A Transformative Year at Grand Ventures
Thoughts on my first anniversary at a MI-based venture capital firm.
This past April marked my one year anniversary at Grand Ventures. Time flies! Although I’m not new to VC, I’m new to certain components of it. I was previously at GE Ventures, a much larger firm, where we had a number of individual teams dedicated to handling different aspects of our operations. My own responsibilities were limited to my function, and at some point, I’d pass the ball to someone else. At Grand Ventures, however, I’m involved in everything from internal operations and team management to deal origination and portfolio company support.
Here’s a quick look at my exciting, yet challenging, first year at Grand Ventures.
The quantitative side: “Numbers don’t lie”
Network: Because I spent six years on Sand Hill Road at GE Ventures, most of my professional network was concentrated on the west coast. Honestly, there is so much going on in the Bay Area that it’s easy to miss opportunities to expand your network outside the region. This past year, I felt like I was starting from scratch. I met a ton of new VCs, made an effort to schedule 1:1s with investors from funds based across the US, and drank more coffee in a day than I’d thought was even possible. I met incredible people who made me feel welcome to the ecosystem, and as a result, I feel included in a tight-knit, collaborative VC environment.
Team: We doubled the size of the fund’s team soon after I joined. As in any startup, of course, it’s easy to double or triple a metric when you start small! We went from 2 to 4 FTEs in a month. I love our team, and our ability to support each other has enabled us to pull off major accomplishments.
Portfolio Companies: When I started, we had five portfolio companies. We funded the sixth on my first day, and four more over the course of the past 12 months. We have 2 more new investments closing right now. That’s not even to mention our numerous follow-ons. It’s been a busy time for Grand Ventures, and I love it!
Exits: We had 2 exits in 2019! This is very exciting for such a young fund. I occasionally joke with Tim Streit, our GP, that the fund’s lucky streak is only a result of adding me, Kayla, and Rohit to the Grand Ventures team. I’m only half joking :)
Setbacks: I unfortunately lost out a deal that I had worked on for several months — a large fund came in with a big check, and several smaller funds were left out of the round. It came as a surprise that deals in the Midwest could be just as competitive as the ones I looked at in California. But, hey, lessons were learned. We realized we’d have to move more quickly when we find deals we really love, and we are certainly doing that now.
Final close: In August 2019, we had the final close on Grand Ventures I at $28M. It was recognized as the largest-ever debut VC fund in Michigan.
Pandemic: Although I can’t wait for things to go back to “normal”, I feel extremely grateful for how well Grand Ventures is positioned to succeed in this environment. We have the dry powder to support our portfolio companies and continue to invest in amazing entrepreneurs.
The qualitative side: “Growth comes from discomfort”
If you know me a bit, you know I’m a learner who always welcomes new experiences. Uprooting my life to move to Michigan has been a great opportunity for growth.
Startup world: We are a small team at Grand Ventures, and that means the whole team does a little bit of EVERYTHING. We’re all hands-on with startup intro calls, deal negotiations, and portfolio management. We also spend plenty of time cleaning the office, planning events, and managing payroll. At my previous corporate job, many of these operational tasks were taken care of by a dedicated team, and I had numerous existing resources at my disposal if I ever needed to start a new project. Transitioning to this new reality has involved a lot of change. It’s also provided me with an immense sense of ownership in the fund and a better understanding of an entrepreneur’s challenges.
Personalities: Increased diversity is one of the best things that can happen to any company. Tim did an incredible job building a team that is diverse not only in gender, but also race, background, and personality. However, diversity also brings its own challenges. We each have different work styles and opinions. Managing discussions, especially since we encourage active participation, can occasionally bring some friction. I’m proud that we continue to respect and encourage each other’s uniqueness. Diversity of thought has truly helped us make great decisions.
Everyone is a teacher: From fresh-out-of-college colleagues to a boss with many years’ worth of experience, I’ve learned everyone in your life can become more valuable if you view them as an opportunity to learn. My team teaches me every day. And I am a much better person and professional than I was one year ago because of them.
Cheers to the first of many…
