Jerry Jao

🌟Innovative VC Firm Overcomes Exits Drought with Secondary Sales🌟 ⛵Navigating a challenging landscape where exits are scarce, Santa Barbara Venture Partners (SBVP) has pioneered a novel approach to sustain its growth and attract investors for its second fund: secondary sales. Instead of waiting for traditional exits like IPOs or acquisitions, SBVP opted to sell shares of its portfolio companies, demonstrating its ability to generate returns for investors and stand out in a competitive market. 🎤According to Dan Engel, founder and managing partner of SBVP, these secondary transactions have been a game-changer, sparking investor interest and bolstering the firm's credibility. By leveraging its recent successes, including a lucrative stake in sports-betting company DraftKings Inc.' acquisition of digital lottery app Jackpocket, SBVP seized the opportunity to return profits to its limited partners (LPs) and pave the way for its second fund. 💡Engel highlighted the challenges faced by young VC firms in raising subsequent funds, particularly amid a downturn in exit activity and heightened investor scrutiny. With traditional exit routes becoming increasingly elusive, the pressure is on for firms to demonstrate tangible returns and establish a track record of success. ✨"For us, secondary sales have been a game-changer. They've helped us return profits to our LPs and attract investors for our second fund," said Dan Engel. 💰For SBVP, the decision to pursue secondary sales was driven by the need to provide liquidity to LPs and validate its investment thesis in the eyes of prospective investors. By strategically offloading portions of its holdings in high-performing portfolio companies like Bark Technologies and Rad AI, SBVP not only generated substantial returns but also bolstered investor confidence in its ability to deliver results. ⚠Despite the complexities and potential stigma associated with early share sales, Engel emphasized the importance of prioritizing investor returns and seizing opportunities to unlock value for stakeholders. With a focus on profitability and transparency, SBVP remains committed to its mission of delivering sustainable growth and maximizing returns for its LPs. 🔍 "Returning profits to our investors is our top priority. By strategically selling shares, we're proving our commitment to delivering results and driving value for our stakeholders," added Engel. As SBVP continues to explore secondary transactions and expand its investor base, the firm stands as a testament to innovation and resilience in the face of market challenges. 🚀 ✅ Looking to raise capital for your #fund and increase the international pool of your LP #investors?   🤝 Need warm #LP introductions?   📝 Selling #secondaries to increase liquidity?   🧐 Looking for co-investments?   ▶ G+QUANT's link for inquiries and fund decks: https://lnkd.in/gjC_EuTE #VCInnovation #SecondarySalesSuccess #InvestorReturns #ValueCreation 

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I love this! Thank you to Rachel Brown from Beauty Independent to kick-off this exchange with Andrew Ross' provocative thesis and have us all react to it. I truly enjoyed reading everyone's thoughts on the topic of the shortening lifecycle of beauty brands. Here is a snippet of mine: "Because beauty brand lifespans are shortening, it is important that we are able to differentiate brands with staying power from brands that will end up being a flash in the pan. There are much more of the latter than the former in the market right now, and if a brand is not well-positioned, it will be challenging for that brand to survive over the long-term. That’s why we focus on understanding each brand’s differentiators and long-term relevance." See more here: https://lnkd.in/esVbwnu2 and you will discover what Kevin Murphy, Odile Roujol, Rich Gersten, Tina Henry Bou-Saba, Oliver Nordlinger, Claire Chang, Manica Blain, Sonya Brown, George Birman had to say. #beautyindustry #beautyinvesting Stride Consumer Partners

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🚀 Calling All #CPG Founders and Companies! Unlock Your Superpowers with eQuo! 🚀 Are you ready to discover your true potential and transform into the CPG superhero you've always dreamed of becoming? Join us at eQuo, where your journey to conquer the Consumer Packaged Goods (CPG) universe begins. Who is eQuo? Think of us as the Avengers of the CPG world—minus the capes and property damage. We're #eQuopreneurs, your go-to allies, dedicated to turning your entrepreneurial dreams into reality. Our mission is simple: to arm you with the tools, support, and connections you need to thrive. In our hearts, we believe that CPG stands for Community, Passion, and Growth. Why Join eQuo? 🥇 Industry Veterans: Connect with seasoned CPG experts who’ve tangoed with industry giants like Unilever, Procter & Gamble, Wrigley, and Kraft. They've built their own CPG empires from scratch and are now here to share their hard-earned wisdom with you. 🏆 Unmatched Resources: Access a treasure chest of resources designed specifically for your CPG journey. Need funding? Reliable suppliers? Top-notch education? We've got it all. 🌟 Vibrant Community: Join a thriving network of eQuopreneurs—like-minded entrepreneurs who are as passionate about your success as you are. When you join eQuo, you’re not just signing up for a platform; you’re joining a family of CPG warriors. 🦸 Your CPG Sidekick: We're here to guide you through every twist and turn of your CPG adventure. 💼 Wealth of Knowledge: Tap into the expertise of industry veterans who truly want to see you succeed. 🔧 Resource Goldmine: From funding to suppliers to education, eQuo has everything you need to overcome obstacles and achieve your goals. Join Us Today! www.eQuoshift.com It's Free. Every founder is a superhero, driving the economy, creating jobs, and keeping communities vibrant and unique. As an eQuopreneur, you'll be equipped to tackle challenges head-on, all while lifting your community to new heights. Let’s embark on this incredible journey together. Join eQuo and discover your CPG superpowers today! Learn more at www.eQuoshift.com. #eQuopreneurs #CPGSuperheroes #eQuo #Entrepreneurship #CPGFounders #CommunityOverCompetition #UnlockYourPotential #BusinessGrowth #CPG

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Earlier this year, we surveyed our fellow Los Angeles-based GPs to get a pulse check on the LA venture ecosystem. Here’s what we found: 💗 Deal flow is healthy, and most LA venture investors (68%) are seeing the same or more deal flow YoY. ✈ LA investors are spending time in a variety of markets, with NYC, Austin, and SF following closely on LA’s heels. 🔍 Innovation is concentrated in AI and machine learning, space, and commerce. 💸 Funding is happening, but it’s barbell-shaped, with deals concentrated at the early and late stages. Funding post-Series A has been challenging. 🚩 LA is differentiated, but not without its challenges. Key difficulties include not attracting enough AI talent (despite having the largest number of engineers graduating from our region over any other in the United States); talent relocated to more tax-friendly or less expensive locations; and the great SoCal / NoCal divide 🙏 Thank you to all our many respondents! I’m so glad to be part of a venture ecosystem that includes great minds like Anna Barber, Brent Murri, W. Christine Choi, Sarah Tomolonius, Rob Smith, Win Chevapravatdumrong, John Tabis, Jill Royster, Jesse Draper, Ashley Balla, Britt Danneman, Tram Lai, Carmen Palafox, Elaine Russell, Deborah Benton Amanda Schutzbank, Brian Lee, Petra Griffith, Minnie Ingersoll, Shamin Walsh, Gabe Greenbaum...wow, this list could go on forever...plus too many other exceptional humans to name. You know who you are! Explore our findings more deeply with our survey dashboard: https://bit.ly/3JsaLaB

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Looking forward to discussing how changing demographics and culture norms are affecting investment opportunities in longevity, health and well-being at The Care Summit today Alongside Cake Ventures' Monique Woodard, Ziegler's Dan Hermann, Oak HC/FT's Billy Deitch and JPMorgan Chase & Co.'s Jennifer Edwards, we’ll dive into the trends shaping how we are investing in the space: - Last year marked one of the most significant social and economic moments in modern times: The number of older adults—those aged 50 and over- surpassed the number of children under the age of 15 for the first time. - In 2020 the 50 plus population contributed $45 trillion to global GDP, or 34% of the total. That equates to about 3x the revenue of the world’s 100 highest- earning companies in 2020. - The U.S. population grew by 24.5 million from 2010 to 2022, and Hispanics accounted for 53% of this increase – a greater share than any other racial or ethnic group. - Women around the world and across all ages drive 64% of consumer spending

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At Costanoa Ventures, we pride ourselves on identifying and supporting exceptional founders poised to create impactful, lasting change. Hona is a shining example, driven by a trio of extremely talented founders: Manny Griffiths, Joshua Christensen, and Matt McClellan. They each bring unique, differentiated expertise to the table, and Amy Cheetham and I are extremely excited to partner with them. There are approximately 450,000 law firms in the United States, with half of those firms being B2C - think personal injury, mass tort, or immigration law as opposed to BigLaw. One of the reasons we love how Hona is tackling this market is their focus on B2C law firms and product excellence - B2B firms are historically difficult to sell brand new software products into, but B2C firms are completely different buyers. Oftentimes there's just a handful of lawyers and paralegals in a partnership, and any piece of technology they can use to give them an edge would be valuable. 44% of negative Google reviews on law firms directly reference poor communication as the reason for a negative experience, and the number 1 reason for Attorney Bar complaints in the U.S. is "lack of communication". On the lawyer's side, attorneys, paralegals and legal assistants spend an average of 7.4 hours per week on unnecessary updates, redundant communication, and activities that aren't directly contributing towards getting a client's case solved. Manny and the team at Hona are working to change all of that. Hona delivers a tightly-integrated communications platform to help facilitate better communication between law firms and their clients. During legal proceedings, client communications tend to be a large resource-stressor for law firms. Clients will frequently call firms for case updates, legal explanations, or general administrative questions that tend to eat away at firm resources without providing any additional progress toward case resolution. Hona exists to ease that burden - it’s a platform that allows law firms to efficiently communicate with their clients over text, easily build customizable web pages and embed videos, and share information on case status and basic legal process education. This crucial communication processes allow attorneys to focus on their job – moving cases forward, while keeping their clients informed and educated. If you're a lawyer dealing with these problems - don't hesitate to reach out to us or the Hona team! It's a privilege to work with Hona on this journey. The company has been growing at a rapid pace, and they're delivering meaningful technology to help people get through legal proceedings in a much more fluid, transparent, and easy process. Manny, Joshua, and Matt are exceptional founders whose combined skills and dedication to continuous learning position them perfectly to lead Hona to success. They're just getting started, and we can't wait to see what they'll achieve.

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DTC-first companies have a major conviction problem lately   The beauty of Ecomm is the speed of the feedback loop   When things are going well, you know right away and the magnitude of success can surpass our previous mental models   It’s not unusual for a brand to grow >2.5x year after year, compounding at a pace that would be absurd to a traditional wholesale brand   Not only do results like that feel great, they are SO rich with data — you know so much about your consumer and how they behave. You can (and should) cut your retention data dozens of ways to inform why things are going so well and how you can keep the party alive   This positively rigorous, data-driven behavior can be a seductive and eventually addictive, giving yourself the perception that your business is a rocket ship and you sit in a comfy chair at Mission Control, with endless dials at your fingertips   Problem is what happens when the tide shifts direction and you’re swimming against the current, as has been happening in the past few months or years (depending on the brand)   The speed of the feedback loop means that concerning stats start popping up at Mission Control faster than countermeasures can show impact   The same channel dynamic that unlocked unheard of momentum can start to feel like an insurmountable challenge, especially if the culture of the company was to obsess over the data this can wreak absolute havoc on team morale and make you question your belief in the product/brand   The only answer to this challenge of reversing momentum is deep, long-term conviction in your solution to the consumer problem that made you start this business in the first place   That conviction is so important because of how long it will take for the new strategies to work: • Double down on great products • Shout your story from the rooftops • Maniacal execution in retail and ecomm   There are no easy solutions that show impact quickly… the only way out of this stage is through

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One of my proudest moments as an investor occurred today as Alaffia Health announced its series A because it shows how the Aperture® Venture Capital vision of multi-level, multi-generational #impactinvesting is succeeding in the marketplace. Here’s the model in its most basic form : ✅As diverse fund managers with meaningful capital to allocate, we are changing the VC landscape every day just by doing our day jobs. ✅As Black/Brown investors with ~40 years experience collectively, Aperture GPs have access to talent /excellence that others do not, so our portfolio *organically* is more inclusive by race, gender and geography even while optimizing for financial outcomes (all about the alpha). ✅Our most successful portco’s are using financial #innovation to solve market problems that impact underrepresented demographics and underserved communities. Alaffia Health is a shining example of the impact portion of our overall fund thesis, and we couldn’t be prouder of TJ Ademiluyi and Adun Akanni, MPH, PMP - the dynamic brother-sister founder duo whose vision we have steadfastly supported on their journey. Congratulations to TJ and Adun from William Crowder and myself, as well as the whole Aperture team- Marjorie King Philip McKenzie Yves Louis-Jacques Tanvi Lal Michelle Dhansinghani Lisha Bell Katie Kelly Amy Chung Cindy Chong, CFA Brian Fernandes-Halloran Monroe France Jayden Pantel Darren Herman Evan Wladis Neal Triplett Thomas Scriven Peter Ammon Irina Bit-Babik Tim Milanich Rob Rahbari

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Confused about your Micro SaaS's worth? You're not alone. We specialize in valuations and growth strategies. Here are key metrics we focus on: > MoM user retention: >95% > Rule of X (2*YoY Growth + Profit Margin): >.40 > Onboarding: User Led > MRR: $40k to $80k See our work in action: A case study on a software suite for wedding venues with $98k ARR: 💬 https://shorturl.at/xTUY3 Want to chat about your metrics and growth strategies? Drop me a DM! #MicroSaaS #valuation #exit #acquisition

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Having a Cars and Capital event tomorrow in Southern California with Oren Klaff. If you want to join message me. https://lnkd.in/gDQ4D39u Oren Klaff Bridger Pennington #InvestorEvent #FamilyOffice #InvestmentOpportunity #CarlsbadEvent #PrivateEquity #WealthManagement #InvestmentConference #CapitalRaising #NetworkingEvent #IndustryLeaders #FinancialGrowth #InvestorsMeetup #WealthBuilding #BusinessGrowth #InvestmentForum

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Raised $1.8B+. Last valued at $8.3B. Selling for $150M-$200M. Big troubles in unicorn land. 🦄 A lot of investors are finding out the hard way that exit markets aren’t sufficiently large enough, or active enough, to support all the money that went into tech companies in recent years, especially those with crazy high valuations. https://lnkd.in/eXhQRFCx #vc #venturecapital #startups #entrepreneurs #entrepreneurship #tech #technology #innovation #money #business

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I'm excited to reshare this timeless episode of #Supermanagers featuring David O. Sacks, a member of the PayPal Mafia, founder of Yammer, Inc., and General Partner at Craft Ventures. David offers invaluable advice for CEOs, managers, founders, and anyone looking to elevate their organization. In this episode, David dives into:  - Introverted leadership - Managing hyper-growth - Knowing when to throw out processes  - And so much more. Don't miss out on his unique perspective and leadership journey. Tune in to learn from one of the best in the business! 🎧 Link in comments 👇

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👩‍🔬 Ayble Health is building an end-to-end care platform for digestive health, utilizing technology like predictive AI to help more than 70M Americans who live with gut discomfort. 👨‍🔬 It's W6 / Q2 / 2024 & this week in our MGMT Boston startup series we’ve got Ayble Health, a Seed stage healthtech startup building a platform for digestive health, increasing access to nutrition and behavioral therapy for millions who live with gut discomfort to make care better, faster, and more personalized. Sam Jactel had a problem. He had lived with IBD (Inflammatory Bowel Disease) for 10 years. It even runs in his family. Lucky enough to have the privilege of incredible access to care, he was treated at Harvard training hospitals like Brigham & Women’s. But Sam never got the help he needed to use nutrition and psychology as tools to tackle his condition. He would go to the doctor, take drugs, and was still sick. In and out of the hospital with flare ups frustrated by this Grand Canyon wide gap in care. Who was treating the whole patient? And where? There are not enough GI dieticians or psychologists to treat patients. Up to 40% of Americans' daily lives are being disrupted by digestive troubles and some 70M Americans suffer from GI diseases. There are 150 licensed GI psychologists nationwide... By comparison, it would be harder to get into ANY Ivy League university than see a GI psychologist. Like, 1000x harder to see a GI psychologist than get into Harvard statistically speaking. Are you starting to see the problem? What started as an Excel spreadsheet has now been transformed into an end-to-end care platform built to scale access to specialized nutrition and psychology therapy and make GI therapy better, faster, and more personalized. Using advanced nutrition techniques, powered by AI, their team helps patients find and remove trigger foods to live better lives. Their core differentiator? This stuff works. After years doing research backed by 14 clinical studies, they’re going commercial. The proof is in the 💩 , I mean pudding. 2023 was a critical year of validation as their first year “out in the wild”. They’re already working with multiple large state based health plans, 75% of the Top 10 academic medical centers in the country, and several F500 type employers. Next year they hope to widen access to 10s of millions. Sam & the team are hiring across the board, investing in core platform differentiators and wanting to be in every conversation related to GI with the patient at the center. Operators to Know: -Susan Aman, Director of Engineering -Lance Laughlin, Senior Software Engineer -Stefania Patinella, M.A., NBC-HWC, Founding Health Coach -Jessica Russo, Director of Customer Success & Partnerships If you're interested in learning more, including the key roles Ayble is hiring for, the full post is linked in the comments! And sign up for the newsletter to see who we bring you next week, will you?? #bostontech #startups #healthtech

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Who will be the next supply chain consolidator? From 2011 to 2021, XPO scaled up from $70M to $20B, fueled by a combination of organic growth and 18 acquisitions. The model was extremely successful. But the supply chain ecosystem remains extremely fragmented. There is plenty of room for new consolidators to emerge as winners. In the food supply chain software arena, one emerging acquiror is GrubMarket Inc. They have built a network model to help food suppliers automate their relationships with their customers. GrubMarket has acquired over 100 companies to date. They are expecting to exceed $2B in annualized revenue. And they just announced their latest purchase: Butter 🧈, a SaaS platform to automate food distribution. Kudos to Mike Xu, Winston C., and all involved! #logistics #supplychain #consolidation https://lnkd.in/emY4wpsy

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I used to spend 2-3 hours daily on clinic notes, skeptical of AI scribe technology. However, I've been impressed with RevMaxx, a generative AI company transforming clinical note creation by listening to physician-patient conversations and automatically generating comprehensive notes. This platform accurately captures crucial ICD-10 codes, saving valuable time ⏰. 👉 Why This Matters: - **Reducing Physician Burnout:** Administrative tasks are a significant contributor to physician burnout. Innovations like RevMaxx alleviate this burden effectively. #HealthcareInnovation #AI #PhysicianBurnout #MedicalDocumentation #HealthTech #RevMaxx

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Founders often feel alone, and have many questions without answers. To combat this, eQuo is creating Founder Circles. An eQuo Founder Circle is a closely knit group of 10 complementary companies that foster peer-to-peer support among CPG founders and industry professionals. These circles encourage accountability, networking, and resource sharing, helping you navigate the complexities of the CPG industry effectively. You can register at https://lnkd.in/gsrTTGPw. The system operates through intimate micro-groups of 10 members, ensuring meaningful interactions. Weekly meetings with structured agendas and a dedicated forum for continuous engagement, along with twice-weekly open office hours, foster community involvement. Members leverage shared industry knowledge, collaborate on projects, and stay informed on trends and regulations. Our goal is mutual support and reverse mentoring. It's free and we want to use it to really help CPG companies to grow, vent, learn and adapt to challenges along the journey. If you are a founder, register at https://lnkd.in/gsrTTGPw. If you know a founder who could use support, tag them. #founders #entrepreneurship #mentoring #support #eQuo

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Impactful Biz, Ops & Investment Roles at Early Startups & VCs: • Chief of Staff to Ex. Head of Product at Google • Founding GTM at the most YC product used by other YC companies in the past four years • Chief of Staff to a Partner at a Top-Tier VC Fund • Head of Platform of a NY State Backed Accelerator • Investment Associate at a Seed Stage Fund Investing in Category-Defining Companies • Partner at a Defense-Focused VC Fund • Chief Revenue Officer of a New Space Company in El Segundo • Venture Capital Analyst at a fund investing in overlooked geographies • Investment Associate at a Spirit-Focused Fund • Strategy & Ops Lead at a Company Focused on Helping Improve Autism • Senior Product Manager at a Company Focused on Building Shopify for Content Creators • Program Manager for a Space Security Company • Open-ended Investment Position at a Top-Tier Accelerator • Biz & Ops Lead for One of the Most Loved Digital Consumer Products 💸 All companies are well-funded and backed by top-tier investors. ⬇ You can find links to the roles above, plus many more, in the comments.

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Spicy Mustard VS Special sauce. Tech companies often want to create a new category because their products feel unique. However, positioning experts advises against this. "You should almost always anchor your product to an existing category," they say. Pitfalls of creating a new category: 1. No existing demand to tap into. 2. Low product understanding. 3. Mixed buyer profiles. The takeaway: Disrupt an existing category instead. For more, check out Growth Unhinged (https://lnkd.in/evxjWjfv) Subscribe to ‘Siliconnector’ Telegram channel for insights and news from Tech world and Silicon Valley: https://t.me/siliconnector

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I will be in Salt Lake City next Mon-Wed, June 10-12 to speak about new discoveries leveraging at-home gut and vaginal microbiome profiling and probiotic strain tracking via shotgun metagenomics. Here’s the abstract of my talk: Probiotic companies often have formulations that combine multiple strains and while some individual strains are clinically backed, companies often have challenges generating robust clinical data at the formulation level to support product health claims. Shotgun sequencing presents a more accessible and reliable way for end consumers, nutrition companies and researchers to detect potential colonization and functional effects from these probiotic supplements. These effects are much more pronounced in the infant probiotic space where the infant gut is more uniquely adapted to colonize bifidobacterium probiotics. We will discuss how these approaches can help the industry advance forward with better observational and clinical evidence. #shotgunsequencing #gutmicrobiome #vaginalmicrobiome #probiotics #prebiotics #first1000days #infantmicrobiome #guthealth #probiota2024

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