seed

“Well, the reason we don't typically follow on is usually, especially in frothy times, the amount of information you get between the C and the A is not enough to know that this is a clear winner. So often, so the price increases dramatically, the prorata of our…”

“I just think what used to be called Series A is now called SEED.”

“These portfolio constructions are incompatible. If you're an investor, you're going to end up having a lot of companies that need a little bit more money to hit the milestone. And if you're an entrepreneur, what happens if you raise just a little bit too littl…”

“If we're wrong by 20 or 30% on price in a seed in a series A company, it doesn't matter that much. If we're off by 50% on price, it does matter. And a hundred percent of price matters more.”

“If you take in a multi-stage fund at seed, they are not incented to price you up at the A because they're already in and they've got their ownership.”

“We've never let an A, and absolutely never let a B or a C. We are unequivocally involved in every funding round, and we've built a business around there, but we only do seed.”

“And over that 19 or 18 to 22 period, you went to basically a hundred. Hundred percent of companies that raised the seed got an A. Maybe it was 90, 95.”

“You will have 20 to 30% failure between seed and A. You will have 20 to 30% failure between A and B.”

“I think that's why Series A is actually the most attractive place to be investing right now, because actually many of them have been significantly de-risked, but because of the markets today, the price inflection is actually significantly lower and less than i…”

“I actually think being overpriced at seed is actually a bigger problem than most entrepreneurs realize, particularly as the market's adjusting, right? It's a very hard time To raise Series A in general, and it's a harder time if you're already priced where som…”

“As mentioned, many of the multistage funds are reluctant to deploy the 20 to forty million dollar Series A and B checks, and are instead moving to seed to remain in market, still writing checks, but putting fewer dollars out the door.”

“The price inflection between seed and Series A has actually never been smaller. Yet the de-risking that has occurred in that chasm has never been greater.”

“For the best deals, in the best markets, pricing continues to remain incredibly high at seed, and I believe we will see it stay that way over the next six to 12 months.”

“Like the valuations in Seed have not dropped. And we've looked at this data really over like 10 plus years.”

“I think the vibrancy of seed is here to stay. There's too many folks that made money. There's too many folks that enjoy investing. There are too many LPs that are still going to search for that alpha. And there will, every year there's going to be thousand X o…”

“So I think in seed, that's probably more doable than in series A, for instance, right?”

“Seed has shifted, the word seed has shifted from a million to three million dollar round to a five to eight million dollar round.”

“I don't think you can index seed, and I don't think you can aggregate seed into a low margin product.”

“The probability at seed of picking something that becomes a unicorn is three percent.”

“Seed is easy because it's Walt Disney versus Jerry Maguire. Walt Disney is tell me the story. There's lots of people that tell a good story and come from great companies. And then Jerry Maguire is show me the money. And there's actually very few people who are…”

“When you went clubbing and you have to pay the entry fee at the door, that's like seed for the AUM galleries and the table is the C and the D.”

“The first is they can literally decide they're not pricing this round, they're buying an option on the next round. If Harry's trying to make his money on seed, and they're simply trying to set themselves to make the money on the B, they can, by definition, pay…”

“I think seed in SF is for suckers.”

“Yeah, I turned it down at Seed.”

“The hardest part of the market is seed in many ways, and the worst performing funds will be the 50 to a hundred million dollar funds. I say this to explain because you're too big to be collaborative, To write those hundred to 250 K checks and be a friend, but …”

“I mean, there's 30, 40 companies that at seed have raised a hundred to three hundred million.”