Rajiv Bala, GP of Clutch VC, a pre-seed and seed-stage fund exclusively investing in Texas. Rajiv is committed and bullish on the region with a hands-on approach to investing, working with founders on product feedback, team building, and more to see initial customer validation before investing. Rajiv also embraces sub $500 million outcomes to drive fund multiples rather than relying on Unicorn outcomes only. This episode pushed our thinking on what we know and practice here in Silicon Valley, reminding us that there is more than one way to achieve Alpha.

Highlights from our discussion:

• Starting startups, Texas style: Is it about 24/7 work-life or work-life balance? We discussed a Texas vs. Silicon Valley approach to company building. Can it work and drive outsized venture outcomes?
• Beyond chasing unicorns: Can you be successful with sub $500M outcomes in VC? We dug into how portfolio construction starts with fund size and what scale of outcomes matters to you.
• Does previous founder or operator experience make you a better investor? Rajiv believes it builds founder empathy, skills, and experiences that make you more effective in challenging moments.
• Selective incubation as a strategy: Rajiv will sometimes work with a team for 6 to 12 months before investing to gain information asymmetry, build conviction (or incertitude), and establish a genuine relationship ahead of the check. 

Topics

• (00:00) - Introduction to First Funders

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