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November Monthly Briefing
Brought to you by Render Capital
Episode 1 of “Inside the Deal” with Render Capital and Genetica brought to you by PIN and Sandhill
Who We Are
Based out of Southern Indiana and Louisville, Kentucky. Render Capital invests in early-stage companies across the Midwest and South(avoiding NY/SF/Boston), spanning multiple industries to build a robust and diverse portfolio.
Render Captial is dedicated to investing in companies transforming legacy industries and archaic models by making emerging technologies accessible. These industries represent a substantial part of the Midwest and Southern economies, providing significant opportunities for growth and innovation. By supporting businesses that drive this democratization, we aim to generate strong returns while capitalizing on the potential of these vital regions.
What’s Going On
We rarely have the opportunity to share not only our investment process but also our perspective alongside that of the founders. Thanks to Daniel Wiegand and his team, we’re excited to provide insight into the details of our investment in Genetica.
Where We’ll Be
What We’re Reading
Mullet Capitalists - Mullet Capitalists are a new wave of firms with a traditional “boring” business in the front and a venture bonanza in the back. They represent an intriguing rebuilding of the VC product at a time when the broader asset class reckons with a potential “extinction event” that may cull more than 50% of managers.
2024 SaaS Benchmarks Report by High Alpha - End of the year report on SaaS benchmark for startups.
Time Dislocations in Venture Capital - Scott Hartley discusses "time dislocations" in venture capital, likening it to a long-term, high-risk "lumpy annuity" where present investments aim for future returns. He challenges narratives about the decline of VC, emphasizing that downturns in exit markets create "illiquidity discounts," ideal for long-term gains. He critiques the dilution of VC's definition, advocating for true risk-taking investments in frontier technologies. Hartley stresses cyclicality, advising strategic risk during market fear and caution during market exuberance. Founders entering tough markets demonstrate boldness and resilience.
The Economic Viability of the Midwest - What is considered the Midwest? What is data on growth? Why is the region growing and where it’s not? How does it stack to other areas of the US?
The Fastest Way to Predict a Startup Wipeout Is to See Who’s Raising All the Money - More money, more problems. Why 70% of tech startups that raise massive funding failed.
Getting Off the VC Train - When should founders consider their decision to get on the VC train and when should they hop off?