC companies you can sell your service to and all of their contact information is in Bookface. As a result, YC alumni companies are often over 50% of your new sales during YC. It’s superpowers like this that make YC deals so attractive compared to the norm. You are investing in a founder with a 10x network already!

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A blistering funding run has me revisiting a question I posed after Q3's VC funding data came out. Was Austin's modest $1.6B in H1 2024 signaling a slowdown or was Q3's $1B surge the real indicator? November's explosive activity gives us our answer: 💥Tricentis: $1.33B raise ($4.5B valuation) New 🦄 💥FireFly Aerospace: $175M ($2B valuation) 💥Ladder: $105M 💥Halcyon AI: $100M ($1B valuation) New 🦄 With these mega-rounds, Q4 is already approaching $2B with several weeks remaining. I am hearing about more significant rounds in the pipeline, though I don’t know whether they will announce in Dec or early '25. What a difference a quarter makes! Austin sits at ~$4B YTD, knocking at the door of 2023's $4.2B. The first half numbers now look more like timing quirks than a true slowdown. Our sector diversity (seen here in AI, Space, Bio & Health and Cybersecurity) reinforces what Peter Walker's analysis shows below; Austin's strength comes from our broad foundation & tech convergence. As Peter notes in his original post, "Austin is good in many areas, great in few." I see this as a strength, not a weakness (not implying that he was making this implication either). With ATX consistently ranking somewhere between 5th-7th in funding, and having strong momentum metrics, we have a bright future ahead. What's Next?

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Excited about some upcoming product updates coming to Thunder.vc next week (stay tuned), so I thought I'd spotlight one of our existing ones before we go live. So here's a little data from the platform this week, where we track investor velocity. Quick definition: Investor velocity is a simple calculation of how many new investments a firm made during a specific time period. In our case, we calculated it quarterly and the Q2 2024 number includes the 6.8k+ investors currently on our platform. The higher the number, the more net new investments a firm is making. Most deals get done in Q1 & Q3 of the year, but we’ve seen things trend up in Q2 this year. Also noted that pre-seed deals are in decline while Series C are on the rise. Stay tuned for the Q3 analysis at the end of this month. Check out more stats here: https://app.thunder.vc/ #investors #startups #VC

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Our friends from High Alpha have launched the 2024 SaaS Benchmarks survey! 📈 By participating, you'll see how you stack up against your peers and what it takes to be a standout SaaS business.   Dive into the survey now!👇  Take the survey here: https://lnkd.in/e6s2hbaH #SaaSBenchmarks #SaaSfounders #SaaSstartups #AlternativeFunding #B2BSaaS

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I enjoyed going on Nick Telson-Sillett’s podcast, Pitch Deck by Forward Pursuit. Nick is a serial founder and investor (founded and exited DesignMyNight) so knows both sides of the table which always makes for an enriching chat. Some things we discussed: - The perceived power dynamic between VCs and founders can hinder productive conversations. - A compelling product demo can significantly influence investor interest. - Founders must focus on solving real customer problems to succeed. - Hiring standards are crucial for building a successful startup team. - Behavioural roadblocks can prevent the adoption of new solutions. - Validation from potential customers is key for pre-revenue startups. - The early-stage funding landscape has become more efficient and selective. - Pace of execution is a critical factor in attracting investment.

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Founders often have this dilemma between Fundraising vs. Selling. Recently, I had an argument with a fellow founder about a classic startup challenge: should founders at the early stages prioritize fundraising or selling? With limited resources -- especially time -- founders often face this difficult decision. Both paths have compelling arguments, yet the stakes couldn't be higher. The Case for Fundraising: Securing funding early can provide the runway to build a team, develop the product, and grow the business without worrying about immediate revenue. It allows founders to focus on scaling instead of being tied to sales cycles. But it is a full-time job, draining energy and time away from understanding customers or refining the product. The Case for Selling: Focusing on sales builds traction, validates the product, and creates early relationships with customers. Revenue from sales can fuel growth without dilution of equity. But it is a grind -- every pitch, follow-up, and negotiation demands a founder’s personal touch, leaving little room for strategic growth. The Balancing Act: There is no one-size-fits-all answer. The right choice depends on the product, market, and founder’s strengths. Fundraising gives you capital, but selling gives you proof. Sometimes, the answer lies in a hybrid approach -- doing enough of both to maintain momentum while adapting based on results. My Take: If a founder is hesitant about where to focus, the best advice I can give is this: SPEND YOUR EFFORTS ON CUSTOMER DISCOVERY AND SELLING FIRST. Nothing speaks louder to investors than traction and a tangible sales pipeline. Understanding your customers, validating your product, and building early momentum through sales is what ultimately attracts funding. Investors invest in proof, not promises. Prioritize what creates that proof. What do you think? How have you approached this decision in your own journey? Let's discuss below! #selling #fundraising #startups #fintech

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The best founders can turn off emotions when making complex decisions. If you can hone this skill, you should.

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How to Think About VC _______ I stumbled upon this podcast by Heidi Roizen of Threshold Ventures. It’s a great primer for founders who aren’t familiar with how VC works. Here are three things from this episode that I wish every founder who pitched PHX Ventures knew: 1. "Venture capital is a hits business – and in order to attract VC money, your startup needs to have the potential to be that hit. That usually means not only are you addressing a large market, but you have a credible and compelling plan to dominate that market." 2. "It turns out that the VC model is not a good fit for the vast majority of startups – and in fact, more than 99% of US startups build their businesses without VC money." 3. "It’s only a good deal – for both the VCs and the entrepreneurs – if the money invested is used to capture and hopefully dominate a large market. And it’s usually some type of business that wouldn't have been able to do so without the venture capital."

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I designed Peak OS for venture-backed companies after working with hundreds of them over the past 20 years. VC-backed teams are different, period. They need an operating system designed specifically for them. You can read about why (and get a step by step instruction manual to get started with Peak OS) in my bestselling book, Peak Teams. Check it out on Amazon and Audible. #venturebacked #vcbacked #venturecapital #leadership #ceo #founder #operatingsystem #peakOS

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As I look back on the past few months, one experience that really stands out is my time at TA Ventures. 🌟 TA Ventures is a global early-stage VC firm, primarily focused on tech startups in the U.S. and Europe. They’re not just about funding—they bring a lot of value through their extensive network. In their 15 years of investing, they’ve made over 240 investments and built an impressive portfolio. I won’t name the unicorns and soonicorns (there are too many 😂), but let's just say they’ve backed some seriously exciting companies. When I made the shift to venture capital, I knew I needed to dive in and get real, hands-on experience. During my time with the TAV team, I did just that—working on monitoring portfolio companies, preparing reports for LPs, conducting due diligence, and doing in-depth market research. I got a true behind-the-scenes look at how VC works. I also worked with a syndicate of angel investors - IClub, which was an amazing experience. What I loved most was the variety. One day I’d be analyzing a space startup, the next I’d be exploring proptech, and then longevity. It kept things interesting and gave me a broader understanding of early-stage investing. This hands-on experience has been a game-changer, helping me gain confidence and giving me the tools I need to grow in the VC world. 🚀 Thanks Daryna Koval, Elena Derevianko, Volodymyr Medin, Kateryna Haiduk, Diana Rivna, and Vladyslava Rokytska for being part of this experience ✨

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Many places will offer founders advice on building your first product. They will also offer tips and strategies for selling that MVP to get to $1m and Series A. Unusual Ventures Academy is one of the few opportunities to learn a proven, tactical strategy to test your concept, ICP, and messaging BEFORE you build. This gives founders an incredible edge to avoid the one of the most dangerous pitfalls: Exhausting your cash building only to find out there's no desperate pain. Your team will 1) Learn from world class leaders best practices around building, from insight to product-market fit 2) Receive up to $2M in a SAFE note to accelerate company building 3) Join an unmatched community of founders eager to support and learn with you 4) Dive into the latest pricing, go to market, and infrastructure choices founders are making for their AI-native startups. Speakers this year include: Jyoti Bansal, John Vrionis, Sandhya Hegde, Wei Lien Dang, Sarah Leary, Lars Albright, Don Faul, Andy Rachleff, Britt Jamison, Bethany Coates, Penny Mares (Foster) and myself. Applications are open until September 9. Learn more here: https://bit.ly/3T8mO2a

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Going from Zero to Product Market Fit is like getting out of a Bermuda Triangle For every direction that works out, an equal and opposite direction works too It is shocking how few get to product market fit Only 15 out of 100 SaaS companies get to a million dollars in revenue When you have PMF, it is an awesome feeling Everything is going smoothly for you It also feels scary and out of control You push one unit, and ten units of progress happen But when you don’t have it…. You push ten units of effort, and not even a unit of progress happens It feels like a Sisyphean punishment Moving a boulder up the mountain In the GenAI age, I hear arguments that go “The focus should be on the core functionality. Like how musicians concentrate on the music itself” This is clearly a faulty analogy Businesses providing playback formats (cassette tapes, CDs) are obsolete today Gen AI brings AI below the API No more does one need to stand up a team in ML Spend a few million dollars to “translate languages” or “transcribe accurately” GenAI now assures that Getting to PMF boils down to the basics - Do you understand the problem deeply - Can you build a 10x better solution - Can you execute & iterate faster - Don’t die in the process (cash) What has worked for you to get out of the Bermuda triangle?

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If you are a founder of a vertical software company - you should read this S-1! I first came across ServiceTitan back in 2016 while working at Bessemer Venture Partners. My former colleagues Byron Deeter, Kristina Shen and Talia Goldberg had just led the Series A financing of the company as part of the firm’s vertical software roadmap. Even back then it seemed like an exciting investment. Over the last eight years the company followed the Vertical Software Playbook to a tee, rising to a market leadership position, expanding its product suite to include services and fintech, and building a strong brand that every field service professional knows. There’s something interesting with timing of this IPO in a year that saw very little public-market activity for venture-backed companies. Financial geeks should pay extra attention to the untraditional compounding ratchet clause of its Preferred H Shares. Ultimately, it might’ve pushed the company to go public ASAP. If you’re too busy to read the full S-1, I suggest reading the wonderful S-1 Breakdown written by Alex C., Anthony DeCamillo and Austin Wang at Meritech Capital (link in the first comment). Congratulations and good luck Ara Mahdessian, Vahe Kuzoyan and team ServiceTitan!

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Today's Boring Biz: Pool Leak Detection Company - $2.3M Revenue - $610K Cashflow - South Carolina - Day 39 of "50 States In 50 Days" Note: We do not represent this deal, highlighting for informational purposes only for viewers What do they do? 1. Leak detection services 2. Electronic detection equipment 3. Pool inspections Investment Highlights 1. Strong market demand 2. Established reputation 3. Business systems in place Investment risks/concerns 1. What is the competition 2. Customer concentration 3. Length of contracts #SMB #ETA #finance #Cashflow #investing #search #searchfund #privateequity #microprivateequity #smallbusiness #venturecapital #vc #entrepreneur #business #businessowner #pool #leakdetection #southcarolina #servicecompany Disclaimer: Hypothetical and illustrative only. Please do your own research (DYOR) or work with tax and legal professionals before making a decision. This video are intended for informational purposes only and does not constitute legal or tax advice, nor should be construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any security by SMB PE LLC or any third party

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Why Buying Your First Business is the hardest & Financing The Fear is Being seen as too risky by lenders and investors. The Solution: Prepare a solid business plan with detailed financial projections. Work with a financial advisor to enhance your credibility. Consider alternative financing options like SBA loans or seller financing.

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