This week's startup news and trends will be the subject of a new weekly column. This will be in your inbox early if you subscribe here.
AngelList Venture closed its first wave of institutional funding on Tuesday. Tiger Global and Accomplice led a $100 million round of financing for the business.
It wasn't expected. The CEO of the organization told me that the company didn't need venture money and that it would split into two in 2020.
AngelList Venture takes on rare capital at a $4 billion valuation
AngelList has largely resisted the call of venture capital and operated on a shoestring budget despite its business of helping other startups raise money. The larger company had raised $124 million across multiple rounds before it spun out.
It's possible that its views on venture funding stem from an earlier experience in which founder Naval Ravikant felt cheated by the sale of an earlier company he co-founded, Epinions, that he sued its powerful venture backer, Benchmark.
AngelList's philosophy has always been that companies that raise too much money can hamper their growth as hiring takes center stage, slowing down other aspects of the business. AngelList pursued the Tiger stamp of approval because of what changed. The hedge fund is planting seeds in the early-stage market, making the investment all the more interesting.
AngelList Venture has a new look, check out my column for my full take on this topic. You can support me by sharing this newsletter or following me on social media.
Mara, a grocery shopping experience for the underserved in Latin America, raised $6 million this week. The startup allows people to order a basket via websites instead of using phone apps, and offers supermarket items at a wholesale price. Customers can pay for their groceries at delivery points.
It's important because grocery delivery is a tough business and one that is hoping to make it cheaper and more convenient for low-income families. I was interested in the fact that the company is avoiding growth at all costs. Mara is trying to focus on one area at a time and make sure it is break even before moving on to another area, according to Mary Ann.
Mentions of honorable nature.
I decided to dig into the impact of community and how capitalism complicates and changes its meaning within startup because no buzzword should ever go unaddressed. It isn't a new phenomenon to bring people together to support a product.
It is important because we are starting to see which community efforts amount to actual impact. Over the course of the past decade, she has aggregated the community that she has used to start her own venture capital firm. Her pre-seed and seed-stage firm is raising the rest of its debut fund from her followers.
People who follow are friends, not food.
The image is called "Lolita Taub."
On Equity Live this week, we came to the conclusion that SPAC is a four-letter word again. Better.com and Kin are two companies that have stopped their plans to go public.
The IPO window is closed at this point. The late-stage market is not doing as well as I would have expected. Uh oh. Late-stage companies that need more capital may not be able to get it if they don't have good business models. Expect pivots to continue.
It feels different than 2020.
The image is from TechCrunch.
We get to hang out with each other. Soon! The Techcrunch Early Stage is in San Francisco on April 14. Join us for a one-day founder summit and meet some of your favorite people. Don't be surprised if the panels are a little more spicy than usual, the team has been itching to get back in person.
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There is a person seen on a website.
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Better.com employees learned of layoffs when they received their paychecks.
Student loan borrowers want relief options.
It was seen on the tech site.
6 technologists talk about how no-code tools are changing software development.
How to calculate your startup's numbers.
There is a rough draft of the startup landscape.
As war escalates in Europe, it protects the cybersecurity industry.
Next time.
N.
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