.png)
What’s up, everyone? Today, we’re covering some highlights from the interview Lincoln Archibald had with Thomas Wilkinson about finding untapped markets!
Check out the “Funds that Won” podcast to listen to the whole interview!
Thomas is the Founder and Managing Partner at Ollin Ventures, where they blend the dependability and tax benefits of real estate with the potential for outsized returns in venture capital to offer a truly unique investment category (See LinkedIn).
All In For Startups
Lincoln: Let’s hear the elevator pitch on Ollin Ventures!
Thomas: Ollin Ventures is my life’s culmination up to this point.
For the last 10 years, I’ve been investing in startups. After a few hits, friends and family wanted to invest with me, so we did 27 deals and we had a lot of success.
I feel like the time is right, so we’re now launching our $20M fund!
It’s a venture fund set out to invest in early-stage (pre-seed and seed rounds). We’ll invest in 50 companies, mostly in tech-transfer offices out of universities.
There’s a lot of fantastic technology that’s been developed in university labs, funded by gov’t grants.
Almost every university has a tech-transfer office (TTO). It’s where all the research is happening from the PhDs and professors.
We purchase these patents from universities, give them a test run, and if there’s interest in the market, then we commercialize that product.
We’ve done that 27 times! Those are the untapped markets.
Why 50?
Lincoln: So, what made you decide on 50 companies for your first fund?
Thomas: It’s a risky business model we have, so when chances are lower, it’s a good idea to have a lot of bets than just a few.
The data shows that since 1983, if you put $100 into every seed company that has ever started, then you’d average about a 22% IRR.
The smallest number of companies we can invest in that’s within the realm of that statistic is 50.
We’ll focus on investing in enterprise IT, with an emphasis in deep tech innovation, not just vanilla tech companies.
For Aspiring VC Fund Managers
Lincoln: What would you say to someone who has zero experience, but wants to run a venture fund one day?
Thomas: There are a lot of different ways, but there are two options that I’d say would be the most helpful…
- Start making your own money, then place your own bets: this builds your analytical and risk muscles
- Work for a startup: being in the trenches builds a track record, confidence, and knowledge.
Not to knock the investment bankers, but it’s really hard to know small businesses if you’ve been in an ivory tower.
Until you’ve been in a spot of hands-on experience, you don’t really know how startups work.
Conclusion
Thanks for reading on how to find untapped markets with Ollin Ventures!
Check out the “Funds that Won” podcast to listen to the whole interview!
If you want more free content like this, read up on the Fund Launch Blog!
Or, visit Fund Launch to get help starting or scaling your own fund!
Thanks for stopping by,
Want to get direct guidance for your fund? Schedule a time with my Fund Advisors!
DISCLAIMER: This content is for educational and informational purposes only. It is not to be taken as tax, financial, or legal advice. You should always consult a legal professional before taking action. Furthermore, this is not a recommendation to buy or sell any security. The content is solely just the opinion of the authors.
