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The Lean VC: a Silicon Valley 2.0 Story Dave McClure, 500 Startups ( @DaveMcClure )  http://500startups.com GROW conference - August 2010 – Vancouver, CA Re-Inventing Venture Capital & Angel Investing through Innovation, Incubation, & Iteration
Lean VC - Topics ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[Pardon The Blatant Commercial]
Dave McClure ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],GEEK, CODER, ENTREPRENEUR Blogger, Startup Advisor Internet Marketing,  SuperAngel/Micro-VC
Professional Investments  (Founders Fund: 43 deals, Q4/08-Q1/10, ~$3M) fbFund REV 22 incubator deals ($850K)  FF Angel 21 seed deals ($2M)
Personal Investments (500 Hats: 26 deals, 2004-2010, ~$400K) LinkDex oneforty Networked Blogs MyGengo Votizen Postling EcoMom SiteJabber Graphicly WePay Plancast Recurly
500 Startups LP Mountain View, CA – Founded 2010 ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Venture Capital 1.0 =  Too Big To  FAIL   WIN ? (at least for *Internet* Startups) Venture Capitalist?  Super Angel.
Silicon Valley Investor Ecosystem True Ventures First Round Capital Benchmark Sequoia Angels &  Incubators ($0-10M) “ Seed” Funds  ($10-50M) “ Small” VC Funds  ($50-250M) “ Large” VC Funds  (>$250M) Y-Combinator TechStars SoftTech (Clavier) FloodGate (Maples) Felicis (Senkut) SV Angel (Conway)
Venture Capital: Still Relevant? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
More & Smaller Acquisitions ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Platforms 2.0 Search, Social, Mobile
Web 2.0 :  Good Times, G . ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],R.I.P. *BAD* TIMES
Platform Viability Successful Platforms  have 3 Things: 1)  Features 2)  Users 3)  Money Users   . .  Money Features Growth Profit Profitable Growth Nirvana
Distribution Platforms ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Web 2.0 Business Model:  KISS   ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Startup Incubators  Lots of Hot, Cool, Web 2.0! (+ lots of  FAIL .)
Incubator 2.0: Fast, Cheap, FAIL ,[object Object],[object Object],[object Object],[object Object]
Incubator 2.0:  Education, Collaboration, Iteration ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
fbFund REV ,[object Object],[object Object],[object Object],[object Object]
Startup Metrics:  Lean Startup  &  Lean VC Measure Stuff, Iterate.  (Rinse & Repeat.)
Startup 2.0:  “Lean Investor” Model ,[object Object],[object Object],[object Object],[object Object]
Investment #1: Incubate (“Product”) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Investment #2: Seed (“Market”) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Investment #3: Venture (“Revenue”) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Summary ,[object Object],[object Object],[object Object],[object Object],[object Object]

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GROW2010 Conference - Dave mcclure

  • 1. The Lean VC: a Silicon Valley 2.0 Story Dave McClure, 500 Startups ( @DaveMcClure ) http://500startups.com GROW conference - August 2010 – Vancouver, CA Re-Inventing Venture Capital & Angel Investing through Innovation, Incubation, & Iteration
  • 2.
  • 3. [Pardon The Blatant Commercial]
  • 4.
  • 5. Professional Investments (Founders Fund: 43 deals, Q4/08-Q1/10, ~$3M) fbFund REV 22 incubator deals ($850K) FF Angel 21 seed deals ($2M)
  • 6. Personal Investments (500 Hats: 26 deals, 2004-2010, ~$400K) LinkDex oneforty Networked Blogs MyGengo Votizen Postling EcoMom SiteJabber Graphicly WePay Plancast Recurly
  • 7.
  • 8. Venture Capital 1.0 = Too Big To FAIL WIN ? (at least for *Internet* Startups) Venture Capitalist? Super Angel.
  • 9. Silicon Valley Investor Ecosystem True Ventures First Round Capital Benchmark Sequoia Angels & Incubators ($0-10M) “ Seed” Funds ($10-50M) “ Small” VC Funds ($50-250M) “ Large” VC Funds (>$250M) Y-Combinator TechStars SoftTech (Clavier) FloodGate (Maples) Felicis (Senkut) SV Angel (Conway)
  • 10.
  • 11.
  • 12. Platforms 2.0 Search, Social, Mobile
  • 13.
  • 14. Platform Viability Successful Platforms have 3 Things: 1) Features 2) Users 3) Money Users . . Money Features Growth Profit Profitable Growth Nirvana
  • 15.
  • 16.
  • 17. Startup Incubators Lots of Hot, Cool, Web 2.0! (+ lots of FAIL .)
  • 18.
  • 19.
  • 20.
  • 21. Startup Metrics: Lean Startup & Lean VC Measure Stuff, Iterate. (Rinse & Repeat.)
  • 22.
  • 23.
  • 24.
  • 25.
  • 26.