B Capital Group’s Raj Ganguly on Investing in Global Tech

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.
Raj Ganguly with his arms crossed
Courtesy of Raj Ganguly

On this episode of the L.A. Venture podcast, B Capital Group co-founder and partner Raj Ganguly talks about the new early-stage fund B Capital closed this week, as well as his outlook for startups in this rocky investing environment.

B Capital’s new $250-million, early-stage fund launched on Tuesday. The firm writes checks of between $250,000 to $8 million from its venture fund. From its growth fund, it writes checks of between $10 million and $100 million. Since launching, the group has backed 130 founders and now has over $6 billion in assets under management.

Ganguly said B Capital is built on three pillars: approaching tech as a global enterprise, digitizing large traditional industries (like healthcare and finance) and being engaged partners to their portfolio.

He added that the fund’s rapid growth has followed its focus on a combination of the right industries, the right founders and the right valuations.

“There's these two diametrically opposed forces right at this moment,” he said. “One is that if you look at any of the industries we invest in, they are 1% to 5% digitized, at most–and so there's so much growth left in them. And on the other hand, we've gotten to this valuation point where a lot of great companies are not great investments.”

B Capital takes a different approach from global investment firms, Ganguly said. While global investment firms are often passive investors, B Capital takes the Silicon Valley venture model of offering value-add capabilities and pairs that with a global focus and B Capital offices in the U.S., China, India, Indonesia and Singapore.

“Being able to collaborate across your offices around the world actually gives you a huge advantage in pattern recognition and helping your companies grow and scale,” Ganguly added.

Focusing on global investing hasn't been without its challenges. Particularly in China, where Ganguly said increasing trade friction and restrictions on technology can make investing difficult. The firm is careful to identify resilient companies that can weather the changes, he added, while navigating increasingly connected, but factious economies.

“I do believe that as leaders in tech and as global business leaders we all have a responsibility to find channels of communication and collaboration, even with this kind of decoupling that's happening,” Ganguly said.

In the next few years, he said B Capital is eyeing health care, fintech and climate tech. But expanding their scope hasn’t changed the company’s focus on the fundamentals of investing.

“As the music started to go faster and faster over the last few years, I think everyone was guilty of investing in companies where the valuations were getting ahead of themselves,” Ganguly said. “And you've got to build businesses that ultimately are profitable.”

dot.LA editorial intern Kristin Snyder contributed to this post.

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Genies Wants To Help Creators Build ‘Avatar Ecosystems’

Christian Hetrick

Christian Hetrick is dot.LA's Entertainment Tech Reporter. He was formerly a business reporter for the Philadelphia Inquirer and reported on New Jersey politics for the Observer and the Press of Atlantic City.

Genies Wants To Help Creators Build ‘Avatar Ecosystems’

When avatar startup Genies raised $150 million in April, the company released an unusual message to the public: “Farewell.”

The Marina del Rey-based unicorn, which makes cartoon-like avatars for celebrities and aims to “build an avatar for every single person on Earth,” didn’t go under. Rather, Genies announced it would stay quiet for a while to focus on building avatar-creation products.

Genies representatives told dot.LA that the firm is now seeking more creators to try its creation tools for 3D avatars, digital fashion items and virtual experiences. On Thursday, the startup launched a three-week program called DIY Collective, which will mentor and financially support up-and-coming creatives.

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Here's What To Expect At LA Tech Week

Christian Hetrick

Christian Hetrick is dot.LA's Entertainment Tech Reporter. He was formerly a business reporter for the Philadelphia Inquirer and reported on New Jersey politics for the Observer and the Press of Atlantic City.

Here's What To Expect At LA Tech Week

LA Tech Week—a weeklong showcase of the region’s growing startup ecosystem—is coming this August.

The seven-day series of events, from Aug. 15 through Aug. 21, is a chance for the Los Angeles startup community to network, share insights and pitch themselves to investors. It comes a year after hundreds of people gathered for a similar event that allowed the L.A. tech community—often in the shadow of Silicon Valley—to flex its muscles.

From fireside chats with prominent founders to a panel on aerospace, here are some highlights from the roughly 30 events happening during LA Tech Week, including one hosted by dot.LA.

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LA Tech Week: Anorak Ventures Offers 8 Marketing Principles For Early-Stage Startups

Andria Moore
Andria is a freelance reporter for dot.LA. She previously covered internet trends and pop culture for BuzzFeed, and has written for Insider, The Washington Post and the Motion Picture Association. She obtained her bachelor's in journalism from Auburn University and an M.S. in digital audience strategy from Arizona State University. In her free time, Andria can be found roaming LA's incredible food scene or lounging at the beach.
LA Tech Week: Anorak Ventures Offers 8 Marketing Principles For Early-Stage Startups
Stock Photo by Headway

Every entrepreneur knows getting started is half the battle. It’s easy to get overwhelmed by details and lose sight of the goal or mission of your company.

On Tuesday, Greg Castle, managing partner of Anorak Ventures, presented eight marketing principles at L.A. Tech Week that he and his seed-stage venture firm use to guide potential clients in their marketing efforts. Castle has invested in more than 80 seed-stage companies, five of which have gone on to achieve values north of one billion.

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