VC and the FOMO
— an interview with Marcin Kurek from Market One Capital
Marcin Kurek started his career working at Spreadshirt, a startup launched by Team Europe Venture and Delivery Hero’s co-founder Łukasz Gadowski. Four years with the company inspired him to start one of his own, only to sell it, invest the proceeds as an angel investor and start two VC firms.
Now, as the Managing Partner and Co-Founder of Market One Capital, Marcin can easily compare the different investment trajectories of VCs and business angels. Having experienced both, he claims the trick is to always invest in founders, who are better at it than he could ever be.
During our interview, Marcin revealed the struggles he went through while launching a fund, what it takes to create a valid thesis, and how all rules change when you know you struck gold with a portfolio company.
Paweł Michalski (PM): Your path to venture capital was rather winding. How did it start? What did you do in your twenties?
Marcin Kurek (MK): I wanted to work in a corporation or management consulting. I just wanted to have a company car to make my mom happy. But then, I learned that there are moments in our lives that change everything.
I had my life-defining experience when I joined Spreadshirt, a Germany-based company started by Łukasz Gadowski. I think I didn’t even know the word “startup” back then (laugh).
It was a fantastic adventure, a startup operation at its finest. I remember when Łukasz sent me to the US to start a factory. Despite being just a twenty-something-year-old guy with limited experience, I went overseas and established a factory. Łukasz came with a visit one day, looked at me, and said: “Alright, well done. Now start another one in Poland.”
After about four years, I decided it’s time to start my own company. When I co-founded Niania.pl (PM: the largest marketplace for finding a nanny in Poland), the people I previously worked with in Germany, such as Paweł Chudziński (PM: Founder and Partner at Point9), invested in me. For the three years, I worked 24/7, fully committed to what I was doing. I exited the company when I turned 30 and began my investor career.
PM: What lessons did you draw from that period of your life?
MK: From my “startup days,” I learned that you need to be a self-starter and create a path for yourself. Especially if you’re a founder and without a boss — nobody’s going to tell you what to do next.
I picked up several lessons as an angel too. First of all, I had to stop imagining myself to be the founder of the company I was investing in. A business angel has to observe how the founders will solve their own problems.
I used to fall in love with certain ideas and companies and wondered what I would do with such great potential rather than weigh whether the founding team would be able to implement and deliver the presented business plan. At a time, I didn’t even realize the pitfalls of that. It took me some time to change that attitude. I needed to understand that the trick is to invest in the people who are better founders than I would ever be.
PM: What convinced you to become a venture capitalist?
MK: When I exited Niania.pl, the Polish ecosystem was just beginning to get off the ground. Yet, it felt natural for me to stay in the ecosystem and support the next generation of startups.
In a matter of months, I invested in several companies, including: Allani, Shoplo, Restaumatic, DocPlanner, and Brainly. It felt great, so together with my co-founder at Niania.pl, we felt like we should have a VC fund. That’s the next level, right?
We had no clue about the differences between venture capital and angel investing. Besides, there was simply not enough know-how about venture capital in the ecosystem. So, we decided to join a team that was in the process of closing a fund, thinking they knew more than we did. That’s how my career in venture capital started.
In the beginning, it was a big letdown. We quickly learned that venture capital is not an extension of angel investing but a whole different game. There’s money management, there’s planning, there’s selection and diligence. In other words a lot of bureaucracy that angels don’t have to deal with.
Suddenly, you’re not a friend to founders, but a partner — and you have your rules, conditions, and agreements. It’s a different trajectory.
I was seriously considering quitting for the first year or two. I felt lost learning the ropes. I think it all changed a few years into our first fund, so when the time came to raise another one, we decided to start over again. At the same time, we asked ourselves: “If we’re going to continue investing, what has to change?”
Our first conclusion was that we would invest in the sectors we know and love. It turned out to be a great idea — our investors told us that the plan was solid, our team had a good track record and skills to pull it off. That’s how Market One Capital was born.
PM: What are the specific lessons you wish you have learned before becoming a VC?
MK: First, reserve money for follow-ons. You’ll love every company you invest in as much as the ones you invested in before. Otherwise, it would mean you’re backing a company that you like less than the ones already in your portfolio.
However, in the long run, only about 10% of the companies can achieve their desired goals. You never know which one it is beforehand. Once you do, you must support that winning company and multiply the capital you can offer them.
Second, valuation and terms don’t matter if you hit the bullseye. The best companies we invested in were not cheap. On the contrary, it was expensive for us to get on board because those were high-growth, high-potential companies with a global mindset right from the beginning.
I have a theory here that every year, or a year and a half, there’s a new wave of innovation sweeping through the world, giving birth to ten or twenty new unicorns. It’s always about a new but universal need. Our goal is to quickly figure out what the next wave is and make sure that we are riding that wave.
Better yet, we are trying to figure out which company would be the winner in that new market or the next best one. Though it’s hard to predict the winner, the next best ones can also make a great return if the wave is big enough.
PM: What do you believe are the qualities every VC has to foster?
MK: There’s a couple of things I’d like to mention. Firstly, venture capital is all about learning. A VC firm is a learning hub, a platform that deals with information, knowledge, and networks. It needs to distribute that information to founders who simply don’t have the time to analyze everything, as they are swamped building their companies.
Secondly, though you have to be extremely open to learning new things, you also need to develop your convictions and beliefs. Be ready to let go of what you fundamentally don’t believe in.
Thirdly, you need to be proactive and diligent. Never wait for the opportunity to knock on your door. Keep track of what you learn, what you read, who you meet. Follow up on these threads if need be.
Last but not least, kill your ego. Don’t pretend to be the wise guy. Try to surround yourself with people much smarter than yourself.
PM: What is the most important aspect of your job?
MK: Betting your money on the right people. I think that the best people always win in the long run. Not being the first one, not having the “best idea,” but having the best people. Even if their project is very complex and the market is very competitive.
PM: What is the most challenging part?
MK: I think it’s the variety and multitasking. It’s the exact opposite of being a founder. When I had my own company, all I thought about were nannies. At Market One Capital, we see between seven and eight thousand companies a year. That’s about twenty-five companies a day.
I need to be able to think about a number of diverse issues every single day. It’s pretty hard for someone who loves all things business and technology, but I can’t afford to be too emotional while assessing investment opportunities.
PM: Seeing so many companies every single year, saying no to so many exciting ideas, it must be pretty hard to deal with on the personal level.
MK: Yes, exactly! Our work never ends; it’s the embodiment of FOMO. To stay sane, I decided that I will do my job to the best of my ability, but I also need to keep my mental hygiene intact.
PM: And how do you do that?
MK: I am extremely focused on every single day. I try to draw lessons from the past but look to the future. If I were a slave of the past, thinking about all the unicorns I didn’t invest in, I would fall ill. I try very hard to be the best version of myself, but if it’s not enough — so be it.
On the flip side, I try to take breaks and regularly go on vacations. When I’m here, I’m full in. When I’m out, I try to cut myself off completely.
PM: What keeps you going in this role?
MK: It’s so satisfying to work with brilliant people and to be able to support them. Waiting for the effects of my work is a bit challenging though.
On the micro-level, I feel intellectually gratified when I can deeply analyze specific topics. It’s like my brain is pumping iron really hard, and after it’s done, it feels the rush of endorphins.
PM: Is that the most rewarding aspect of being a VC?
MK: I think that the most rewarding moments are those when you invest and commit yourself to an idea or a company, and after many years, numerous tides and turns, you’re proven right by a great exit.
PM: So, what is your favorite achievement so far?
MK: I would name three things. I’m proud of Niania.pl — though it’s not a heavyweight startup, it’s still growing thirteen years after I started it. It’s helping many people solve their problems, it’s employing people, and it’s profitable.
The second thing is connected to my angel investments. I’m proud of investing in so many great companies, like Brainly or Docplanner. I know it was mostly luck and the momentum I had after exiting Niania.pl, but I think life is about taking advantage of such opportunities.
Third and foremost, I’m proud that we could build Market One Capital exactly like we wanted. I’m proud of having backed companies where we had a strong conviction, like, among others, Tier Mobility.
In the end, although it’s easy to make a mistake, I don’t want to have any regrets looking back.
