Ask the Expert: Victoria Hebel, investor and managing director of “PRIMERA Beteiligungsgesellschaft mbH”
For our section “Ask the expert” we meet experienced and proven experts for an interview about their area of competence.
In this interview, the investor Victoria Hebel talks about her experiences as a female investor in Hamburg. Together with her husband Lars, she is managing the PRIMERA Beteiligungsgesellschaft mbH in Hamburg. On their website it is mentioned, “We offer venture capital for startups with innovative business models and well-formulated exit scenarios.” Therefore, for a considerable amount of time, they have supported early-stage startups with money as well with know-how. They focus primarily and foremost on innovative digital businesses with high scalability and products with high prices and margins. Both Victoria and Lars have gained professional business know-how and a brilliant network from their experience in equity, entrepreneurship, management and startup.
Victoria herself gained experiences in the packaging industry and Lars started his career in an international viand company, before he commenced to be a consultant for 19 years.
Both of them hold a degree in business administration.
Together with your husband Lars, you have built a private equity firm in Hamburg. Why in Hamburg?
We have been living and working in Hamburg for approximately 20 years now and it was the only reasonable thing for us to do this in Hamburg.
In terms of the experiences that you have gained in Hamburg’s startup ecosystem: How do you see the Hamburg ecosystem in comparison to other places?
In general, Hamburg is doing a lot for its startups as well as for its investors. There are many offers from the city and we always felt very well treated in this ecosystem. The city approached us early on of its own accord and integrated us into networks. This was of course very valuable for us and I think the city keeps on going with this approach. Sometimes, I think the city is thinking a bit too self centered, but I overall strongly appreciate their services and the city’s way of doing things.
What motivates you to finance young ventures?
We are originally coming from the “Old Economy” and at some point we realised that this was not satisfying us anymore. Then we actually wanted to found our own venture. While we were trying to define our own business concept, we came across so many great ideas and startups, that we started to like the idea of funding young ventures. To support them with money but as well with know-how and to get involved in the process of growth.
What are the most common problems of startups that you work with? Where do they usually struggle?
Interestingly, startups struggle most with subjects that appear to be quite easy to us. For instance, the accounting or contractual issues are difficult for founders — the processes that you need to actually run a business, after having the initial idea. So the founders mostly need the financial hard-skill set, that we have gained from our business experience. Of course this is what our job is about and we are always more than happy to help. We cannot expect this knowledge from every person with a good idea for a business.
Is it more of a gut feeling or rather your experience that gives you a sense of security for your investments?
Of course, it’s a lot of gut feeling, but it is also a heap of experience. What we know and can judge with our experience is already an important part. But also the gut feeling. Who is sitting in front of me? How did he react to questions and critical questions? How do I see this person in difficult situations?
However, over time you also gain more experience with these sensitivities.
In your blog you also have a post about failing, its educative aspects and how it can force you to develop. How valuable do think is failure as a learning process for investors as well?
Very important. Obviously, no one wishes for failure and on top of that it is just too much money involved. Nevertheless, if you fail it automatically makes you reflect on what you do and it opens up your eyes for certain step stones or red flags that you will definitely look after in the future. It makes you study the paperwork even more before you agree on any deal.
Therefore, I guess it does make you better or at least more aware of some traps.
From startups with technical products, you expect a real innovation. What exactly makes an innovation for you?
Innovation to me is when there is no substitute for this product out there or nothing that solves a certain problem like this very product. Of course, you are never completely without competition, but something that is unique in a way and could not be replaced by anything existing.
On your website you state, that you are not interested in technology that you do not understand. Are you thus lifelong learners, to keep up with innovation and do not miss a good deal?
Well, I think it does not make sense to invest in something you do not understand. Of course, we keep on learning as well and the more we learn the bigger the potential portfolio gets that we can look at. But to invest in technology that we do not understand, just doesn’t make sense.
If I would give you a reasonable amount of money now to invest it in Startups. In which sectors would you go with it? Respectively, where do you look first?
That is a good question. Of course, I have topics that I am interested in, like sustainability or digitalisation. I would always be a bit more likely to go into these sectors I guess. However, we currently work on a health topic as well, which is something completely new for us. I think I would like to step back and have a look at the whole range of the startup world again. Not to be too focused on something specific and just see what good ideas are out there — I think this approach was always the most rewarding one in our history.
What would you like to say to founders, who currently think about applying at a VC?
A good preparation is definitely key. The pitch should really be internalised and you should know your numbers. But it is also important to previously look for an investor that really fits your business. Rather have a close look at the investors beforehand and then rather apply to a few investors than to many. Don’t think: ”One of many will say yes”
It is worth having a closer look, before making this big decision. You should realise, that you are entering into a long-term closed partnership.
Do you refer to the personal level or rather to the network and the specialisation?
Both. Of course, as I said, you have to get along on a personal level. You have to help each other voluntarily. But also the network, yes. On what is the investor specialised and which one is going to be able to help me the best?
What do you like to do in Hamburg, when you take of from work and enjoy some free time?
I try to spend time with my family. We already live in Hamburg for a long time now, but I think there are still new places to discover. I am always surprised, how many places I actually don’t know. So the family’s plan for the next months is to keep on discovering our city more and more, as there is still so much to see.
Thanks for reading! We, the Startup-Unit, hope you enjoyed this insight. We’ll be posting articles on a weekly basis about the hanseatic startup scene and everything related to founding a company. For further information about the city and its thriving startup ecosystem visit startup-unit.hamburg.
