Even although Kevin Busque is a co-founder of TaskRabbit, he didn’t get the response he hoped for the primary time he pitched his new enterprise to Felicis Ventures’ Aydin Senkut. Nonetheless, he mentioned the result was the most effective issues that might have occurred.
“I’m form of glad that he didn’t make investments on the time as a result of it actually pressured me to take a tough have a look at what we have been doing and actually enabled us to turn out to be Guideline,” mentioned Busque. “That seed spherical was an absolute slog. I feel I spent seven or eight months attempting to boost a spherical for a product that didn’t exist, going purely on imaginative and prescient.”
Eventually, that concept advanced into Guideline, which describes itself as “a full-service, full-stack 401(ok) plan” for small companies. Eventually, Senkut did write a examine — Felicis led Guideline’s $15 million Series B spherical. Today, Guideline has greater than 16,000 companies throughout 60+ cities, with greater than $3.2 billion in belongings beneath administration. The firm has raised practically $140 million.
This week on Extra Crunch Live, Busque and Senkut mentioned Guideline’s Series B pitch deck — which Senkut described as a “position mannequin” — and the way they constructed belief over time.
The duo additionally provided candid, actionable suggestions on pitch decks that have been submitted by Extra Crunch Live viewers members. (By the way in which, you’ll be able to submit your pitch deck to be featured on a future episode utilizing this hyperlink proper right here.)
We’ve included highlights beneath in addition to the complete video of our dialog.
We document new episodes of Extra Crunch Live every Wednesday at 12 p.m. PST/Three p.m. EST/eight p.m. GMT. Check out the February schedule right here.
- How they met: 1:30
- Building belief: 11:30
- Inside Guideline’s Series B deck: 16:00
- Pitch deck teardown: 33:00
How they met
Senkut and Busque met practically a decade in the past, when Busque was nonetheless at TaskRabbit. Several years later, Busque launched out on his personal and went fundraising for his unique thought. Even although he obtained a no from Senkut, it wasn’t a straightforward resolution.
Looking again, Senkut mentioned he had rather more freedom to observe his instincts whereas angel investing.
“As an institutional fund with LPs, we have been feeling the strain of checking all of the checkmarks,” defined Senkut. “It’s superb how, generally, being extra structured or analytical truly doesn’t all the time lead you to make higher selections.”
When Busque got here again round after the pivot, trying to elevate a Series B, Senkut known as it a “no-brainer,” significantly due to the kind of CEO Busque is.
“My opinion of Kevin as an individual is that he’s a superb wartime CEO, but additionally he’s a product visionary,” mentioned Senkut. “We name them ‘missionary CEOs.’ There are mercenary CEOs who can extract each ounce of greenback from a rock, however we’re gravitating rather more towards CEOs like Kevin who’re targeted on product first. People who’ve a extremely acute imaginative and prescient of what the issue is, and. a really particular imaginative and prescient for how you can resolve that downside and in the end flip it right into a long-term scalable and profitable firm.”
Busque mentioned he was drawn to Senkut primarily based on his stage of conviction, explaining that Senkut doesn’t all the time need to go by the e-book.
“If he desires to put in writing a examine as a result of the founder is nice or the product is nice, he does it,” mentioned Busque. “It’s not essentially that he has to see a sure metric or development sample.”
Obviously, years of staying linked and speaking (and never nearly Guideline) laid the muse for constructing a relationship. Busque mentioned the honesty of their conversations, together with Senkut’s preliminary rejection, lended itself drastically to the belief they’ve.