Lee Jacobs, general partner at Long Journey Ventures, discusses how backing non-consensus founders builds a compounding network effect for venture deal flow.
“When you invest in these people that are really independent thinkers and they end up in interesting companies and start great things, they tend to have friends like that. And so it really compounds on itself.”
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More from Lee Jacobs
Insight
Jacobs: Standard SaaS business models offer no investing alpha
“Not just like, hey, I've got a business plan, and I'm gonna go and sell SaaS, you know, things. It's gonna be nine 99, and people are gonna love it. Like, everyone says that. There's no alpha in that.”
Lee JacobsDec 20, 2024▶ 23:36Cyan Banister & Lee Jacobs: Investing in 'The Magically Weird' | SpaceX, Uber, Anduril · Sourcery with Molly O'Shea
Insight
Jacobs: Feel-good companies that are bad businesses create zero impact
“If it's, i.e. It's not a good business, but it feels good to do it that actually doesn't have an impact at all.”
Lee JacobsDec 20, 2024▶ 40:10Cyan Banister & Lee Jacobs: Investing in 'The Magically Weird' | SpaceX, Uber, Anduril · Sourcery with Molly O'Shea
Insight
Jacobs: Great companies look weird at the pre-seed and seed stage
“We've really honed in on what we think great companies look like at the time in which we invest, which is the pre-seed and seed. We think they look quite weird at the time.”
Lee JacobsDec 20, 2024▶ 1:50Cyan Banister & Lee Jacobs: Investing in 'The Magically Weird' | SpaceX, Uber, Anduril · Sourcery with Molly O'Shea
Disclosure
Jacobs: Long Journey avoids hosting standard venture capitalist AI networking events
“We're never going to do an event that's like a boring AI event where it's like seven VCs and two founders and your job is to like talk about the future of AI”
Lee JacobsDec 20, 2024▶ 5:12Cyan Banister & Lee Jacobs: Investing in 'The Magically Weird' | SpaceX, Uber, Anduril · Sourcery with Molly O'Shea
AssertionSupported
Jacobs: Sequoia Capital names office conference rooms after its non-profit LPs
“If you go into their offices you walk in, all the conference names are their LPs. It's Ford Foundation or whomever else is the sort of the causes that back them. And whenever they have an IPO, the you know, the CEO of the company is on the front of the page, b…”
Lee JacobsDec 20, 2024▶ 35:47Cyan Banister & Lee Jacobs: Investing in 'The Magically Weird' | SpaceX, Uber, Anduril · Sourcery with Molly O'Shea
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