[PreMoney SF 2016] Jennifer Fonstad, Dave McClure: "Looking Ahead, While Learning from The Past"

TL;DR

Jennifer discusses the founding of Aspect Ventures, their focus on series A investments, and the importance of diversity in the venture industry.

Transcript

Jennifer you've been an investor in the valley for quite a bit of time I think you must have started when you were like 15 right about your sweet and I notice for both in black so I got the right perfect I i was told that hides my girlish figure but i don't think that's true could you give us maybe an intro to what aspect ventures is all about and ... Read More

Key Insights

• 🙈 Aspect Ventures focuses on series A investments and saw a lack of opportunity in the market for building companies from this stage.
• 😇 They believe in collaborative investing and work closely with micro VCs, angel networks, and large firms.
• 🍧 Jennifer emphasizes the importance of passion and having a real proprietary advantage when building a company.
• 🙈 Diversity, including gender and ethnicity, is seen as a competitive advantage in the venture industry.
• 😨 Health care and security are areas where Aspect Ventures has over-indexed in their investments.
• 😨 The challenges in the health care industry, including heavy regulation, make it difficult to build large companies like Google or Facebook.
• 😨 There is potential for automation and AI to solve problems in health care, and Aspect Ventures is exploring opportunities in this area.
• 🏛️ Jennifer highlights the value of introverts and diversity of perspectives in building successful companies.
• 😇 Advice for aspiring VCs includes seeking mentorship, building relationships with venture investors, and joining angel networks.

Questions & Answers

Q: What led Jennifer to start Aspect Ventures?

Jennifer was inspired by the Draper family and their legacy in entrepreneurship. She wanted to build her own company and saw a dearth of opportunity for series A investments.

Q: How much does Aspect Ventures typically invest in seed and series A investments?

For seed investing, they typically invest between $100,000 to $500,000. For series A investments, they invest between $1 million to $6 million.

Q: How many investments has Aspect Ventures made in the past two years?

They have made 20 investments in the past two years, a mix of seed and series A investments.

Q: Does Aspect Ventures have a particular focus on women founders or markets?

While Jennifer and Teresa are both women founders, Aspect Ventures is not a women-only fund. They have a mix of male and female founders, with about 40% of their investments made in female-founded companies.

Q: What is the current situation for women in the venture industry?

While Jennifer had positive experiences in the industry, she acknowledges that many women face challenges. The percentage of women investors has decreased, but having more role models and diversity is crucial for driving change in the industry.

Summary & Key Takeaways

• Jennifer discusses the founding of Aspect Ventures with her co-founder Teresa Gao and their focus on series A investments.

• They saw a lack of opportunity for building companies from the series A stage and wanted to change that.

• Aspect Ventures has raised a $150 million fund and has invested in over 20 companies to date.