A fast dive into the VC world over 10 weeks with Supply Change Capital
Navigating Growth, Sustainability and Collaboration
A fast dive into the VC world over 10 weeks
Navigating Growth, Sustainability and Collaboration
As an industrial engineer with a corporate finance background, I always saw things from a slightly different perspective, blending practicality with financial acumen. But it was an internship at a grocery delivery startup just before entering business school that truly inspired me about scaling businesses, where I could witness firsthand the energy and innovation in the entrepreneurial world. Little did I know that this unique skill set would prove to be invaluable when navigating the intricate landscape of Venture Capital with Supply Change Capital (SCC).
What sets SCC apart is its refreshing blend of a structured approach, support, effective communication, and a solid positive attitude. The structure and support provided during my initial weeks, especially with Rafaella's guidance as an associate on the team and her comprehensive investment process document, proved invaluable. The partners' meeting held every Monday stood out to me for its informative nature and active participation. What made it even more remarkable was our tradition of starting the meeting by sharing two words that describe our current mood or an amusing anecdote from the weekend. This practice demonstrated the genuine care and concern the partners had for their team.
During my internship, I supported various aspects of what it takes to run a successful venture capital firm. I sourced potential investments from an extensive network, participated/led introductory calls with startups, and honed my ability to assess their potential and thesis fit within limited time. These experiences fueled my curiosity about what distinguishes exceptional early-stage startups, leaving me with invaluable takeaways on navigating the world of venture capital:
Challenging skepticism to identify areas for companies to scale:
As I gained more experience working with startups, I came to realize that VC is all about identifying specific areas within a company where meaningful changes can be made to drive scalability. This became evident to me when I assessed a startup that offered solar-powered refrigeration systems for small businesses. Initially, I had reservations about their business model due to my background in the CPG industry where small businesses preferred to lease rather than own such equipment. However, I now realize that business models are constantly evolving, and what truly matters is having the right team, product, and seizing the right opportunity at the right time. Moreover, I have become aware of the need to avoid premature judgments and unconscious biases, which can perpetuate the underrepresentation of certain groups in VC funding, with only 9% women and ~2% Latinx founders. I have learned how important is to keep an open mind, explore opportunities beyond initial reservations, and challenge any preconceived notions or biases.
Becoming quickly educated about new topics
During due diligence on a startup, I immersed myself in the carbon insetting industry. Initially, I felt overwhelmed by the sheer volume of information presented in the documents and the more than 10 calls with founders and technical experts. However, I came up with a systematic approach to handle this information overload. I organized the data into relevant sections of the investment memo and diligently researched any concepts I didn't fully comprehend, particularly focusing on the technical aspects. This approach enabled me to gradually develop a comprehensive understanding of the company. Although we decided not to invest, my work helped identify key risks and opportunities. This experience showcased my ability to quickly educate myself on significant societal topics and broadened my knowledge in areas like carbon markets, carbon offsetting, net-zero emissions, carbon insetting, and related technologies. This deep dive into the world of carbon insetting left a lasting impact and fueled my passion for sustainability.
Staying open-minded and optimistic while sourcing for startups
Throughout my internship, I had the opportunity to evaluate numerous startups, which honed my ability to identify promising investment opportunities. Utilizing effective tools and best practices, such as a structured call notes outline, engaging startups through intake surveys to get valuable insights, employing a thoughtful approach guided by recommended questions, and utilizing the FOODS rubric template, I learned to trust my instincts and evaluate startups with confidence. For instance, when I sourced a company focused on designing better proteins, I initially struggled to grasp the technology. However, after researching on the applications of AI in biology and keeping patience throughout my learning process, I presented the opportunity to the team and their enthusiasm grew. Conversely, sourcing companies that didn't align with the fund's thesis became opportunities for further improvement. This experience taught me the significance of identifying startups that align with our investment thesis and the role of continuous learning in making informed decisions.
Startups are driving real societal changes
Working at SCC provided me with exposure to a world of startups and investors focused on driving real changes that would impact society positively. The firm's investment interests spanned areas like sustainability, health, and diversity. This exposure highlighted the significance of working in an industry where innovation is actively pursued to address pressing challenges. It was inspiring to witness the efforts of entrepreneurs who were striving to make a difference and to collaborate with investors who shared the vision of supporting these impactful ventures.
VC is about building relationships and being collaborative
My internship at SCC emphasized the significance of building relationships and fostering a collaborative environment in VC. Whether during partner meetings or deal flow calls, I greatly appreciated the team's collaborative nature, particularly as a woman in a company led by women. The opportunity to connect with other VC firms in the US and Latin America further solidified my understanding of the collaborative nature of the industry. In fact, one of my responsibilities was building a Latin America investor database, leveraging my network and engaging with firms through our investor submission form. Through this experience, I gained firsthand insights into the willingness of individuals in the VC community to help and share valuable investment opportunities.
I am truly grateful for the exceptional team I had the privilege to work with during my internship. The team's diversity played a crucial role in my experience, as I had the opportunity to collaborate with experienced partners as Shayna and Noramay, and team members who brought their unique skills, industry expertise, and knowledge in AI and Biotech to the table. As I reflect on this journey, I am humbled by the depth of knowledge and skills I have acquired. The internship has equipped me with a solid foundation to make a meaningful impact in growing businesses and driving positive change. I am eager to carry forward this wealth of experience and utilize it to contribute to the dynamic and ever-evolving landscape of business.