LA Venture: Act One Ventures' Alejandro Guerrero on Bringing More Diversity to Venture Capital

Minnie Ingersoll
Minnie Ingersoll is a partner at TenOneTen and host of the LA Venture podcast. Prior to TenOneTen, Minnie was the COO and co-founder of $100M+ Shift.com, an online marketplace for used cars. Minnie started her career as an early product manager at Google. Minnie studied Computer Science at Stanford and has an MBA from HBS. She recently moved back to L.A. after 20+ years in the Bay Area and is excited to be a part of the growing tech ecosystem of Southern California. In her space time, Minnie surfs baby waves and raises baby people.
LA Venture: Act One Ventures' Alejandro Guerrero on Bringing More Diversity to Venture Capital

On this episode of the LA Venture podcast, Alejandro Guerrero talks about transitioning from running his own startup to entering the venture capital world.

Guerrero met his soon-to-be business partner, Michael Stilton, at UCLA. Soon after, Stilton invited him to start a venture capital fund even though neither were looking to be venture capitalists.



Guerrero became a partner at Act One Ventures, a community focused early-stage fund leading pre-seed and seed rounds in ecommerce infrastructure, vertical SaaS and fintech companies.

"I got here because at some point in my life, in multiple points in my life, somebody who didn't owe me anything saw something in me that I didn't see in myself and opened the door for me. And not only did they open the door, they walked me through the door. They told me how to think when I got through the other side," Guerrero said.

For Guerrero, entering the world of venture capital was hard because of the lack of people in the industry who looked like him. He was a first-generation kid who came from a low-income home. He wanted to bring other underrepresented communities in.

Guerrero said he was deeply moved by the death of George Floyd, which inspired him to author the "diversity rider," a promise that VCs add language to their term sheets that states the startup and lead investor will make every effort to bring on traditionally underrepresented individuals on as co-investors.

"If we're sitting here hoping that someone is going to come and save us or save our community for us, we're tripping," Guerrero said. "If that was going to happen, it would have happened by now and it's not happening. I just didn't want this moment to be like a gun shooting in America where it's like thoughts and prayers," he added.

Guerrero noted that founders actually have more control than they think about who they bring into their rounds.

He also shared insights on how Act One Ventures operates: They are light touch investors and believe in mostly getting out of the way of the entrepreneur, but also leaning heavily on bringing in their network of advisors and LPs to work with portfolio companies as needed.

dot.LA Audience Engagement Intern Joshua Letona contributed to this post.

Want to hear more of L.A. Venture? Listen on Apple Podcasts, Stitcher, Spotify or wherever you get your podcasts.

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‘Commerce at The Curb’: LA’s Rideshare Debate Heats Up

Maylin Tu
Maylin Tu is a freelance writer who lives in L.A. She writes about scooters, bikes and micro-mobility. Find her hovering by the cheese at your next local tech mixer.
Connie Llanos, Jordan Justus and Gene Oh
Justin Janes, Vizeos Media

Three years ago, Los Angeles went into lockdown due to the COVID-19 pandemic. Now, cities like L.A. are struggling to hold on to pandemic-era transportation and infrastructure changes, like sidewalk dining and slow streets, while managing escalating demand for curb space from rideshare and delivery.

At Curbivore, a conference dedicated to “commerce at the curb” held earlier this month in downtown Los Angeles, the topic was “Grading on a Curb: The State of our Streets & Cities in 2023,” a panel moderated by Drew Grant, editorial director for dot.LA.

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Plug In South LA Accelerator Launches 4th Cohort to Double Down On Black and Latinx Communities

Decerry Donato

Decerry Donato is a reporter at dot.LA. Prior to that, she was an editorial fellow at the company. Decerry received her bachelor's degree in literary journalism from the University of California, Irvine. She continues to write stories to inform the community about issues or events that take place in the L.A. area. On the weekends, she can be found hiking in the Angeles National forest or sifting through racks at your local thrift store.

Plug In South LA Accelerator Launches 4th Cohort to Double Down On Black and Latinx Communities
Provided by Plug In

Last week, Plug In, a South LA accelerator program, announced the launch of its fourth cohort. The deadline to apply is March 24 and the program will begin in April and end mid-July.

While Plug In got its start by helping South LA’s tech ecosystem, the company is not limiting the talent pool to local companies. Instead, Plug In is widening its reach by allowing startups from across the nation to participate. The 12-week program is focused on finding founders in the health care, digital media, edtech, climate and sustainability sectors.

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How the 'Thrift Haul' Boosted Secondhand Ecommerce Platforms

Lon Harris
Lon Harris is a contributor to dot.LA. His work has also appeared on ScreenJunkies, RottenTomatoes and Inside Streaming.
How the 'Thrift Haul' Boosted Secondhand Ecommerce Platforms
Evan Xie

If you can believe it, it’s been more than a decade since rapper Macklemore extolled the virtues of thrift shopping in a viral music video. But while scouring the ranks of vintage clothing stores looking for the ultimate come-up may have waned in popularity since 2012, the online version of this activity is apparently thriving.

According to a new trend story from CNBC, interest in “reselling” platforms like Etsy-owned Depop and Poshmark has exploded in the years since the start of the COVID-19 pandemic and lockdown. In an article that spends a frankly surprising amount of time focused on sellers receiving death threats before concluding that they’re “not the norm,” the network cites the usual belt-tightening ecommerce suspects – housebound individuals doing more of their shopping online coupled with inflation woes and recession fears – as the causes behind the uptick.

As for data, there’s a survey from Depop themselves, finding that 53% of respondents in the UK are more inclined to shop secondhand as living costs continue to rise. Additional research from Advance Market Analytics confirms the trend, citing not just increased demand for cheap clothes but the pressing need for a sustainable alternative to recycling clothing materials at its core.

The major popularity of “thrift haul” videos across social media platforms like YouTube and TikTok has also boosted the visibility of vintage clothes shopping and hunting for buried treasures. Teenage TikToker Jacklyn Wells scores millions of views on her thrift haul videos, only to get routinely mass-accused of greed for ratching up the Depop resell prices for her coolest finds and discoveries. Nonetheless, viral clips like Wells’ have helped to embed secondhand shopping apps more generally within online fashion culture. Fashion and beauty magazine Hunger now features a regular list of the hottest items on the re-sale market, with a focus on how to use them to recreate hot runway looks.

As with a lot of consumer and technology trends, the sudden surge of interest in second-hand clothing retailers was only partly organic. According to The Drum, ecommerce apps Vinted, eBay, and Depop have collectively spent around $120 million on advertising throughout the last few years, promoting the recent vintage shopping boom and helping to normalize second-hand shopping. This includes conventional advertising, of course, but also deals with online influencers to post content like “thrift haul” videos, along with shoutouts for where to track down the best finds.

Reselling platforms have naturally responded to the increase in visibility with new features (as well as a predictable hike in transaction fees). Poshmark recently introduced livestreamed “Posh Shows” during which sellers can host auctions or provide deeper insight into their inventory. Depop, meanwhile, has introduced a “Make Offer” option to fully integrate the bartering and negotiation process into the app, rather than forcing buyers and sellers to text or Direct Message one another elsewhere. (The platform formerly had a comments section on product pages, but shut this option down after finding that it led to arguments, and wasn’t particularly helpful in making purchase decisions.)

Now that it’s clear there’s money to be made in online thrift stores, larger and more established brands and retailers are also pushing their way into the space. H&M and Target have both partnered with online thrift store ThredUp on featured collections of previously-worn clothing. A new “curated” resale collection from Tommy Hilfiger – featuring minorly damaged items that were returned to its retail stores – was developed and promoted through a partnership with Depop, which has also teamed with Kellogg’s on a line of Pop-Tarts-inspired wear. J.Crew is even bringing back its classic ‘80s Rollneck Sweater in a nod to the renewed interest in all things vintage.

Still, with any surge of popularity and visibility, there must also come an accompanying backlash. In a sharp editorial this week for Arizona University’s Daily Wildcat, thrift shopping enthusiast Luke Lawson makes the case that sites like Depop are “gentrifying fashion,” stripping communities of local thrift stores that provide a valuable public service, particularly for members of low-income communities. As well, UK tabloids are routinely filled with secondhand shopping horror stories these days, another evidence point as to their increased visibility among British consumers specifically, not to mention the general dangers of buying personal items from strangers you met over the internet.

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