Ben Narasin on raising a new VC fund in a down market, + Natalie Barbu of Rella | E1515

Fundraising Journey

Ben Narasin shares his journey of raising a $50 million venture fund amidst challenging market conditions. Despite initial hurdles, like lacking a legal team and facing media restrictions, he secured commitments for half the fund in just 25 days 1. Ben's strategy included creating an affiliate fund on Angellist to accommodate smaller investors, allowing him to bring in a diverse group of 36 VCs 2. He reflects on the unexpected speed of his fundraising process:

I started pitching, and 25 days later, I had commitments for half the fund.

--- Ben Narasin

This rapid success highlights the importance of adaptability and leveraging existing networks in venture fundraising 3.

   

Market Dynamics

The current market conditions pose unique challenges for venture capitalists, yet Ben Narasin remains undeterred. He emphasizes the need to fund exceptional opportunities regardless of market fluctuations, as these investments are long-term commitments 4. Ben's approach involves maintaining flexibility, such as reopening funds to accommodate new investors while being prepared to return capital if market conditions worsen 5. He notes the importance of strategic decision-making in venture capital:

I don't need to worry about what the market. These are seven to ten to twelve year journeys.

--- Ben Narasin

This mindset allows him to navigate the complexities of the venture landscape effectively 6.

   

Investor Relations

Building and maintaining strong investor relationships is crucial in venture fundraising. Ben Narasin attributes his success to a solid 15-year track record, which he presents in three-year segments to demonstrate consistent returns 7. He stresses the importance of transparency and clear communication with investors, ensuring they understand the fund's focus and potential 8. Ben's commitment to excellence is evident in his approach:

I've been doing this for 15 years, and I took that 15 year track record. I broke it into three year periods.

--- Ben Narasin

This strategy not only builds trust but also positions him as a reliable partner in the venture capital ecosystem.