Biggest Challenges Faced By A Partner At Morado Ventures LLC
Henry's biggest challenge as a Partner at Morado Ventures is "keeping up with everything," a constant battle due to rapid industry changes and the need for frequent context switching between detailed legal discussions and high-level design conversations. This is further complicated by the long-term nature of venture capital investments, requiring patience for "seven to 10 years, maybe even longer" before seeing a return.
Venture Capital, Networking, Contract Negotiation, Data Analysis, Long-Term Vision
Advizer Information
Name
Job Title
Company
Undergrad
Grad Programs
Majors
Industries
Job Functions
Traits
Henry Sohn
Partner
Morado Ventures LLC
UC Berkeley
n/a
Anthropology, Sociology
Finance (Banking, Fintech, Investing), Technology
Finance
Disabled, Immigrant
Video Highlights
1. Keeping up with rapid developments in various industries and maintaining a wide professional network requires constant effort and can be challenging.
2. The role demands frequent context switching between detailed discussions (e.g., contract negotiations) and high-level strategic conversations (e.g., product design).
3. Venture capital requires patience, as returns on investments may not be seen for 7-10 years or even longer, demanding a long-term perspective and resilience.
Transcript
What is your biggest challenge in your current role?
I think the challenges are similar to what makes this work fun. Trying to keep up with everything is a challenge because in every industry, there are tons of developments going on. This includes not just technological advancements but also industry developments, like what companies are doing and the progress they've achieved.
Companies go public, go private, and operators move from one role or job to the next. Keeping up with that network and how things are changing is a constant battle. It can be challenging to stay abreast of all that.
I think context switching can also be challenging. Sometimes you're talking to someone about deep contract details, like whether indemnity clauses are worth compromising on, which might cause problems down the road. You're neck-deep in contract discussions with attorneys and business people. Then, suddenly, your next conversation is a design discussion about building an app or making changes based on customer feedback and data.
There are always changes in scope and detail. So, that context switching can be challenging.
As an investor, especially in venture capital, it's called "patient capital" because it's different from hedge funds or private equity. Hedge funds involve public companies where you're buying and selling frequently, sometimes multiple times a day. Venture capital, however, involves money invested over years, and you might not see an outcome for seven to ten years, or even longer.
Having to wait that long to know if the companies you believed in early on have a good outcome can be a long wait.