Peter Specht, Partner at Creandum, discusses how to be a valuable board member, questioning techniques, managing deal speed, and more. They also explore the relevance of operating experience in VC and the art of asking questions during due diligence.
The importance of being a valuable board member and providing support and guidance to portfolio companies.
The value of speed in the investment process while also maintaining diligence and patience in understanding the business and founders.
Deep dives
Crandam's Approach to Venture Capital Investing
Crandam is a European early stage VC fund that focuses on seed and Series A investment in Europe. They have a selective style of investing and prioritize opportunities to become category leaders in growing markets. Crandam has a track record of backing successful tech companies, including Spotify, Klarna, and more. With a team of 30 individuals, they are committed to working closely with founders and have a diligent approach to due diligence, regardless of the stage of investment.
Peter Specht's Journey to Venture Capital
Peter Specht, a partner at Crandam, shares his journey into VC, mentioning his experiences living in various cities and his initial aspiration to become a founder. However, his interest shifted towards the investment side, and he found enjoyment in working with startups. While he has some operating experience, he focuses more on recent experiences and collaboration with founders. He highlights the importance of being a valuable board member, emphasizing hard work, preparation, and being proactive to provide support and guidance to portfolio companies.
Investment Process and Selection Criteria
Crandam places high importance on finding strong founders and companies with the potential to become category leaders. They prioritize opportunities with market growth potential and conduct extensive due diligence, even for early stage investments. Their focus on B2B and SaaS companies allows them to build knowledge, pattern recognition, and experiences in those areas. The team at Crandam believes in open discussions and a mix of perspectives, benefiting from both long experience and fresh insights. They strive for transparent and honest data-driven decision-making and maintain patience when companies face challenges in growth.
Balancing Speed and Diligence in Deal-making
Crandam recognizes the value of speed in the investment process and strives to avoid wasting founders' time. They optimize their schedules and involve their team to quickly assess opportunities and build conviction. However, they also acknowledge the importance of diligence, especially in early stage investments where the focus is on understanding the business, market, and founders. The speed of a deal depends on various factors, including market complexity and the level of conviction they can reach. Crandam understands that different companies require different levels of time and patience to achieve growth.
Peter Specht is a Partner at venture fund Creandum.
Creandum is a leading European early-stage venture capital firm backing some of Europe’s most successful tech companies including Spotify, iZettle, Depop, Klarna, KRY, Epidemic Sound and Small Giant Games.
Peter joins James Pringle and Hector Mason in this episode to discuss how to be a super valuable board member, the odds of questioning, managing the speed of a deal, & so much more.
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