207. Breaking Convention, Hitting The Fundraise Wall & Why Deep-tech Is Not More Capital Intensive Than Software (Ryan Gembala)



Ryan Gembala of Pathbreaker Ventures joins Nick to discuss Breaking Convention, Hitting The Fundraise Wall & Why Deep-tech Is Not More Capital Intensive Than Software. In this episode, we cover:

  • Backstory/Path to Venture
  • Talk about your time at Facebook and working in M&A.
  • What's the thesis at Pathbreaker?
  • How do you define pre-seed?
  • Most of your dealflow inbound or outbound?
  • Quote from the website: "We don't believe all great companies, nor all phenomenal investments, look the same early on. So we are flexible, realistic, and patient - solving for supporting the founders best-suited for tackling the most meaningful problems." I'm curious, what are the must-haves that cut across all investments that you do?  
  • You've said to me that hardware isn't more capital intensive than software. As a hardware investor myself, that was refreshing to hear but I'm sure there are many founders and investors that would strongly disagree. Why is not more capital intensive?
  • Do you think the time horizon to exit is longer?
  • We've all been in this situation where founders hit a wall — they're running out of money, having a hard time telling your story, investors aren't pulling the trigger to invest, there are team challenges, maybe trouble converting from pilots to licenses... Give us examples of how you dig in and help when it gets tough.
  • We've seen some recent failures or, at least, setbacks in the automation/robotics space. High profile companies like Zume pizza and CafeX have had significant challenges... what's your take on where (Read more...)