Your check size dictates fund strategy | Charles Hudson, Founder & Managing Partner, Precursor Ventures

The Data Minute

In this episode of The Data Minute, Peter Walker (Head of Insights at Carta) is joined by Charles Hudson (Managing Partner and Founder, Precursor Ventures and writer of the Venture Reflections Substack - chudson.substack.com) for a deep discussion about pre-seed deals, the differences between multi-stage and small funds, and the types of investing that work in this AI dominated market.
They also cover SAFEs, how pre-seed investing has changed, Charles' time in the National Venture Capital Association, and how what happens in Washington can affect emerging managers nationwide.
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Chapters:
00:00 Welcome
1:42 Intro to Precursor Ventures
7:06 The changes in pre-seed syndication
13:38 Setting aside reserves in funding
15:23 Competing with multi-stage funds
19:12 Distinctions in AI funding
23:09 Making the case for small funds
30:51 SAFEs and priced rounds
37:47 Handling LP concerns
39:34 Secondary selling and liquidity
43:24 Speed round questions
43:29 Most interesting sector or subsector for investment?
44:12 Most unique way that a GP has brought value to a portco?
45:45 The one question more founders should ask in fundraising?
48:16 The National Venture Capital Association
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