Leah Busque, founder of TaskRabbit and General Partner at Fuel Capital, discusses balancing venture deal terms with founder alignment.
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“When the founder is successful, the company is successful, and the venture investor is successful. And it happens in that order.”
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More from Leah Busque
PredictionNot checkable as stated
The next billion-dollar business will come from an underrepresented founder
“I believe that the next billion dollar business Is going to come from a woman. It's going to come from a person of color. It's going to come from someone who does not fit the typical mold.”
Leah BusqueMar 19, 2018▶ 18:4220VC: Finding VC Partners That Look Beyond The Numbers, The Black Box of VC Secrets That Needs To Be Shared & The 1,000 Reasons A VC Won't Invest In You When It Has Nothing To Do With You with Leah Busque, General Partner @ Fuel Capital
Insight
Venture success is not about squeezing founders for extra equity ownership
“I don't think it's about optimizing the deal and the structure and, you know, squeezing out that extra 50 basis points of ownership. I just don't think it's about that in the long run.”
Leah BusqueMar 19, 2018▶ 15:3220VC: Finding VC Partners That Look Beyond The Numbers, The Black Box of VC Secrets That Needs To Be Shared & The 1,000 Reasons A VC Won't Invest In You When It Has Nothing To Do With You with Leah Busque, General Partner @ Fuel Capital
Insight
Pleasing one side of a marketplace platform usually angers the other
“Okay, so no one is ever happy with you. If you change things on one side and customers are really happy, chances are that on the other side of the marketplace, you've really made someone mad, and that, that is also just the complex nature of a marketplace busi…”
Leah BusqueMar 19, 2018▶ 25:5920VC: Finding VC Partners That Look Beyond The Numbers, The Black Box of VC Secrets That Needs To Be Shared & The 1,000 Reasons A VC Won't Invest In You When It Has Nothing To Do With You with Leah Busque, General Partner @ Fuel Capital
AssertionSupported
TaskRabbit employees were sometimes unaware Leah Busque's direct report was her husband
“In fact, people at TaskRabbit sometimes did not know that we were married. And Kevin sat in exec meetings. He reported directly to me.”
Leah BusqueMar 19, 2018▶ 30:4120VC: Finding VC Partners That Look Beyond The Numbers, The Black Box of VC Secrets That Needs To Be Shared & The 1,000 Reasons A VC Won't Invest In You When It Has Nothing To Do With You with Leah Busque, General Partner @ Fuel Capital
Disclosure
Fuel Capital targets pre-seed, seed, and small Series A funding rounds
“So at fuel we tend to get involved at the earliest stages. If you're raising a pre-seed round or a seed round or maybe a small series A round, that's usually our sweet spot.”
Leah BusqueMar 19, 2018▶ 11:1820VC: Finding VC Partners That Look Beyond The Numbers, The Black Box of VC Secrets That Needs To Be Shared & The 1,000 Reasons A VC Won't Invest In You When It Has Nothing To Do With You with Leah Busque, General Partner @ Fuel Capital
Disclosure
Fuel Capital typically avoids leading investment rounds despite past exceptions
“We don't typically lead deals, although we have in the past.”
Leah BusqueMar 19, 2018▶ 11:3220VC: Finding VC Partners That Look Beyond The Numbers, The Black Box of VC Secrets That Needs To Be Shared & The 1,000 Reasons A VC Won't Invest In You When It Has Nothing To Do With You with Leah Busque, General Partner @ Fuel Capital
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