A venture capitalist once told me frankly that whenever you see the phrase “democratization” in technology marketing material, think of it as a red flag. Democracy, in general, often comes with an ironic caveat: It disproportionately benefits white and male participants. Now you know me well enough to know that I wouldn’t start your Saturday with that dreary introduction normally, but I think this reality is why a new tool, championed by tech entrepreneurs Lolita and Josh Taub, could be activated. . to something really innovative.
The Taubs have launched a GP-LP, or general and sponsor, matching tool to help under-represented fund managers access the capital they need to start their fund. The matchmaker connects those looking to raise funds (GP!) With check writers (LP!). The move follows their founder-investor matchmaking tool, which to date has generated more than 1,000 IPOs which they say have resulted in 27 checks totaling nearly $ 4 million in total equity.
Yes, matching LPs to GPs is a relatively straightforward concept and technology. And it’s a relatively straightforward experience. But it could not have existed five, and certainly ten years ago. Zoom investing has changed the way people meet and review, and I think the GP-LP tool is a key data point on how emerging fund managers can bring option to their fundraising process. of funds.
Speaking of fundraising:
The tool’s explicit goal to help only underrepresented people – which he defines as anyone who does not fit the classic Silicon Valley mold such as women, LGBTQ + people, non-Ivy graduates. (or people of non-elite employers) and non-wealthy people – is a layer of differentiation from many other tools. Products like AngelList Working Capital Fund are great, but public and ongoing fundraising still largely benefits those who have networks to operate in the first place – just scroll quickly to see who has one so far. .
Let me put it like this: We have come to a point where there are a large number of tools out there that help founders and investors leverage their community in checks. What is missing, however, are the tools that help people without a community, subnet and underestimated access these opportunities. While there is still hesitation among LPs as emerging managers raise their second and third funds, this effort is a good step in the right direction. And I will follow it to see how successfully it works.
It’s been a big week for Black and other underrepresented founders:
Thereafter, the remainder of this newsletter will focus on Disaster Technology, Airbnb, and an S-1 Healthcare Communication Kit. You can always find me on Twitter @nmasc_.
Disaster technology is at an inflection point
Disaster technologies, such as startups that use data to fight wildfires or analyze brainwaves to analyze PTSD after a traumatic event, have a moment. Are you surprised? COVID-19 and the ongoing climate crisis have prompted entrepreneurs to create proactive solutions that tackle literal disaster. Our own Danny Crichton spent 12,000 words mapping the landscape so you didn’t have to.
Here’s what you need to know: The Equity team summed up those 12,000 words about the disaster in a 20-minute episode focused on key takeaways and highlights. As Danny explains on the show, “Cataclysms are a growing industry. “
If you are more of a reader than a listener …
Airbnb’s next trip
Since Travel closed last March, all eyes have been on Airbnb, the world-renowned travel and short-term rental company. Almost a year ago, the company reported declining revenues and cut 1,900 jobs, or around 25% of its workforce. Now, as digital nomadic lifestyles and long-term travel return, it also has a growth story worth sharing.
Here’s what you need to know: Airbnb CEO Brian Chesky spoke with our own Jordan Crook to talk about how his company is preparing for a faster and more agile post-pandemic reality. Time will tell if Airbnb’s stance comes to fruition, but getting into the mind of one of a company’s co-founders pummeled and then resurrected by this pandemic may give the founders some tactical advice on how to frame the conflict. and the sequel.
Brian Chesky: I had no idea that a travel agency during a pandemic could even be crazier than starting a business based on strangers living together. I feel like I’m now 39 and 49. It was definitely the craziest year ever.
Our business first fell by 80% in eight weeks. I say it’s like driving a car. You can’t go 80 miles an hour, hit the brakes and expect nothing really bad to happen. Now imagine you’re going 80 miles an hour, brake hard, then sort of rebuild the car while still moving forward, then try to speed up in an IPO, all on Zoom.
When the future of living things merge with the future of work:
If you haven’t heard it, TC Sessions: Mobility 2021 is coming June 9. The one-day virtual event is filled with the best and brightest minds working on or investing in the future of transportation. The file is filled with founders, investors and experts in micromobility, autonomous vehicles, electrification and air taxis.
Among the growing list of speakers are Motional President Karl Iagnemma and co-founder and CEO of Aurora Chris Urmson, which will join forces to talk about the technical problems that remain to be solved, the war for talents and the best economic models and applications of autonomous vehicles. Other guests include Zoox Co-Founder and CTO Jesse Levinson, community organizer, transport consultant and lawyer Tamika L. Butler, co-founder and CEO of Remix Tiffany Chu and Revel co-founder and CEO Franck Reig. There is also the founder and CEO of Joby Aviation JoeBen Bevirt, investor and founder of LinkedIn Reid hoffman (whose special purpose acquisition company just merged with Joby) will talk about the future of flight – and PSPCs.
And to answer your next question, yes, you can still buy your tickets here.
All week long
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