John Henderson, Principal at White Star Capital, explains how he was introduced to Summly through tech executive and angel investor Christian Hernandez.
Insight
John Henderson: Reputation matters tremendously in VC, unlike in early-stage startups
“I think in, in the venture world, your reputation matters tremendously, whereas in a, you know, in a small company, it really doesn't. You just need to build something, and you can be a lot more selfish in that sense.”
Prediction Not checkable as stated
John Henderson predicted in 2015 that blockchain would disrupt the financial industry
“So I'm hugely bullish on Bitcoin. I think, though, in the short term, there will be ups and downs and, you know, maybe a few more scandals. Long term, though, I think the blockchain or, you know, this ledger, public ledger technology will be fundamentally disr…”
Insight
Founders should reference-check VCs by speaking with their struggling portfolio entrepreneurs
“Once you have a term sheet from a fund, go ahead and ask to meet three or four of the entrepreneurs that they've invested in. And often I suggest that you specify entrepreneurs who've been through a tough time.”
Assertion Partly supported
Summly's three-week integration into Yahoo News Digest set a company speed record
“Within, I think it was within three weeks of the acquisition being announced, Summly had been included within Yahoo News Digest, which is their mobile app product, and that, I still think, is the record within Yahoo for the quickest integration ever.”
Assertion Supported
Yahoo acquired Summly primarily to acquihire its core technical talent
“Yahoo was specifically after the technical people in the company. So, you know, they took the CTO, they took the head of the algorithm, they took Nick.”
Disclosure
John Henderson's first angel investment was in crypto news site CoinDesk
“Yeah, well, yeah, so my first angel investment was in a company called Coindesk, which I guess is now the leading news site for Bitcoin and cryptocurrencies.”