Here Are LA's Top VCs, According to Their Peers
Though Silicon Valley is still very much the capital of venture capital, Los Angeles is home to plenty of VCs who have made their mark – investing in successful startups early and reaping colossal returns for their limited partners.
Who stands out? We thought there may be no better judge than their peers, so we asked 28 of L.A.'s top VCs who impresses them the most.
The list includes many familiar names. Dana Settle, founding partner of Greycroft, and Mark Mullen, founding partner of Bonfire Ventures, garnered the most votes.
Settle manages West Coast operations for Greycroft, a New York firm with $1.8 billion in assets under management. She is one of only nine of the top 100 VCs nationally who are women, according to CB Insights.
Mullen is a founding partner of Bonfire Ventures, which closed a $100 million second fund in September to continue funding seed stage business-to-business (B2B) software startups. Mullen has also been an angel investor and is an LP in other funds focusing on other sectors, including MaC VC and BAM Ventures.
Below is the list of the top ranked investors by how many votes each received from their peers. When there was a tie, they appear in alphabetical order according to their last name:
Mark Mullen, Bonfire Ventures
Mark Mullen is a founding partner of Bonfire Ventures. He is also founder and the largest investor in Mull Capital and Double M Partners, LP I and II. A common theme in these funds is a focus on business-to-business media and communications infrastructures.
In the past, Mullen has served as the chief operating officer at the city of Los Angeles' Economic Office and a senior advisor to former Mayor Villaraigosa, overseeing several of the city's assets including Los Angeles International Airport and the Los Angeles Convention Center. Prior to that, he was a partner at Daniels & Associates, a senior banker when the firm sold to RBC Capital Markets in 2007.
Dana Settle, Greycroft
Dana Settle is a founding partner of Greycroft, heading the West Coast office in Los Angeles. She currently manages the firm's stakes in Anine Bing, AppAnnie, Bird, Clique, Comparably, Goop, Happiest Baby, Seed, Thrive Market, Versed and WideOrbit, and is known for backing female-founded companies.
"The real change takes place when female founders build bigger, independent companies, like Stitchfix, TheRealReal," she said this time last year in an interview with Business Insider. "They're creating more wealth across their cap tables and the cap tables tend to be more diverse, so that gives more people opportunity to become an angel investor." Prior to founding Greycroft, she was a venture capitalist and startup advisor in the Bay Area.
Erik Rannala, Mucker Capital
Erik Rannala is a founding partner at Mucker Capital, which he created with William Hsu in 2011. Before founding Mucker, Rannala was vice president of global product strategy and development at TripAdvisor and a group manager at eBay, overseeing its premium features business.
"As an investor, I root for startups. It pains me to see great teams and ideas collapse under the pressure that sometimes follows fundraising. If you've raised money and you're not sure what comes next, that's fine – I don't always know either," Rannala wrote in a blog post for Mucker.
Mucker has a portfolio of 61 companies, including Los Angeles-based Honey and Santa Monica-based HMBradley.
William Hsu, Mucker Capital
William Hsu is a founding partner at the Santa Monica-based fund Mucker Capital. He started his career as a founder, creating BuildPoint, a provider of workflow management solutions for the commercial construction industry not long after graduating from Stanford.
In an interview with Fast Company, he shared what he learned in the years following, as he led product teams at eBay, Green Dot and Spot Runner, eventually becoming the SVP and Chief Product Officer of At&T Interactive: "Building a company is about hiring correctly, adhering to a timeline, and rigorously valuing opportunity. It's turning something from inspiration and creative movement into process and rigor."
These are the values he looks for in founders in addition to creativity. "I like to see the possibility of each and every idea, and being imaginative makes me a passionate investor."
Jim Andelman, Bonfire Ventures
Jim Andelman is a founding partner of Bonfire Ventures, a fund that focuses on seed rounds for business software founders. Andelman has been in venture capital for 20 years, previously founding Rincon Venture Partners and leading software investing at Broadview Capital Partners.
He's no stranger to enterprise software — he also was a member of the Technology Investment Banking Group at Alex. Brown & Sons and worked at Symmetrix, a consulting firm focusing on technology application for businesses.
In a podcast with LA Venture's Minnie Ingersoll earlier this year, he spoke on the hesitations people have about choosing to start a company.
"It's two very different things: Should I coach someone to be a VC or should I coach someone to enter the startup ecosystem? On the latter question, my answer is 'hell yeah!'"
Josh Diamond, Walkabout Ventures
Josh Diamond founded Walkabout Ventures, a seed fund that primarily focuses on financial service startups. The firm raised a $10 million fund in 2019 and is preparing for its second fund. Among its 19 portfolio companies is HMBradley, which Diamond helped seed and recently raised $18 in a Series A round.
"The whole reason I started this is that I saw there was a gap in the funding for early stage, financial service startups," he said. As consumers demand more digital access and transparency, he said the market for financial services is transforming — and Los Angeles is quickly becoming a hub for fintech companies. Before founding Walkabout, he was a principal for Clocktower Technology Ventures, another Los Angeles-based fund with a similar focus.
Kara Nortman, Upfront Ventures
Kara Nortman was recently promoted to managing partner at Upfront Ventures, making her one of the few women – along with Settle – to ascend to the highest ranks of a major VC firm.
Though Upfront had attempted to recruit her before she joined in 2014, she had declined in order to start her own company, Moonfrye, a children's ecommerce company that rebranded to P.S. XO and merged with Seedling. Upfront invested in the combination, and shortly after, Nortman joined the Upfront team.
Before founding Moonfrye, she was the SVP and General Manager of Urbanspoon and Citysearch at IAC after co-heading IAC's M&A group.
In an interview with dot.LA earlier this year, she spoke on how a focus for her as a VC is to continue to open doors for founders and funders of diverse backgrounds.
"Once you're a woman or a person of color in a VC firm, it is making sure other talented people like you get hired, but also hiring people who are not totally like you. You have to make room for different kinds of people. And how do you empower those people?"
Brett Brewer, Crosscut Ventures
Brett Brewer is a co-founder and managing director of Crosscut Ventures. He has a long history in entrepreneurship, starting a "pencil selling business in 4th grade." In 1998, he co-founded Intermix Media. Under their umbrella were online businesses like Myspace.com and Skilljam.com. After selling Intermix in 2005, he became president of Adknowledge.com.
Brewer founded Santa Monica-based Crosscut in 2008 alongside Rick Smith and Brian Garrett. His advice to founders on Crosscut's website reflects his experience: "Founders have to be prepared to pivot, restart, expect the unexpected, and make tough choices quickly... all in the same week! It's not for the faint of heart, but after doing this for 20 years, you can spot the fire (and desire) from a mile away (or not)."
Eva Ho, Fika Ventures
Eva Ho is a founding partner of Fika Ventures, a boutique seed fund, which focuses on data and artificial intelligence-enabled technologies. Prior to founding Fika, she was a founding partner at San Francisco-based Susa Ventures, another seed-stage fund with a similar focus. She is also a serial entrepreneur, most recently co-founding an L.A. location data provider, Factual. She also co-founded Navigating Cancer, a health startup, and is a founding member of All Raise, a nonprofit that supports and provides resources to female founders and funders.
In an interview with John Livesay shortly before founding Fika, Ho spoke to how her experience at Factual helped focus what she looks for in founders. "I always look for the why. A lot of people have the skills and the confidence and the experience, but they can't convince me that they're truly passionate about this. That's the hard part — you can't fake passion."
Brian Lee, BAM Ventures
Brian Lee is a co-founder and managing director of BAM Ventures, an early-stage consumer-focused fund. In an interview with dot.LA earlier this year, Lee shared that he ended up being the first investor in Honey, which was bought by PayPal for $4 billion, through investing in founders and understanding their "vibe."
"There's certain criteria that we look for in founders, a proprietary kind of checklist that we go through to determine whether or not these are the founders that we want to back…. [Honey's founders] knew exactly what they were building, and how they were going to get there."
His eye for the right vibe in a founder is one gleaned from experience. Lee is a serial entrepreneur, founding LegalZoom.com, ShoeDazzle.com and The Honest Company.
Alex Rubalcava, Stage Venture Partners
Alex Rubalcava is a founding partner of Stage Venture Partners, a seed venture capital firm that invests in emerging software technology for B2B markets. Prior to joining, he was an analyst at Santa Monica-based Anthem Venture Partners, an investor in early stage technology companies. It was his first job after graduating from Harvard, and during his time at Anthem the fund was part of Series A in companies like MySpace, TrueCar and Android.
He has served as a board member in several Los Angeles nonprofits and organizations like KIPP LA Schools and South Central Scholars.
"Warren Buffett says that he's a better businessman because he's an investor, and he's a better investor because he's a businessman. I feel the same way about VC and value investing. Being good at value investing can make you good at venture capital, and vice versa," Rubalcava said in an interview with Shai Dardashti of MOI Global.
Mark Suster, Upfront Ventures
Mark Suster, managing partner at Upfront Ventures, is arguably L.A.'s most visible VC, frequently posting on Twitter and on his blog, not only about investing but also more personal topics like weight loss. In more normal years, he presides over LA's biggest gathering of tech titans, the Upfront Summit. Before Upfront, he was the founder and chief executive officer of two software companies, BuildOnline and Koral, which was acquired by Salesforce. Upfront backed both of his companies, and eventually he joined their team in 2007.
In a piece for his blog, "Both Sides of the Table," Suster wrote about the importance of passion — not just for entrepreneurs and their businesses, but for the VCs that fund them as well.
"On reflection of the role that I want to play as a VC it is clearly in the camp of passion. I really want to start my journeys only with people with whom I want to work closely with for the next 5–7 years or more. I only want to work on projects in which I believe can produce truly amazing change in an industry or in the world."
Lead art by Candice Navi.
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But not everybody reaped the benefits. A survey of nearly 700 health startup leaders conducted by Rock Health in 2020 found that support for Black founders was largely inadequate. Black founders were more likely than white or Asian founders to bootstrap their companies, while most were based in the South or the Midwest—far from the funding hotbeds of the Northeast and West Coast.
These inequities formed the genesis for Jumpstart Nova, which bills itself as the first venture fund investing exclusively in Black-founded and Black-led health companies. The fund—a spinoff from Nashville-based venture capital firm Jumpstart Health Investors—announced Wednesday that it has raised $55 million from health care investors including Eli Lilly and Company, Cardinal Health and Atrium Health, oversubscribing its initial $30 million target.
Jumpstart Nova partner Kathryne Cooper
Though Jumpstart is based in Tennessee, the Nova fund will have roots in Los Angeles, as well. Jumpstart Nova partner and native Angeleno Kathryne Cooper is based in L.A., and is working alongside Jumpstart co-founder Marcus Whitney to lead deals and manage the portfolio. Cooper brings an experienced background in the worlds of health care technology and startup investing. She previously managed an FDA-backed seed fund for the West Coast Consortium for Technology & Innovation in Pediatrics, and has served as an advisor to Backstage Capital, an L.A.-based venture fund for minority-led startups, as well as the city of Los Angeles’ Women in STEM (WiSTEM) initiative.
“[Black people] have been overlooked traditionally for investments from the venture space, and I believe that talent is equally distributed and anyone can build within health care,” Cooper told dot.LA. “So I think it was a unique market opportunity to create a fund that invests exclusively in Black founders.”
According to Jumpstart, of the nearly 785,000 companies in the U.S. health care sector today, only around 35,000—or less than 5%—are Black-owned. The venture fund is hoping to eliminate certain processes baked into the venture capital world that it believes make it harder for minority founders to access funding. For instance, instead of relying on in-person meetings that require founders to fly out to L.A. or Nashville, it is soliciting founders from all over the U.S.—an attempt to rectify some of the geographical inequities that leave many Black founders at a disadvantage.
“I think protocols like that are helpful because some of these methodologies have chronically underserved certain types of founders,” Cooper said. “And we don't make the same mistake, even though we're investing in Black founders.”
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Founded in 2013, the company has already proven its technology can work via pilot programs in Sweden, Germany and Italy—as well as its homeland of Israel, where it’s a publicly traded company on the Tel Aviv Stock Exchange. But on Tuesday, Electreon announced a partnership with Michigan public authorities, as well as private stakeholders like Ford Motor Company, to install a one-mile-long stretch of electrified road in Detroit—the first time such a system would be used in public roads in the U.S. The system is expected to be operational by next year.
Electreon, which opened its U.S. headquarters in Los Angeles last month, is initially targeting fleet vehicles like taxis, buses and drayage trucks for its technology, but plans to eventually expand into the consumer EV market as well. Electric road systems would be especially attractive to fleet vehicles for a number of reasons, the most obvious being that they stop frequently. Time spent idling, especially in predictable locations, means it’s easier to know where to install electrified roads and make them cost-effective.
Stefan Tongur, Electreon’s L.A.-based vice president of business development, says the company’s induction charging technology will probably charge slower than the traditional plug-in station model. But if the pavement under every bus station was electrified, he told dot.LA, a small amount of charge would be added to the vehicle at every stop—meaning the bus would need to take fewer, if any, breaks to recharge its battery.
Image courtesy of Electreon
It’s easy to imagine similar use cases at ports, rail yards or airport taxi lanes, all of which could spell significant savings for companies that lose time and money when their electric fleet vehicles are plugged in and recharging. Many of these areas also fall under the purview of the private sector, which would make uptake and implementation easier, according to Tongur. He said Electreon is already eyeing a move into such spaces.
Electreon aims to have its wireless charging technology installed on public roads around the U.S. within “a couple of years,” Tongur added. While Detroit will host the pilot program, Los Angeles and New York will be the next targets.
“L.A. is obvious, right? It’s the Mecca of EVs,” he said. “You have air quality issues here; you have the port of L.A. and Long Beach; you have so much traffic. Moving to electrification is, I would say, a must.”
The goal of installing wireless charging for moving vehicles is “very courageous,” said Mehrdad Kazerani, a professor of electrical and computer engineering at the University of Waterloo in Ontario, Canada. Kazerani noted that researchers at the university had developed a similar concept for the sprawling Trans-Canada Highway. “Of course, we did not pursue this idea, but it seems Electreon has made good progress along this line,” he said.
Kazerani added that wireless charging technology may also allow the EVs of the future to use considerably smaller batteries, which would make the cars lighter, more energy-efficient and less expensive. Smaller batteries would also mean less mining for battery materials and less waste when a battery reaches the end of its life.
“This is kind of an invitation to the U.S. market: to policymakers, state agencies, fleet owners and original equipment manufacturers,” Tongur said. “This is an opportunity to do things together—join us on this path and journey.”