The story behind Fundie Ventures
Interview by Charlie Lindsey — Fundie Community Manager
Q What inspired you to create Fundie?
[STUART] — There were three thoughts involved:
- Number one was looking at the things available in at IE Business School to get involved with that had something to do with social impact investment
- The second was understanding what the needs are of the startup ecosystem. Having conversations with early-stage startups, we uncovered that one of the most frequent problems they face is not having access to early stage capital. In Spain especially, it is easier to find a large amount of money rather than small amounts of money, but obviously you have to grow to get there. And so, our thinking was to help with early stage startups given that’s the most difficult thing and therefore what they need the most
- The last reason why we chose impact investment specifically, was that we are a business school. We are taught about business and the value it adds in a society. But I think that unless we switch the way in which we understand profit - to profit and purpose - businesses will continue to use up resources in the pursuit of profit. So our thinking was to start with the small companies and make sure they have a triple bottom line, where they focus on both profit, people, and planet. If they start with this mentality at an earlier stage, as they grow they will be contributing positively to their surroundings.
A [ANDY] to piggyback on that, if we can create buzz and awareness about social finance and impact investing, especially among students who are unaware, then that might be something that peaks interest amongst students and even shift their career trajectory towards that. For example, a lot of MBAs want to reposition themselves in the market — to change careers or industries, so if we manage to peak their interest early-on that’s all the better.
Q Where do you hope to see Fundie in 2–3 years? What would be your ideal scenario?
A [ANDY] The ideal scenario would be to raise a sizeable fund and to have investments that we manage, which would also provide an educational opportunity, which is something that students often do not get a chance to do. To actually make investments and to work directly with startups to help them grow. Education should not be just an academic exercise.
A [STUART] What we’re trying to do isn’t something that exists at other business schools in Europe, although it is a common thing amongst US schools. So, there is evidence of us pioneering and creating a path and we hope for more business schools to jump on a similar concept. I think that the more funds there are in Europe, all the better for the startups and for investors, and it would be great to see that through our efforts we inspire one or two other schools to create the same thing and gain enough traction to create something. Within 2–3 years if we could have a name for ourselves, where we play a function in the eco-system: that it is not just students trying something but it’s the real thing.
Q When you were a child what did you want to be when you grew up?
A [ANDY] A famous musician.
A [STUART] Between 4–16 I wanted to be vet. I like animals more than I like human beings. I think animals have a lot to teach us about how to be. They understand this planet in ways we will never imagine and by respecting that they too have place on earth, we can learn alot about the kinds of ‘beings’ we can be.
Q What gets you out of bed in the morning?
A [ANDY] My girlfriend [laughing].
A [STUART] Mine is actually Fundie. But it’s also the thing that prevents me from getting into bed. I can’t fall sleep at the moment because I’m thinking about the next step for Fundie.
Q How did you get into social impact investment?
A [ANDY] I used to work for an advertising holdings company in their venture capital fund. It wasn’t that fulfilling — they were looking to invest in ad tech startups with the ultimate aim to help sell junk food. So I actually ended up working at an NGO to work out what I wanted to do, which is where learned of the concept of social enterprises and from there discovered impact investing. That’s when I went back to get my MBA to learn the tools of business I needed to start a social enterprise. I started working with the Impact Hub Vienna, tapping into their social entrepreneuring network and that’s really where the love of it fostered. Halfway through the MBA I realized I would prefer a path helping social enterprises grow, which is why I pursued a second degree in Advanced Finance at IE Business School to learn how to be an impact investor.
A [STUART] I started on the other side of the coin, in another life. I had a tech startup in Cape Town and I was fortunate enough to raise two rounds of investment in London. I felt what it was like to be on the receiving end of receiving money, and as much as it sounds really cool, it’s actually a lot of hard work. The decision-making process wasn’t mine the day after I got the investment and it was an interesting lesson. Fortunately enough, there was a media company that offered to buy our technology so I could let go of the company and could have some time to think about what I wanted to do. I love business, but I wasn’t convinced that what we were using business for was the right thing and I wanted to explore how to use business more positively. And then, looking at what I wanted to pursue after the MBA and the one company I want to work for where I don’t have enough expertise to get in, I thought, what could I do as a stepping stone to get there? I have to start something. That’s what I do. So I started to think about setting up Fundie as way to learn how to do impact investment. I didn’t know that I would love it as much as I do.
Q What are you going to do after IE?
A [STUART] Two things. The company that I thought I wanted to be at (and actually the reason I started Fundie), is most likely not the company I’m probably going to end up in. I want to go into impact investment — I won’t say who I exactly want to work for because they don’t know yet I’m going to reach out and convince them to open up a European office. But more importantly, I would like to continue doing something that will allow me to carry on doing Fundie until I am not needed.
A [ANDY] Ditto to that, in terms of hand holding Fundie until we’re not needed. And then taking on the role of an advisor and making sure the organization runs smoothly. Though, I want to work in an impact investment fund, ideally something that lets me travel because it turns out I am quite the traveler.
Stuart Minnaar is a tech entrepreneur with 6 years experience in starting and growing startups. He cut his teeth as an entrepreneur by pioneering a mobile payments technology startup in South Africa that integrated into retail point of sale systems, Yappo Mobile Payments. In addition, he is a member of global networks for entrepreneurs such as Global Shapers (World Economic Forum), Net Impact, and numerous multi-national social impact projects. While doing an MBA at IE Business School, Stuart founded Fundie Ventures, the student-run impact fund that invests in early-stage socially responsible startups. Stuart believes in actively shifting from business as usual to purpose-driven businesses. You can see more on his website.
Andrew Wong is a partner at Fundie Ventures. He is also a mentor with Agora Partnerships and Bridge for Billions. Prior to Fundie, Andrew worked in venture capital in New York and with a children’s organization in Santiago de Chile. Andrew holds a Masters in Advanced Finance from IE Business School, an MBA from Vienna’s Walker School of Business, and a Bachelor of Arts from Syracuse University. LinkedIn
