James Heath, Investment Principal at dara5, sits down with David Weisburd to discuss early stage venture. We’re proudly sponsored by Bidav Insurance Group, visit lux-str.com if you’re ready to level up your insurance plans.
(0:00) Episode Preview
(1:36) How PwC evaluates venture companies
(3:25) Non-consensus learning about VC
(4:30) Look for entrepreneurs that are trying to solve a critical problem
(6:25) What is dara5?
(8:36) How can information provide alpha?
(11:01) The importance of data when co-investing
(12:32) Warm versus cold intro co-investments and how to implement a double gated process
(15:53) Episode Sponsor: Bidav Insurance Group
(17:22) Smaller funds and ownership levels
(19:06) Build long term relationships with GPs: education and casual conversations
(24:13) The changing power structures in fundraising
(25:34) The competing dynamics of a challenging market and investor friendly terms
(28:16) How family offices should invest in venture
(31:19) How to unlock the mean venture IRR of 50%
(34:29) Which is a better investment: top decile backed company or an emerging manager?
(35:45) Reaching Series B increases likelihood of unicorn status to 24%
(37:27) AGM best practices
(39:45) The importance of sharing knowledge
(41:40) Why only early stage venture is non-zero sum
(45:46) What’s actually going to happen in the VC reset
(50:21) The emergence of European VC
(51:52) Don’t be scared of emerging managers
