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How does Sydecar support and enable emerging managers on AngelList, and how do these managers build and engage with their audience and LPs?

Nik Talreja

Co-founder & CEO at Sydecar

I think it may help to think about who would use AngelList, first, and then, we can think about the world outside of AngelList. By no means am I trying to pontificate around what people should do. But speaking from my own personal experience, although I had a close tie to AngelList when I started syndicating my first few deals, I did not want to use AngelList because I wasn't relying on them for capital. 

The major value prop of using AngelList is, if you don't have access to LP capital, they can help connect you with LPs and capital.

Now if you’re an aspiring venture capitalist, especially if your goal is to raise a fund at some point, I would argue that bringing your relationships to a marketplace, and building your business there, isn’t in your best interest.

The marketplace model also means that AngelList is associated with retail investors. There’s a stigma there. Some companies don't even want their deals on AngelList because they feel being associated with them may be a negative signal to other investors in their cap table. I don't think it's necessarily right, because I feel AngelList has a strong value prop, it's a huge value to the community, but the stigma exists. 

For those reasons, more emerging VCs –especially new segments entering the ecosystem like athletes and influencers – would prefer not to use AngelList today.

Find this answer in Nik Talreja, CEO of Sydecar, on powering the future of secondary trading
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