July 04, 2022

The VC Firm Breaking The Barrier To Entry In Venture Capital w/ Jesse Randall (CEO)

29 minutes

In this episode, Shamus Madan chats with Jesse Randall about the challenges and limitations of traditional venture capital, introducing listeners to Sweater's unique investment process. They discuss the difficulties accredited investors face, the importance of marketing in the investment world, and trust and transparency in private market investing. The conversation also covers valuation methods, the impact of equity crowdfunding, and Sweater's mission and approach to investment.

On the podcast today, Jesse Randall joins to discuss how his firm SweaterVC is breaking the barrier to entry into Venture Capital.

So, to start angel investing, traditionally, you have to be an accredited investor. To do so, you need a $1 Million net worth and an income of a couple hundred thousand dollars per year, singling out a large portion of the population.

"And I thought, you know what? I could build a venture fund. So I started going through this process of looking for an anchor LP to come in and maybe build this thing around. And it became immediately apparent that I wouldn't be able to invest in my own VC fund because I was not an accredited investor.

And I thought, wait a minute. I'm the guy running the fund. How could I not put money in my own fund?" - Jesse Randall

Listen to the full story.

Twitter of Host: @mbitpodcast

Twitter of Guest: @SweaterCEO

(0:00) Introduction with guest Jesse Randall

(1:32) Challenges and limitations of traditional venture capital funds

(2:55) Introduction to Sweater and its unique investment process

(9:02) Sweater's educational content and strategy to attract new investors

(10:33) Difficulties accredited investors face with venture capital

(11:27) Importance of marketing in the investment world

(14:04) Trust and transparency in private market investing

(19:47) Valuation methods and liquidity in private markets