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EP
30
October 27, 2023
with
Raymond Luk

Pitch deck and Fundraising master class with VC Raymond Luk of Flow and Hockey stick Ventures

Pitch deck and Fundraising master class with VC Raymond Luk of Flow and Hockey stick Ventures
EP
30
0:00
0:00

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https://www.dropbox.com/scl/fi/fi9a3byx1x719zw6cwhtd/pitch-deck-and-fundraising-master-class-with-vc-raymond-luk-of-flow-and-hockey-stick-ventures-ep-30.mp3?rlkey=9zpvho2o8ytsjn8d9kvrz763r&dl=1

Show Notes

About Today's Podcast

Raymond Luke shares his early context, growing up with teacher-entrepreneur parents, and the decision to wind down Year One Labs. He discusses the qualities of a good advisor and the problem with media and information on fundraising. Raymond emphasizes the importance of critical thinking in consuming advice and shares his perspective on who should raise money and when. He also explains the thesis behind Flow Ventures and HockeyStick and highlights the differences between the Canadian and US fundraising markets. The conversation covers topics such as venture studios vs. venture capital, the pros and cons of SAFE notes, the role of gaming and simulations in entrepreneurship, common mistakes in pitching, traction metrics for early-stage startups, common mistakes and misunderstood terms in cap tables, and the timing of IPOs. In this conversation, Raymond and Mudassir discuss the challenges of early investing, the impact of AI on fundraising, the role of pitch decks in fundraising, what investors look for in founders, and a contrarian opinion on the future of entrepreneurial finance.

Takeaways

*Venture studios provide a different approach to venture capital, focusing on building interesting products rather than just raising money.

*Entrepreneurs should consider the benefits of venture studios and accelerators when starting a company.

*Understanding the mechanics of SAFE notes is crucial for founders to make informed decisions about fundraising.

*Gaming and simulations can be effective tools for teaching entrepreneurship and fundraising concepts.

*Pitch decks should focus on what makes the company special and unique, rather than just following a standard checklist.

*Early-stage startups should emphasize traction metrics that demonstrate a strong grip on the market, even if traditional growth metrics are not yet available.

*Founders should have a solid understanding of cap tables and ownership dynamics to make informed decisions about fundraising and control.

*The timing of an IPO depends on various factors, including market conditions and the company's growth trajectory. Early investors often face challenges such as being diluted or pushed out of a company during later funding rounds.

*Pitch decks are still important in fundraising as they serve as a standardized way for VCs to screen potential investments and help founders articulate their vision.

Chapters

00:00:00 Introduction and Early Context

00:03:00 Growing Up with Teacher-Entrepreneur Parents

00:06:00 Year One Labs and the Decision to Wind Down

00:09:45 What Makes a Good Advisor

00:11:45 The Problem with Media and Information on Fundraising

00:18:07 The Importance of Critical Thinking in Consuming Advice

00:25:07 Who Should Raise Money and When

00:34:35 The Thesis Behind Flow Ventures and HockeyStick

00:41:13 Differences Between the Canadian and US Fundraising Markets

00:42:40 Venture Studios vs. Venture Capital

00:47:08 Opinion on Y Combinator

00:49:33 The Pros and Cons of SAFE Notes

00:55:21 The Role of Gaming and Simulations in Entrepreneurship

00:59:40 Common Mistakes in Pitching and How to Avoid Them

01:05:14 Traction Metrics for Early-Stage Startups

01:10:02 Common Mistakes and Misunderstood Terms in Cap Tables

01:18:23 The Timing of IPOs

01:23:28 Challenges of Early Investing

01:29:15 The Impact of AI on Fundraising

01:35:47 The Role of Pitch Decks in Fundraising

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