Sramana Mitra: We are in 2018. A lot of stuff has already been built. Relative to the amount of capital that is available in the market, there are 700 plus micro-VCs in the market right now. There is a huge number of entrepreneurs who are starting companies. We can’t expect that every single venture out
Sramana Mitra: When you look at the Indian geography, what is the distribution of deal flow that you’re seeing? Is there a bias towards Bangalore? I know Chennai and Pune have done well. Ben Mathias: It’s pretty scattered. Bangalore, for sure, is the leader in terms of the number of companies. We do see a
Sramana Mitra: In terms of deep technology companies, could you share one or two examples from your portfolio or from your radar that are interesting global potential. Ben Mathias: I’ll talk a little bit about one of the companies I mentioned a few minutes ago, ActiveAI. This is a technology company that is building solutions
Sramana Mitra: Do you invest in B2B ventures that would be Indian B2B-facing? Ben Mathias: We do. Most of our companies started with their initial customer base in India. At the end of the day, the Indian B2B market is limited. You could probably get to a $20 million ARR company if you focused on
Sramana Mitra: Can you put some quantitative parameters around that $200 million exit? For a good, healthy $200 million exit where everybody makes money, what is the optimum amount of capital invested? What kind of revenue levels do you target? William Hsu: Depends on the category. For a SaaS or an enterprise software solution, typically,
Sramana Mitra: Our philosophy in One Million by One Million is entrepreneurship equals customers, revenues, and profits. Financing and exit are optional. We make sure that customers are willing to pay for whatever it is that you’re selling. Whatever it is that you’re doing, that is the fundamental belief system of our program. William Hsu:
Sramana Mitra: Can you take us through a couple of case studies. Let’s say Trunk Club and Task Rabbit. At what stage did they come to you? Did they have to pivot out of their original hypothesis? How did that evolution flow from your side? William Hsu: It’s probably more helpful to talk about companies
Responding to a popular request, we are now sharing transcripts of our investor podcast interviews in this new series. The following interview with William Hsu of Mucker Capital was recorded in January 2018. William Hsu is the Co-founder and Partner at Mucker Capital, a Los Angeles-based fund that invests largely outside Silicon Valley and follows a more