What is VC? | EP 3
Description
In this special Halloween episode of the UNinvested podcast, Sahil Seth and Crockett Callaway dive into the world of venture capital. Dressed in walrus costumes, they break down the basics of venture capital, growth equity, and private equity, offering listeners a clear understanding of how these investments work and what differentiates them. They also discuss the roles and responsibilities within venture capital firms and the importance of due diligence.
What we explore:
Basics of venture capital, growth equity, and private equity
Key differences between sell side and buy side
Stages of investing in private companies
Importance of due diligence in venture capital
The role of venture capital firms and their investment strategies
Pros and cons of venture capital from both the investor and founder perspectives
The importance of specialization within venture capital firms
Where to find Uninvested:
Website: https://www.uninvested.org/
In this episode, we cover:
[00:00:00] Introduction and Halloween costumes
[00:00:13] Venture capital basics and key terms
[00:01:02] Differentiating sell side and buy side
[00:01:46] Breakdown of buy side: venture capital, growth equity, private equity
[00:02:04] Overview of venture capital and its focus
[00:02:20] Importance of understanding investment stages
[00:03:31] Venture capital's role in early-stage companies
[00:04:41] Differences between venture capital, growth equity, and private equity
[00:05:06] Function of venture capital from a founder's perspective
[00:05:25] Explanation of bootstrapping and runway
[00:06:29] Role of venture capital firms in scaling companies
[00:07:01] The risk and reward of investing in startups
[00:07:19] Active vs. passive investors
[00:08:03] Understanding term sheets and investment agreements
[00:09:18] Pros and cons of venture capital
[00:10:00] Specialization within venture capital firms
[00:11:02] Importance of networks and industry expertise
[00:12:12] The Shark Tank analogy for choosing the right investors
[00:13:15] The due diligence process
[00:15:50] Roles and responsibilities within a venture capital firm
[00:17:00] The significance of investment thesis
[00:18:34] Summary and final thoughts
No transcript available
