Assertion Supported AI assessment confidence: 92% certainty 3/5 debate potential 2/5

Floyd: Data shows startups with multiple co-founders have higher success rates

Joe Floyd · 20 VC 009: Red Flags, Saas and becoming a VC with Joe Floyd · Feb 2, 2015 · at 6:39

Joe Floyd, Principal at Emergence Capital Partners, addresses team composition preferences for venture investments.

0:00 / 0:05exact quote · 5.5s
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“I think if you look at the data, multiple founders generally increases the likelihood of a positive outcome.”

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More from Joe Floyd

Insight
Floyd: Multiple co-founders increase the likelihood of premature, smaller startup exits
“Now, the flip side is, and this is something that a lot of people don't think about, from an equity perspective, especially from a returns perspective, having more founders makes the outcome less attractive. It also forces people to take earlier exits, because…”
Joe Floyd Feb 2, 2015 ▶ 7:09 20 VC 009: Red Flags, Saas and becoming a VC with Joe Floyd
Prediction Partly held up
Floyd in 2015: BMW and Audi will catch up to Tesla
“I think what you're going to wind up having is companies like BMW and Audi are going to catch up. Tesla has kind of that one to two Your lead, and, I mean, you see it with companies, with a car like the i-eight coming out. I mean, other car companies are going…”
Joe Floyd Feb 2, 2015 ▶ 14:13 20 VC 009: Red Flags, Saas and becoming a VC with Joe Floyd
Insight
Floyd: Venture capital lacks concrete skills and is just connecting people
“The venture job doesn't really have a lot of concrete skills. It is a job, it's a people job. You're effectively going out, meeting people, and connecting people. Those are the two job functions you have.”
Joe Floyd Feb 2, 2015 ▶ 4:25 20 VC 009: Red Flags, Saas and becoming a VC with Joe Floyd
Assertion Contradicted
Floyd: 2014 VC deployment approached 2000 dot-com bubble levels
“If you just look at valuations, and you look at round sizes, and you look at the sheer dollar amount of money raised by venture capitalists and deployed by venture capitalists in 2014, it's approaching the levels we saw in 2000.”
Joe Floyd Feb 2, 2015 ▶ 13:43 20 VC 009: Red Flags, Saas and becoming a VC with Joe Floyd
Insight
Floyd: Grads should work in banking, consulting, or big tech before VC
“Taking a job like investment banking, or strategic consulting, or working for a big tech company like Google, will provide you the foundational skills, as well as give you that first toehold of a network.”
Joe Floyd Feb 2, 2015 ▶ 4:39 20 VC 009: Red Flags, Saas and becoming a VC with Joe Floyd
Disclosure
Floyd: Emergence Capital primarily backs founders from Salesforce, Facebook, Google, Oracle
“If you look at the entrepreneurs that we fund here at Emergence, you know, primarily a lot of them come out of the same few companies. Salesforce, Facebook, Google, Oracle.”
Joe Floyd Feb 2, 2015 ▶ 4:56 20 VC 009: Red Flags, Saas and becoming a VC with Joe Floyd
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