Evolution of MicroVCs & Advice from LPs
Originally published on October 12, 2016.
Post and infographic done in collaboration with Jim Marshall (Head of Emerging Manager Practice), original post found on . Inspired by LP panel discussion featuringLD Eakman (Foundry Next), Trey Hart (Northern Trust), Mac Hofeditz (GCA Savvian), Beezer Clarkson (Sapphire Ventures) and moderator Sulu Mamdani (SVB).
On Thursday, September 29th SVB in partnership with Cendana Capital co-hosted the 4th annual MicroVC summit. We had 200+ participants spanning across the GP and LP ecosystem, 4 incredible panel sessions, and 1 rare San Francisco rooftop deck for guests to mix and mingle. Despite MicroVC being a 10 year plus industry, attracting over $20B dollars of LP capital, and providing early support for breakout companies (Uber, Airbnb, Twitter, Instagram, Twilio, etc), the industry lacks regular gatherings seen in other asset classes. Jon Callaghan at True Ventures summed it perfectly in his opening remarks, “no one brings together this ecosystem like this event”.
The last 10 years we’ve seen MicroVC disrupt an asset class, it created a new kind of venture. Within this asset class, what keeps us constantly fascinated and intellectually honest is that there is no playbook. Let that sink in, there is zero playbook. As a result, we’ve seen firms approach investing in various styles, each approach proving to have its own success and challenges. While investing approaches may differ, the advice we heard from LPs was overwhelmingly consistent. For those that were unable to attend or curious about the space, we wanted to offer a simple visual of the MicroVC evolution, various investing approaches we are seeing, and share the advice we heard from LPs.
Originally published at https://www.linkedin.com on October 12, 2016.