Joe & Stephanie of Diadem Capital on the Changing Landscape of Venture Capital and Fundraising
Manage episode 432993470 series 3564981
Summary
In this conversation, Jothy Rosenberg interviews Joe Hammill and Stephanie Rieben about their backgrounds and their work in the venture capital industry. They discuss the state of venture capital and fundraising, highlighting the challenges faced by both founders and investors. They also share insights on what founders often get wrong about fundraising and the importance of grit in the startup world. Joe and Stephanie explain their business model at Diadem Capital, which aims to connect private companies with private capital and provide a platform for curated deal flow. They emphasize the value of trust and alignment in their approach.
Takeaways
The state of venture capital has changed recently, with lower capital deployment and liquidity constraints for LPs.
Founders often have misconceptions about fundraising, such as expecting venture capital to fund the building of their business.
Grit is essential in the startup world, and it can be developed over time through experiences and a mindset of perseverance.
Diadem Capital aims to create a private markets ecosystem by connecting private companies with private capital and providing curated deal flow.
Trust and alignment are crucial in the venture capital industry, and Diadem Capital's success-based fee model helps incentivize collaboration.
Sound Bites
"Last year was one of the lowest capital deployment years in a long time."
"Venture capital accelerates already built businesses."
"Don't try to push your valuation up too high because you can really screw yourself.”
Links
Diadem Capital’s website: https://diademcapital.com/
Please leave us a review: https://podchaser.com/DesigningSuccessfulStartups
Tech Startup Toolkit (book): https://www.manning.com/books/tech-startup-toolkit
Jothy’s website: https://jothyrosenberg.com
Who Says I Can’t Foundation: https://whosaysicant.org
Jothy’s TEDx talk: https://www.youtube.com/watch?v=PNtOawXAx5A
Chapters
00:00 Introduction and Backgrounds
04:18 The State of Venture Capital and Fundraising
08:14 Misconceptions about Fundraising
15:30 Diadem Capital's Business Model
20:22 Helping VCs Build Syndicates
23:28 The Role of Grit in Success
27:54 Personal Stories of Grit
35:00 Overcoming Challenges and Staying Optimistic
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