01:57:31 · Luca Ferrari
[01:57:31] S4: Yeah. We've seen both. I'm sure we track it. I'm not I don't I don't have the the data off the top of my head, but we have had cases like that. We we wanna be an excellent acquire. Like like, I'd like ideally a 10 out of 10 reputation where, you know, super honest, super reliable, good price, fast, and and it starts with establishing a good relationship with founders, owners, boards. Actually, I think our ability to do that has surprised me in a way because we're so active that you could imagine my assumption was selling to someone who's so active and rebuilds parts of your business can be a little bit more difficult than selling to a more passive investor. But it turns out a lot of founders see us as the preferred partner because, number one, we never sell, You know exactly what you're getting into. It's Bending Spoons and it stays there for decades, forever probably. Also, people appreciate that we invest for real in these products. They keep expanding and improving and often founders see that as their legacy and they like to know that technical people, product people will continue to pour love and effort into their babies. I think we have a good history in that regard. Also, we're super flexible. So if, say, a founding team wants to to depart two weeks after closing because they feel that their their time there is is done, they move on. We they can do that. And many more financial acquirers would ask you to save for three years and roll over equity and it can be pretty difficult after, you know, you ran that business for ten years, fifteen years and now you've got to stay there essentially taking direction. So, yeah. And so that's, you know, that's what we find they like, but also it starts with meeting and spending time and getting comfortable with each other much earlier than the transaction takes place. So yes, absolutely, we've had cases where we have known each other for two years and then the company felt ready and we
01:59:24 · John Coogan, Jordi Hays, Luca Ferrari
[01:59:24] S1: got it done. [01:59:24] S0: There are so many companies that I would love for you to own and I hope that you do in time. Companies that are you're now quite a bit bigger than in the public markets. So [01:59:35] S1: I have one last question. Is AI speeding up deal making specifically on research, spreading comps, getting to valuation, legal diligence? Are you seeing AI bleed into your deal making? [01:59:50] S4: A little bit. It's not really [01:59:51] S1: a [01:59:51] S4: major area of efficiency for us because ultimately, we only do five, say, five acquisitions a year, get like So order of it's not really there that we unlock a lot of value. Where I think it's helping us tremendously is by enabling us to do more acquisitions and so scale the like the the operational side of things, after we close the transformations around these companies because that's really a bottleneck to growth. We have seen major improvements there. We went from the KPI, think ultimately is the best proxy for our productivity of that core team. We call we call we call them Spooners as revenue per Spooner, and that went up from about $1,000,000 in 2023 to roughly $4,000,000 run rate. [02:00:36] S0: Let's give it up for the Spooners. [02:00:38] S1: That's fantastic. I love it. [02:00:41] S4: So, yeah. [02:00:41] S1: Well, thank you so much and congrats. [02:00:43] S0: What an incredible moment. I'm so happy for you and all all 500 of you and more. [02:00:48] S1: Yeah. [02:00:50] S0: Really, really [02:00:51] S1: Too many more successful deals. Have a great rest of your Thank you, guys.
02:00:51 · John Coogan, Jordi Hays, Tyler, Luca Ferrari
[02:00:51] S1: Too many more successful deals. Have a great rest of your Thank you, guys. [02:00:54] S0: Luck Happy to to see you. Congrats again. [02:00:57] S1: Talk to you soon. Let me tell you about Figma. Agents mean the canvas. Your AI agents can now create and modify your Figma files with design system context. Did you see what Riley Walls shared? He shared a heat map of the most popular types of dogs in San Francisco. The city is dominated by chihuahuas. It's overrun by chihuahuas apparently. I had no idea. It's the capital [02:01:23] S0: That of explains [02:01:24] S1: Chihuahua apparently. [02:01:25] S0: A lot. [02:01:25] S1: There's some Labrador retriever hotspots. There's a couple golden retrievers in the city. There's a little area where there's a lot of poodles. [02:01:32] S5: Do guys think about pit bulls? Are you pro pit bull? [02:01:36] S1: Not my favorite. [02:01:36] S0: Not around me. [02:01:38] S1: Not my favorite. [02:01:38] S0: Or anyone I love. [02:01:42] S1: Skill issue. Just learn to wrestle with the pit bull. Just exert your your humanity over it and put it in place. [02:01:50] S4: Are you [02:01:50] S0: a pit bull guy? [02:01:51] S1: You like pit bull? [02:01:51] S5: No. Not a big pit bull guy. [02:01:52] S0: What about mister three zero five? [02:01:54] S1: I like a I like a golden retriever. That's my that's my dog. Even though I have [02:01:58] S0: I don't mind him. [02:01:58] S1: I like Newfoundlands. But Bending [02:02:00] S0: Spoons opened at around $30.29, $31 a share. It's now at 40. Nice little pop. Bill Gurley. Good job. In shambles.
02:02:00 · Jordi Hays, John Coogan, Wayne Ting
[02:02:00] S0: Spoons opened at around $30.29, $31 a share. It's now at 40. Nice little pop. Bill Gurley. Good job. In shambles. [02:02:15] S1: A very modest pop. He only gets mad when it's like up two x or three x. 40% pop, not too bad. Not not not probably. Probably we we probably will not get a post from Bill Gurley about this one. [02:02:28] S0: Luca is clearly just an absolute animal. Yes. Like, he's just like a guy who's just gonna he's got the blinders on. He's gonna just keep executing the strategy. He's gonna own every iconic American company in time, running them out of a castle in Milan. He's clearly like he's clearly like [02:02:51] S1: Like bag seven? He's clearly years. I will [02:02:54] S0: all He's clearly drooling over Snap. You know that every day he's just is texting [02:03:00] S1: No. Like, [02:03:03] S0: you up? Sell now? Question mark. No. But I mean that's the kind of that's the kind of like I would say in the fullness of time, Spiegel's obviously happy running the business. But that that to me would be like a [02:03:16] S1: But white social networks and network effects businesses seem uniquely durable in the long term. And I wonder if that's where they'll get into next. A lot of these businesses have recurring subscriptions. They have great businesses. Some of them are enterprise. Lots of stickiness in the revenue, but would be interesting to see them at the helm of a true social network, potentially even a grinder. [02:03:38] S9: I want anyone.
02:03:38 · Wayne Ting, John Coogan, Nick Grossman
[02:03:38] S9: I want anyone. [02:03:40] S1: Our next guest is in the waiting room. We have Nick Grossman from USV. He's a general partner, and he's here to break down the rebel alliance thesis. [02:03:50] S7: What's up, guys? [02:03:51] S1: How you doing? [02:03:52] S7: I'm doing great. How are you? [02:03:53] S1: So you're fighting against the Death Star. What you first introduce yourself. Tell us a little bit about yourself, your general investing thesis, and then break down the Rebel Alliance thesis. [02:04:03] S7: Yeah. You got it. It's great to be here. [02:04:05] S1: Yeah. Great to you. [02:04:06] S7: I'm Nick. I'm a partner at Union Square Ventures. I've been at USC for about fifteen years. And we've over that time It's my been investing overnight success. Bingo. Been investing up and down the stack and across, you know, moments in time when different sort of layers of technology have have emerged and, you know, open the door to lots of new stuff. And it's I think if there's one thing that's consistent about the way we look at the world, it's like every sort of wave of technology is either kind of expansive or consolidating, and those moments where it starts to feel expansive are just incredible. Right? So back in our history, the first one was like Web two. [02:04:50] S1: Yep. [02:04:50] S7: You know, you had built the the core Internet, and now you could build anything on top of it. The other one, you know, for us, it was, you know, Twitter was probably, like, the big investment from that era. If you look at, like, the crypto era
02:04:50 · Nick Grossman, John Coogan
[02:04:50] S7: You know, you had built the the core Internet, and now you could build anything on top of it. The other one, you know, for us, it was, you know, Twitter was probably, like, the big investment from that era. If you look at, like, the crypto era [02:05:02] S1: Wasn't USB also in, like, Tumblr and Etsy and, a like, bunch of other companies from that era? It was a great portfolio.