Introducing Not Boring Capital: Investing in Stories and Helping Tell Them

Introducing Not Boring Capital: Investing in Stories and Helping Tell Them

Not Boring Capital is an $8 million venture fund that focuses on investing in companies with compelling stories and assists in amplifying those narratives. The fund primarily targets Seed through Series B companies, occasionally making pre-seed and growth-stage investments. This unique approach is driven by the belief that the intertwining of investing and writing creates a powerful flywheel for success.

Fintech Emerges as the Leading Vertical

Among the various verticals, fintech takes the lead in terms of the number of investments (6) and dollars invested ($525k). Not Boring Capital recognizes the potential for significant returns in this sector and dedicates a substantial portion of its funds to investing in fintech companies that leverage technology for investing purposes.

Core, Explore, and Growth Investments

To diversify its portfolio and optimize returns, Not Boring Capital follows a three-pronged investment strategy. The core investments, comprising about 75% of the total dollars invested, have the potential to generate substantial returns and are the primary focus of the fund. Explore investments, which make up 5-10% of invested dollars, allow the fund to secure a seat in the next round or increase deal flow, even if the returns may be smaller. Finally, growth investments, accounting for approximately 20% of invested dollars, offer a safer option with a lower ceiling but a higher floor.

The Power of Compounding Knowledge and Community

Not Boring Capital believes in the power of knowledge and community. With a readership of over 60,000 people, the fund leverages its portfolio companies to engage with its readers and vice versa. This symbiotic relationship creates a virtuous cycle where the success of portfolio companies is amplified through the support of the Not Boring community.

Combining Passions: Meet, Talk, Read, Write, and Invest

The founder of Not Boring Capital, Packy McCormick, has always had three passions: meeting and talking to smart people, reading and writing, and investing. These passions intertwine and enhance one another, ultimately leading to a more holistic understanding of the investment landscape. With the introduction of Glasp, a platform that enables reading, highlighting, and sharing, the intersection of reading and writing is further amplified, allowing for the circulation of knowledge and ideas.

Elon Musk's Insights on Building the Future

Elon Musk, the visionary entrepreneur, emphasizes the significance of artificial intelligence (AI) in shaping the future. He believes that AI has the potential to greatly impact humanity, and it is crucial to ensure its development is done responsibly. Musk also highlights the importance of genetic reprogramming in solving diseases like dementia and Alzheimer's, emphasizing the need for relentless work by intelligent individuals to advance technology.

Overcoming Fear and Embracing Risk

Musk's journey with SpaceX serves as a testament to his willingness to embrace risk and overcome fear. Despite the low odds of success, Musk started SpaceX with the belief that even incremental progress would be valuable. This mindset demonstrates the importance of pursuing important endeavors, even in the face of fear and uncertainty.

Democratization of AI Technology

Musk strongly advocates for the democratization of AI technology. He believes in making it widely accessible and ensuring it does not become concentrated in the hands of a few. To promote this vision, Musk and his team created OpenAI, an organization dedicated to advancing AI technology and safeguarding its accessibility.

The Machine That Builds the Machine

Musk's biggest epiphany this year revolves around the notion that the machine responsible for building the machine holds utmost importance. This realization underscores the significance of engineering and design in developing next-generation products. By focusing on refining the manufacturing process, Musk aims to enhance the efficiency and capabilities of his ventures.

Actionable Advice:

1. Embrace the power of storytelling: When seeking investments, consider the narratives behind the companies. Compelling stories can captivate investors and help differentiate your venture.

2. Diversify your investment strategy: Allocate funds across core, explore, and growth investments to optimize returns and manage risk effectively.

3. Foster a symbiotic relationship with your community: Engage with your audience and leverage their support to amplify the success of your portfolio companies. Embrace platforms like Glasp to enhance knowledge circulation.

In conclusion, Not Boring Capital's unique approach to investing, coupled with the power of storytelling and knowledge circulation, sets it apart in the venture capital landscape. By intertwining investing, writing, and community engagement, the fund aims to generate substantial returns while fostering a sense of collective growth and support. Embracing risk, democratizing technology, and focusing on engineering excellence are key elements that can shape the future and drive innovation forward.