Inside Venturerock’s $75 Million Sports Tech Venture Investment Company, Including How They Plan to Guide Startups to Scaleups – SportTechie

Posted: September 9, 2022 at 1:51 am


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Danny Cortenraede has started five companies, from a digital media agency to global soccer community 433. He has plenty of lived experience as an entrepreneur, but he also spent time speaking to peers.

We did a lot of interviews with all kinds of founders, and nine of the 10 times the CEO was responsible for raising that capital, Cortenraede said. And he's responsible for business development. So what does that mean? He cannot spend time on his business.

That was the core revelation that spurred this weeks launch of Venturerocks $75 million sports tech fund that seeks to fund and guide startups from the beginning to their Series A round.

We are not a typical VC, Cortenraede said. We are really a partner for startups, in helping scaling their company.

The concept is to invest, on average, $3-4 million per startup, but do so in phases as the company meets designated KPIs or other milestones. His co-founder in the fund is Bob van Oosterhout, a seasoned sports marketing executive, and one of the general partners in Venturerock is Marc Wesselink, who previously was a key member in the development of the Startup Bootcamp accelerator.

There are so many great founders, super smart people. For example, they have very technical backgrounds, but for us, that's super interesting. Because we see that opportunity, we can help a person like that. And together, we can scale up company, because the founder doesn't have to worry about the cash.

Together, they devised a comprehensive program72 steps across four phasesto help founders grow their companies. While accelerators have a proven track record, these 10-week programs are just a crash course.

We thought, OK, why are we doing this in this way? Cortenraede said. We need to be there for the whole journey.

Venturerock previously launched a fintech version of this concept, and its 12 portfolio companies have an aggregate value of $130 million after two and a half years.

Aiding the growth of the sports companies is the available industry network. Cortenraedes prior companies did extensive work with Disney, Nike, Adidas, Puma, Budweiser and athletes such as Cristiano Ronaldo.

Royal Antwerp manager Mark van Bommel, who as a player starred for the likes of AC Milan and Bayern Munich, invested $1.5 million into the Venturerock sports tech fund. When the Venturerock team held an introductory call with a startup doing video analysis, Bommel joined in and invited one of his video analysts to join, too, for a deep insider perspective.

Venturerock is soliciting a wide array of ideas, from fan engagement to esports and wearables to smart stadiums. He said the sports fund made its first investment recently in an esports company and is expected to invest in 15 startups in total. But we dont want to rush it, he added.

Cortenraede began his career in the corporate world, specializing in telecom at Vodafone, Sony and T-Mobile. In addition to his entrepreneurial experience, he has been investing in startups for years, having founded DC Venture Capital Partners, an independent private equity firm, and InStudio Ventures, which invests in media, tech and sports. He is also one of the co-hosts of Unicorn Hunters, the unscripted Amazon Prime series that also features Apple co-founder Steve Wozniak and NSYNC singer Lance Bass.

There are so many great founders, super smart people, he said. For example, they have very technical backgrounds, but for us, that's super interesting. Because we see that opportunity, we can help a person like that. And together, we can scale up company, because the founder doesn't have to worry about the cash.

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Inside Venturerock's $75 Million Sports Tech Venture Investment Company, Including How They Plan to Guide Startups to Scaleups - SportTechie

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September 9th, 2022 at 1:51 am

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