[PreMoney SF 2016] Aileen Lee, Christine Tsai: "What VCs Need to Be Doing to Prepare"

TL;DR

Aen presents her perspective on the current state of venture capital, the startup industry, and the importance of mentorship.

Transcript

so Dave basically stole my thunder and uh did a nice intro of aen but yes so above all the you know founder of a a seed fund here in Silicon Valley had a very illustrious career before at KP but most importantly coin the term unicorn you probably can't ever get away from that now but okay how many of you are sick of the term unicorn all that's not ... Read More

Key Insights

• 😘 Seed-stage investing offers unique benefits, including lower valuations and a more collaborative environment for investors.
• 🏂 The venture capital industry should focus on developing mentorship programs to educate and support younger partners in becoming effective board members.
• ❓ Commerce companies require careful consideration due to their cash-consuming nature, but Cowboy Ventures remains bullish on the sector.

Questions & Answers

Q: How has Aen's experience at Cowboy Ventures differed from her time at Kleiner Perkins?

Aen highlights the differences in the venture capital landscape, with seed-stage investing offering lower valuations and a more collaborative approach compared to traditional Series A and B funding.

Q: How does Cowboy Ventures decide which startups to invest in?

Cowboy Ventures aims to invest in high-quality founders and startups with large market sizes, without being tied to a specific investment thesis.

Q: What insights does Aen provide on the future of startup trends and unicorn companies?

Aen predicts that there will be more unicorns in the next five years, as many industries are still untapped by technology and software.

Q: How does Aen view the current market correction and its impact on startups?

Aen believes that the market is undergoing a necessary valuation adjustment, with seed rounds becoming smaller and at lower valuations to better align with the cautious nature of Series A investors.

Summary & Key Takeaways

• Aen reflects on her transition from working at a large VC firm to running her own seed-stage fund, Cowboy Ventures.

• She discusses the benefits of seed-stage investing, including lower valuations and a more collaborative environment.

• Aen emphasizes the need for mentorship in the venture capital industry and the importance of building strong boards for startups.