Adoram Gaash Of Moneta VC: 5 Things I Need to See Before Making a VC or Angel Investment
An Interview With Kieran Powell
Domain Expertise: Founders should possess deep expertise in their industry. The team must address any knowledge gaps, ensuring a well-rounded skill set before raising their seed round.
In the dynamic and fast-paced world of startups, venture capitalists and angel investors are at the forefront of innovation, deciding which ideas will shape our future. But what exactly are they looking for? What sparks the interest of these seasoned investors and convinces them to write the check that could catapult a startup to success? As part of this series we had the pleasure of interviewing Adoram Gaash.
Adoram Gaash is a seasoned investor and entrepreneur with extensive experience in the tech industry. He began his career by co-founding three successful ICT startups, resulting in meaningful exits. Adoram’s technical background includes a degree in Computer Engineering and service in Israel’s elite 8200 military technology unit. He initially worked as a system engineer and later transitioned to sales and marketing at a NASDAQ-listed tech company. After a decade in engineering and marketing, he embarked on an entrepreneurial career, leading startups from ideation to exit in Silicon Valley. His venture capital experience began with the foundation of StageOne Ventures in the early 2000s, resulting in seven exits. Later in his career, Adoram joined a Technology M&A Investment Bank in Silicon Valley. In 2014, he returned to Israel and, together with Meirav Har Noy, co-founded MONETA, a VC fund specializing in fintech. Adoram’s comprehensive experience covers the entire lifecycle of a tech company, from ideation and funding to growth and exit.
Thank you so much for joining us in this interview series! Before we dig in, our readers would like to get to know you a bit. Can you please share with us the “backstory” behind what brought you to this specific career path?
I began my career in the operational trenches with a degree in Computer Engineering and experience from my service in the tech unit of the Israel Defense Forces. Starting as a system engineer, I frequently met with major clients and discovered my true passion for business development. After spending a decade in engineering and business development at a leading Nasdaq-listed firm, I felt prepared for the real challenge of founding my own ventures. I led a startup from ideation to a successful exit in Silicon Valley and was instrumental in the creation of two other successful startups. This entrepreneurial decade gave me a broad perspective, preparing me for my next career as a venture investor. The markets are always evolving, and my operational background helps me discern when and where to implement changes to support our portfolio companies through various challenges.
In the past decade, I have co-managed Moneta, a VC fund that specializes in fintech and invests globally (Israel, EU, USA). Moneta is currently operating through its 4th fund (2023 vintage), has 35 companies in its portfolio, and has already seen 6 exits.
Is there a particular book that made a significant impact on you? Can you share a story or explain why it resonated with you so much?
Yes, the book “The Winner Within: A Life Plan for Team Players” by Pat Riley. Riley is one of the greatest NBA coaches in America, renowned for inspiring champions to believe in their potential for success. The Winner Within offers Riley’s game plan for team players in all aspects of life, not just basketball. His strategies, which inspire change, motivate teamwork, and reveal the winner within us all, have influenced my approach in every venture I’ve been involved in.
How do you define “Leadership”? Can you explain what you mean or give an example?
For me, leadership is about setting an example. People follow you because you guide them and they can learn from you. In any leadership role, I believe the leader should work harder than others, master their field, and be recognized by their employees as a natural leader.
Ok, thank you for that. Let’s now jump to the main part of our discussion. Can you tell us the story of one of your most successful portfolio companies and the top reasons why this company succeeded? Please feel free to be as elaborate as you’d like.
In the nine years since its inception, our funds have invested in more than 30 companies globally. We have been particularly active in the Wealthtech sector. This sector is experiencing significant changes due to the massive transfer of wealth between generations. One standout company is TipRanks, which was our first investment at Moneta back in 2015. The company developed an algorithmic platform that rates public market analysts based on the performance of their past recommendations. They refer to it as the “accountability engine.” Alongside our investment, we introduced E*Trade, who fell in love with TipRanks and licensed their platform and continues to use it to this day. Over the past decade, TipRanks has emerged as the category leader, boasting large double-digit revenues and a triple-digit valuation. Moneta is incredibly proud to have been an early investor in TipRanks.
Can you share a story with us about a problem that one of your portfolio companies encountered and how you helped to correct the problem? We’d love to hear the details and what its lesson was.
One of our earliest investments was in a startup that developed a unique mobile payment platform which grew exponentially to hundreds of thousands of users. We learned a crucial lesson a few years later when the markets shifted. This company, once a crown jewel, struggled to attract additional funding based solely on growth and without a clear path to profitability. Eventually, we had to sell the company to a large bank and abandon the high aspirations we had initially.
The key lesson from this experience is that regardless of how easy or hard it is to raise funding, we must always focus our due diligence on validating the path to profitability before investing. Growth is valuable but only when accompanied by profit and loss forecasts.
What are your “5 Things I Need To See Before Making A Vc Investment” and why?
Domain Expertise: Founders should possess deep expertise in their industry. The team must address any knowledge gaps, ensuring a well-rounded skill set before raising their seed round.
Product-Market Fit: There must be clear evidence that the product is unique and meets real market needs. Early design partners and customer validation are crucial for us to ensure that the opportunity is significant and that the entry barriers are high.
Strong Leadership Team: This is a critical factor in our screening process. Our investment team must believe that the entrepreneurs have the mental strength and strong ambition to take their venture to the highest level and navigate it fearlessly through both good and bad times.
Financial Plan: Founders should have a solid grasp of their financials, understand key metrics, and have a clear growth plan. There should be an emphasis on effectively driving towards profitability.
Hot Investment Space: The startup’s offering must cater to a segment considered a hot investment space. We always invest alongside other VCs, and part of our diligence is to see if the startup’s field of interest is attracting the attention of world-leading VCs.
This was really meaningful! Thank you so much for your time.
About The Interviewer: Kieran Powell is the EVP of Channel V Media a New York City Public Relations agency with a global network of agency partners in over 30 countries. Kieran has advised more than 150 companies in the Technology, B2B, Retail and Financial sectors. Prior to taking over business operations at Channel V Media, Kieran held roles at Merrill Lynch, PwC and Ernst & Young. Get in touch with Kieran to discuss how marketing and public relations can be leveraged to achieve concrete business goals.
