The hottest Venture Capital Substack posts right now

And their main takeaways
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Top Business Topics

Tech-Financial-VC Bubbles

Turnaround • 158 implied HN points • 04 Apr 20
💰 Finance Technology Startups Investing Venture Capital Economics
  1. Financial bubbles follow a pattern of phases - starting with intense innovation funding, moving into financial speculation, and finally reaching maturity before a possible burst.
  2. Technology and financial bubbles can be compared to the Greek myth of Sisyphus, where we continually build and push bubbles until they burst, repeating the cycle.
  3. The current tech bubble seems concentrated within private and venture capital, driven by factors like low interest rates, leading to bigger deal sizes and a shift from IPOs to unicorn aspirations.

How To Find Problem-Solution Fit? (A Framework) | VC Jobs

Venture Curator • 2 HN points • 04 Jun 24
💼 Business Investment Strategies Venture Capital Market Analysis
  1. Startups need to ensure their solutions fit the problems they are trying to solve for a successful venture.
  2. The process of finding Problem-Solution Fit involves moving from idea conception to validation in phases.
  3. It's crucial for founders to understand the distinction between Problem-Solution Fit and Product-Market Fit to navigate their startup's growth effectively.

Introducing the Equal Ventures Talent Network

Equal Ventures • 79 implied HN points • 16 Jun 21
💼 Business Startups Venture Capital Networking Recruitment Entrepreneurship
  1. Startup founders can leverage VCs to determine which startups are promising to join, as VCs have access to valuable information.
  2. Equal Ventures has launched the Talent Network to help startup operators connect with opportunities and roles in a more organized and scalable manner.
  3. The Talent Network portal assists individuals in exploring roles in venture-backed companies and also helps in finding executives and founding team members for incubations.

Where are the Female Founders in Generative AI?

Sarah’s Substack • 1 HN point • 12 Jul 24
🕹 Technology Artificial Intelligence Entrepreneurship Gender Diversity Venture Capital Innovation
  1. Women are less likely to take risks when choosing career paths, which affects their representation in fields like generative AI.
  2. The generative AI industry is rapidly evolving, making it harder for anyone to find a clear path to success, especially for women.
  3. With generative AI expected to create significant wealth, the lack of female founders could lead to a future without diverse perspectives in this important sector.
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Why investors think hardware is hard

Robots & Startups • 19 implied HN points • 27 Feb 23
💼 Business Investors Hardware Venture Capital
  1. Investors find hardware startups challenging due to the complexities involved in manufacturing and scaling physical products.
  2. New investors with smaller funds are emerging in the hardware space, presenting competition to established players like Sequoia.
  3. There's a growing interest among hardware investors to attract limited partners and secure private equity in the industry.

What Matters Most: How We Develop Conviction at Seed

Equal Ventures • 39 implied HN points • 14 Mar 22
💼 Business Venture Capital Startup Evaluation Decision-making
  1. Developing conviction at seed stage involves looking beyond basic metrics and focusing on long-term potential.
  2. Key factors for investing include evaluating moat trajectory, proximity to product-market fit, and identifying catalysts for market entry.
  3. Team evaluation is crucial, prioritizing qualities like grit, decision-making, and founder-market fit over pedigree.

Where Has All The Money Gone?

Superfluid • 39 implied HN points • 28 Jun 23
💼 Business Venture Capital Startup Ecosystem Market Dynamics
  1. In the past, startups received large amounts of capital at early stages like Pre-Seed, which led to a funding freeze at Series B stage.
  2. Decrease in later-stage technology funding and changing market dynamics have implications for the entire startup ecosystem.
  3. Founders are facing pressure to survive with short runways, need to focus on revenue generation, cost control, and strategic decision making.

Zombiecalypse in Startupland

East Wind • 9 implied HN points • 30 Jul 24
💼 Business Venture Capital Startups Investing SaaS Economics
  1. The SaaS market is struggling, with many companies facing slow growth. This makes it hard for them to go public or find buyers.
  2. There are lots of startups that were once valued highly, but now they can't exit or sell without losing value. This is creating a backlog of troubled companies.
  3. Investors are still showing interest in AI startups, but there’s a risk of repeating past mistakes and ending up with even more struggling businesses that can't deliver for their investors.

Equal Ventures Hiring MBA Research Interns

Equal Ventures • 59 implied HN points • 09 Aug 21
💼 Business Recruiting Venture Capital Research Investment Finance
  1. Equal Ventures is hiring MBA Research Interns to work on specific verticals like Care Economies, Climate / Energy, Insurance, Retail, and Supply Chain / Logistics.
  2. The role focuses on developing investment themes and a research database, providing a ground-level view at a high-growth VC fund.
  3. Ideal candidates for the internship are professional, intellectually curious, self-directed, and friendly, with experience in market research.

no. 53: restaurants on the radio

let them eat cake • 39 implied HN points • 01 May 22
🍲 Food & Drink Restaurants Internet Technology Venture Capital
  1. Venture-tech has negatively impacted the US restaurant scene by funding delivery services, ghost kitchens, and virtual brands.
  2. The internet has a way of separating content from its physical origins and redirecting the financial flows that content generates.
  3. Technology has been changing the restaurant landscape significantly, impacting how restaurants operate and how they interact with customers.

Dilution from Mega-Seed Rounds

Magis • 36 implied HN points • 19 Jun 23
💼 Business Startup funding Venture Capital Financial Strategy Investor Relations Entrepreneurship
  1. Startups can raise large upfront rounds to de-risk future fundraising and take advantage of money's present value.
  2. Founders should benchmark their equity dilution against similar funding rounds to understand ownership implications.
  3. Raising more capital than necessary can lead to giving away equity at a discount, especially for capital-efficient startups.

Promotions at Equal Ventures: Congratulations to Chelsea & Simran!

Equal Ventures • 39 implied HN points • 21 Jan 22
💼 Business Venture Capital
  1. Equal Ventures announced promotions for Chelsea Zhang and Simran Suri, recognizing their significant contributions to the company.
  2. Chelsea Zhang's journey from intern to Senior Associate showcases her impactful work in Supply Chain and Retail, driving investments and bolstering the company's confidence in the food industry.
  3. Simran Suri's dedication to Climate and the Care Economy, despite joining remotely, demonstrates her expertise and innovative contributions, making her a valuable asset to the firm.

WindBorne Systems

next big thing • 34 implied HN points • 22 Jun 23
🕹 Technology Climate Climate tech Venture Capital Tech startups
  1. Accurate weather data is crucial for making informed decisions and mitigating costs associated with severe weather events.
  2. Improvements in weather technology are needed due to gaps in weather observations globally.
  3. WindBorne Systems received a $6M Seed round investment led by Footwork for their work in providing detailed weather observations to improve forecasting and reduce carbon emissions.

Tidal Waves in Venture Capital

East Wind • 20 implied HN points • 11 Dec 23
💼 Business Venture Capital Data science Investment Trends Market Dynamics Future Predictions
  1. Venture capital is facing challenges like the curse of scale and lower returns, making the industry more competitive.
  2. Data science and AI are reshaping VC investment processes, improving deal sourcing and evaluation.
  3. VC is becoming higher frequency, with firms leveraging AI to move faster and secure deals in a more competitive landscape.

An Alternative Approach to Deep Tech VC

FreakTakes • 30 implied HN points • 13 Jul 23
💼 Business Venture Capital Technology Innovation Financial Strategy
  1. It's important to consider the original goals of organizations, like Y Combinator, which focused on providing fast experimentation and proof-of-growth.
  2. Deep tech VC can benefit from a model inspired by mid-20th century research organizations that focused on profitable problem-solving and spinoff companies.
  3. Collaboration with applied research professors at universities and shaping projects for future VC investment can enhance the quality and viability of deep tech investments.

What is a “Prepared Mind” and why does it matter?

Equal Ventures • 59 implied HN points • 18 Apr 21
💼 Business Venture Capital Startups Investing
  1. Having a "prepared mind" means having an informed perspective in a specific industry or space, enabling meaningful partnerships with founders.
  2. In traditional venture capital, past experiences of VCs in specific industries were crucial for adding value to startups.
  3. As venture expands to new sectors, having a "prepared mind" tailored to those industries becomes essential for effective support and investment.

Patience, Patience, Patience

Superfluid • 39 implied HN points • 01 Mar 23
💼 Business Venture Capital Startup Strategy
  1. In the world of venture capital, patience is key for both founders and investors.
  2. Technological revolutions take around 50 years to fully proliferate through society.
  3. Investors should be cautious about backing startups in trendy spaces and focus on patient and sensible deployments of capital.

AgFunder's reading list for new VC analysts & associates

Rob Leclerc • 79 implied HN points • 05 Feb 21
💼 Business Venture Capital Investing Entrepreneurship History Resources
  1. Venture capital can be challenging to understand and may take new analysts 6-18 months to fully grasp.
  2. Books, essays, interviews, videos, podcasts, websites, and blogs are great resources for new VC analysts to learn about the industry.
  3. Understanding the history, culture, and frameworks of venture capital is crucial for new VC analysts and associates.

Pippa Passes: SVB, Alien Motherships, Mathematical Constants, New Physics, Manhattan Project v2, CBDC, and Indra’s Net

Dr. Pippa's Pen & Podcast • 29 implied HN points • 12 Mar 23
💼 Business Start-ups Funding Banking Venture Capital Entrepreneurship
  1. The financial world has issues with captive models, where banks raise money for clients and hold it, leading to potential risks like re-hypothecation.
  2. Start-ups, especially in Silicon Valley, faced challenges with raising capital and high failure rates, raising questions about the funding and support system for these businesses.
  3. There is a need to better understand the difference between having a brilliant product and building a successful business, as many founders struggle to make that transition.

SVB: Conflicts of (Insider Loan) Interest

Nongaap Investing • 37 implied HN points • 22 Mar 23
💼 Business Corporate Governance Venture Capital Conflicts of Interest Risk management
  1. Silicon Valley Bank faced a significant spike in insider loans, raising concerns about VC conflicts of interest and Director independence.
  2. Approximately 38% of SVB's reported incremental venture debt went to start-ups affiliated with Directors, prompting questions on underwriting transparency.
  3. The lack of disclosure in the Proxy Statement and the concentration of loans to insider-affiliated start-ups suggest potential VC conflicts of interest impacting risk management.

Most AI startups are service businesses, pretending to be product companies

Enterprise AI Trends • 7 HN points • 05 Aug 24
💼 Business Startups Consulting AI Software Venture Capital
  1. Many AI startups are actually offering services rather than traditional software products. This means they often rely on providing custom solutions to meet their clients' unique needs.
  2. As AI technology improves, businesses are becoming more self-sufficient in creating their own automated solutions with low-code tools. This could make it harder for AI solution providers to retain clients.
  3. For AI startups to succeed, they need to find ways to build scalable products with less dependence on consulting. This could involve creating specific tools that solve distinct problems instead of broad platforms.

Walking On a Tightrope

Superfluid • 13 implied HN points • 06 Mar 24
💼 Business Entrepreneurship Startups Venture Capital Decision-making Funding
  1. In the startup world, founders must balance irrationality and rationality for success. It's about believing in big ideas but also making data-driven decisions.
  2. As a startup evolves, founders need to shift from irrationality to rationality, showing a clear path to profitability.
  3. Recognizing when to embrace irrationality and when to be rational is key for successful founders. It's a valuable skill that can build trust and credibility.

SPACs a.k.a "Vegas Wedding Chapel of liquidity events"

Turnaround • 59 implied HN points • 25 Jan 21
💼 Business Investing Startups Venture Capital Private Equity IPOs
  1. Startups are increasingly staying private longer due to the availability of private money and growth of Venture Capital and Private Equity.
  2. SPACs, or Special Purpose Acquisition Companies, offer more certainty and speed for companies going public compared to traditional IPOs.
  3. SPACs may be seen as more expensive than IPOs due to higher fees, but have evolved and come under greater scrutiny by the SEC.

The number one piece of advice I give to new VCs launching their investing careers

Venture Reflections • 16 implied HN points • 23 Aug 23
💼 Business Venture Capital
  1. In venture investing, it's better to take things slowly at first than to rush into too much too soon.
  2. Venture funds evaluate new checkwriting investors based on access to good investments, judgment in selecting companies, and discretion in choosing which companies to bring for discussion.
  3. New investors should strive for high quality opportunities over high quantity, avoiding becoming the 'spray bottle' of lower quality deal flow.

Equal Ventures Hiring Insurtech/Fintech Associate

Equal Ventures • 39 implied HN points • 10 Aug 21
💼 Business Hiring Insurtech Investment Networking Venture Capital
  1. Equal Ventures is hiring an Insurtech Associate to focus on research, investments, and supporting founders in the insurtech space.
  2. Ideal candidates should have experience in consulting, equity research, or private equity, and a strong interest in startups and the venture ecosystem.
  3. Applicants are required to submit responses to specific questions along with their LinkedIn profile/resume for consideration.

VCs sell money

Sunday Letters • 19 implied HN points • 20 Nov 22
💼 Business Venture Capital Investing Startups Economics Finance
  1. Venture capitalists (VCs) primarily sell money to companies, and their main goal is to find good companies to invest in. It's a sales role, and they often have to compete to get the best opportunities.
  2. Most VC returns come from a few big successes, while many investments may only give back what was initially put in or fail completely. This means that if your startup doesn't do well, it's a bigger deal for you than for the VC.
  3. Understanding the different motivations and incentives between you and your VC is crucial. Even if both of you want the company to succeed, you may want success for different reasons and might make different decisions along the way.

Private equity: Resilient, but not immune

Klement on Investing • 1 implied HN point • 18 Feb 25
💰 Finance Investing Private Equity Venture Capital Market Trends
  1. Private equity and venture capital can bounce back from economic shocks over time. If you hold these investments long enough, you are likely to recover any losses.
  2. Shocks in stock and bond markets can affect private equity returns more than investors might think. During a crisis, the reactions are often quick and correlated with these markets.
  3. Despite their resilience, private equity is not totally safe. Investors should expect some volatility during tough economic times, but patience can lead to better long-term returns.

The Changing Nature of Pre-Seed Syndication

Venture Reflections • 6 implied HN points • 11 Mar 24
💼 Business Investing Funding Startups Venture Capital
  1. The landscape of pre-seed investment is shifting, making it more challenging for founders to raise pre-seed rounds.
  2. Certain categories like defense tech and AI are skipping pre-seed investment due to high capital requirements.
  3. Many pre-seed investment partners are now focusing more on larger rounds with companies that have traction, resembling seed rounds.

An Investor's Perspective on the Value of Regular Check-Ins

Venture Reflections • 13 implied HN points • 05 Aug 23
💼 Business Investing Startups Entrepreneurship Venture Capital Management
  1. Investors find regular check-ins with portfolio companies valuable for building trust and understanding
  2. Product velocity is a significant predictor of a company's future success for investors
  3. Investors use frequent touch points to learn about how founders solve problems and offer feedback on the business