Tobenna Arodiogbu

We recently led a $9.5M seed round in Zeno, our very first energy transition company in Africa. Michael Spencer and the team are now officially out of stealth sprinting towards their first products - a swappable battery compatible with an electric motorbike of their own design. Their opening market is Kenya, where 3M+ boda boda taxi drivers are eager to find ways to shave costs down. With Zeno's battery subscription model, they'll make 50% in savings compared to owning a petrol counterpart! Going electric will soon become the obvious choice. Kenya is just the start. Over the next quarter century, Africa will be home to the largest share of young people in the world, and is set to double its population to 2.5 billion. Talk about a growth market. Zeno has a particularly special place in our hearts because Harsh Dubey, who hustled his way into Lowercarbon Capital right out of college and became an institution around here, built up so much conviction in this company that he's moved abroad to work on this rocketship full-time. That should tell you something. Congrats again to the team, read more here for the deep dive. #tech #climatetech #energy #mobility #battery #electric #africa #emergingmarkets

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Kudos to aifleet on its $16.6M raise to fund growth in tech-enabled trucking. Its investors include Heron Rock Volvo Group Venture Capital, Obvious Ventures, Ibex Investors, Compound, Winthrop Square Capital and Cooley LLP. Aifleet is doing something different. Most other startups in this field are focused on pure technology. They have 204 drivers and power units. Will they be able to make it work with a combination of trucking and technology? https://lnkd.in/ePytPHx7

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Have you ever noticed that the word Uber is both a noun and a verb? I have spent years studying shared economy, supply chain and logistics. The first and last mile space has proven profitable and lucrative but also fickle and unpredictable. And I love it. In the world of Yahoos and Googles, Ubers and AirBnBs, a person could argue that branding has very minimal impact on the potential success of a company. I have also spent years studying branding, marketing, product management and customer experience. People love all-inclusive. Sometimes when you're dealing with consumers, a little bit more goes a long way. In WebVans defense, while I'm sure they had the most advanced inventory management system, at the time, I'm sure they didn't have automated storage and retrieval, they didn't have the 5G ecosystem, they didn't have RFID and IOT, they didn't have shared economy and they obviously believed, like Jeff Bezos, that because they had figured out how to deliver a book to your door, they could innovate the entire supply chain. And I love the tenacity. They tried to create an all inclusive customer experience. But like, what happens when the name just kinda sucks? Is it possible that the plateau is being caused by a crappy name? Why would people think Cost Plus is a company that would give them a discount on pharmaceuticals? Why would people think WebVan or GoPuff is the best solution for getting things delivered? Branding is part of the customer experience. It's where the brand loyalty begins and creates the potential for evangelism. Don't forget that part.

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Proud milestone: Over the past 2 years, we've worked closely with 250 venture-backed startups @ Verbatim. Here’s what the best teams have in common: 1. Faster shipping = better results When you ship content fast, your time delta (and learnings) between cycles compresses. If you can learn and iterate on content assets faster, you'll get closer and closer to the style/format/distribution channels that drive results. The best teams we work with want to ship fast, learn quickly, and then deploy those learnings to produce better and better content in a short period of time. 2. Find what works, then ramp volume Once you've found something that works (i.e. specific case study format for a unique customer segment), lean in and double down on volume. Keep pushing volume until ROI starts to plateau, then start testing new formats in parallel. 3. Focus on product + customers first Build a killer product and make your customers happy. For the best teams that we work with, this is their number one priority. Once you've built a v1 product that customers love, then pour fuel on content and other growth functions. 4. Align your content with GTM teams The best content engines are perfectly in sync with sales, revenue, marketing, and growth functions. Ex: when sales needs a new outbound asset, the speed of deployment is significantly faster when every team is communicating well. Lesson here: don't silo your content function from adjacent GTM teams. 5. Build real relationships with partners Across every company we've worked with at Verbatim, the best results have been with the teams that we have a real, deep relationship with. We're friends with each other and hold a mutual respect for our shared work product. This leads to better communication, faster deployment, and better results.

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Whenever Elisha and I invest in a new startup, we create a diagram of its business model. This is the diagram of Fin, one of our latest deals. Fin is building a sustainable parcel delivery logistics network for e-commerce brands. When fellow VC Mike MacCombie told me he was investing in Fin - sustainable logistics, a company reinventing delivery and logistics, we were skeptical. Delivery is a low margin, ops-heavy business and we couldn’t imagine a model that gave meaningful advantages over the many other attempts that have been made in this space. But the more we dug, the more we were impressed. How come? One big reason was Fin's emphasis on software and automations, which allows them to operate a a fleet of delivery drivers reliably and scalably similar to the way a ridehailing platform virtualized taxi services to create a much better product for customers. Think about Bolt, the Estonian ridehail company. When Bolt came to market, people thought Uber would eat their lunch. But when I spoke with Markus Villig, Bolt's founder and CEO, and understood his fundamental insight - that running a much lighter engineering team than Uber would allow them to pass savings on to both customers and drivers - I understood how they would sustainably grow market share. And that’s what Bolt did, consistently. Today the company is a global force in ridehailing, generating over $2 billion dollars in annual revenue. Back to Fin, our investment. Rich Pleeth, Fin’s Founder and CEO, spent nearly 3 years at Bolt and learned a lot. Much like Bolt, Fin uses software to tackle a complex coordination problem—ensuring e-commerce packages arrive efficiently and reliably to the right person at the right time. Fin rewards the highest-performing delivery providers with more delivery volume, much like how Bolt and Uber will push more rides to their best drivers. For consumers, their software guarantees the highest delivery success rates. And their track record is already impressive. Fin continues to announce bigger and bigger shipping partnerships, most recently with and AG1 and TikTok Shop. In short, Fin is arming the rebels of the e-commerce world, the Davids fighting the Amazon Goliath. Brands competing with Amazon need a sustainable way to offer next day delivery - and Fin is building it. We’re excited to be working with Rich & Chris - they have a massive vision and the determination to make it a reality.

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Summary: Trucks Venture Capital has announced a new $70 million fund to support early-stage startups in the transportation industry. Led by co-founder Reilly Brennan, the firm plans to invest in a diverse range of companies, including those working on autonomous vehicle tech, electric air taxis, and mobility data platforms. This is the firm's largest fund to date and its investment strategy has evolved to focus on great founders rather than specific sectors or ideas. Key takeaways: Trucks VC has a new $70 million fund to invest in early-stage transportation startups. The firm's investment strategy has shifted to focus on great founders rather than specific sectors or ideas. Previous investments from the new fund include charger installation-as-a-service startup Treehouse and zero-emissions jet aircraft company JetZero. Counter arguments: Some may argue that focusing on great founders rather than specific sectors or ideas may limit the firm's potential for success. The transportation industry is constantly changing and evolving, making it a risky investment for any venture capital firm. #startups #venturecapital #transportation

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A common mistake early-stage VCs make is confusing good decisions with good outcomes. Good outcomes don’t always mean good decisions—luck often masks flawed reasoning. Focus on process over outcome bias. Invest in strong decision-making frameworks, not just duplicating “wins.”

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Wrapping up 2024 with 8 new Deco Ventures investments. - Rectangle: Automated freight operations  - FLIP: AI-enabled predictive maintenance for fleets/vehicals - Airwave: AI-enabled push-to-talk mobile app for field teams and technicians - MaxHome.AI: - AI-native operating system for residential real estate - Bolo AI: AI-powered knowledge platform for the energy industry - Stealth: Automated software development for non-technical founders - Stealth - AI-powered accounting roll up - Stealth - AI-enabled vertical SaaS for General Contractors As we continue to double down on AI-powered solutions for legacy industries, with an emphasis on the “built world” and markets with physical assets, we’ve observed a few trends. 1) Legacy industries ripe for automation often have hidden incentive misaligments. Many manual service providers benefit from general opacity around their offerings (time, complexity, cost, etc.). Founders should think creatively about selling products to different players along an industry’s value chain as AI makes bringing new functions in house possible. 2) “Typical” venture deals are evolving. AI-enabled services are a prime and popular example of this (pursured via building net new firms from the ground up or roll ups). Lots more of this next year. 3) AI is dramatically leveling the playing field in rapid product development. Acess to proprietary data is still key to building defensible AI applications, but equally important is speed and creativity around GTM. Onward to 2025! 💫

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It is amazing at all the resources and opportunities that are wanting to pour into some of the African Regions. Mark Kleyner give us an overview and insights that you won't be able to find anywhere else in this week's episode of The Silicon Valley Podcast #africa #entreprenuers #business

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What does it take to raise capital for SaaS companies now according to Jason Lemkin (SaaStr) Key Takeaway 1: The current venture capital landscape is experiencing significant changes, particularly driven by the rise of AI. Investors are increasingly focused on finding "decacorns" (companies valued at over $10 billion) in the AI space, as traditional software companies are no longer seen as sufficient for generating massive returns. > Agree, its a generational new sector that will change the world in the short to medium term Key Takeaway 2: There's a growing trend of large investments in AI companies, even those without established revenue or customers. This is exemplified by Elon Musk's new AI company raising $6 billion and OpenAI's rapid growth. Investors are making high-risk bets on potential AI breakthroughs, driven by the need for outsized returns. Key Takeaway 3: Established venture capital firms and investors are pivoting their focus towards AI. SoftBank is raising a $9 billion fund solely for AI investments, while prominent hedge fund manager Steve Cohen has restructured his venture fund to concentrate exclusively on AI opportunities. > This signals huge momentum of capital, a good but wary signal. Overall a very good signal. Key Takeaway 4: The AI investment trend is not without skepticism. There's recognition that some companies may be falsely claiming AI capabilities to attract funding. However, real-world applications and significant deals, such as Palantir's $480 million AI contract with the US Army, demonstrate the tangible potential of AI technologies. > As with any new exploding trend, be wary always. Key Takeaway 5: The venture capital industry is under pressure to find and invest in potential decacorns, as traditional software companies, even successful ones, are no longer considered sufficient for generating the massive returns required by large VC funds. This shift is causing stress and driving the focus towards high-potential AI startups. > Power law distribution and math doesn't lie (that much). https://lnkd.in/gHe8tW2E

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Excited to share some thoughts from my recent conversation on the VC10X podcast. We dove quite a bit into the importance of product-market fit in Hard Tech 🎙️ ·     One key insight I've gained from working with Hard Tech companies at Pangaea Ventures: The difference between good and great product-market fit often shows up in the growth patterns. ·     Many Hard Tech companies show linear growth - put in a dollar on manufacturing and sales, get a predictable return. But when you've truly nailed product-market fit, something magical happens: the growth curve becomes exponential. ·     We look for companies where $1 invested this year yields significantly more return than the same dollar did last year. That's when you know you're onto something special. That's the inflection point where linear becomes exponential. ·     This pattern has been a reliable indicator throughout my time at Pangaea, helping companies navigate their early growth stages, build high-performance teams, and cultivate excellence. Thanks to Prashant and the VC10X podcast for having me on to discuss the evolving Hard Tech ecosystem. What patterns have you observed in successful Hard Tech companies? Would love to hear your thoughts.

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How to invest in YC startups 💸 Before: Chase unicorns alone - Get the scraps Now: Back funds with unique access and dealflow Why go it alone when you can invest smarter?

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How can founders better prep themselves for early stage VC meetings? 🤔 Bill Georges partner at AlleyCorp tells me how founders need to PREP PREP PREP ✨ Address the top button early stage: 1️⃣ What's your founder story? 2️⃣ What's your go to market strategy? 3️⃣ What your product development strategy? 4️⃣ How big do you think this can get AND over what period of time? *Understand what your VC is looking for, and really try to understand their culture* ▶ https://lnkd.in/dZvciK2w Check out the entire episode of Digital Health Heavyweights Podcast and SUBSCRIBE ON YOUTUBE 🏃‍♂️🏃‍♀️🏃‍♂️🏃‍♀️💨💨

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These are the AI-focused companies poised to shake up logistics. 🚚 Did I miss anyone? As a sector, logistics has always been a sprawling, complex puzzle. But AI is the critical missing piece, representing a $79 billion opportunity for startups in these areas: → Back-office use cases (a $22 billion opportunity for LLMs) → Route optimization and planning (a $30 billion opportunity for LLMs and ML) → AI dashcams (a $13.6 billion computer vision opportunity) → Warehouse robotics (a $13 billion market opportunity in both LLMs and computer vision) Read the latest analysis from me, Leo Lu, and Jaya Gupta, in the comments. 

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How to answer the most DREADED question in VC 💀 How’s your round coming along? Answer this wrong; you likely won’t get a 2nd meeting. 3 Tips you can't miss. 1. Build momentum. -Build a network of investors over time and reach out to them simultaneously when raising. -If you're in DD with 15 VCs, say that. If you have a verbal commitment or have docs out for signature, say that. -Investors are looking for momentum. 2. Dont Lie. -VCs can smell this a mile away. -Don’t say you have term sheets when you don’t. -Don’t say investors are committed when they aren’t. -Lie when raising and you're an auto-reject for most VCs. -Timing is critical 3. Raise when you have at least 12+ months runway. -Raising will usually take 3-6 months. -So don’t raise with <6 months of runway if you can avoid it; this puts you in a more difficult position to negotiate, and you have less leverage. In short, with these 3 tips, you avoid major pitfalls and improve your odds of raising. I invest out of tbv & write weekly on venture, capital raising, and crypto. If you're raising or want more tips like this, give me a follow.

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Great post by Josh Wagner on the importance of urgency. If you don't want to build a company characterized by urgency and extreme intensity over a long period of time - at least a decade - you would be better off not raising venture capital.

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