Chris Olsen, co-founder of Drive Capital, recently shared the firm’s unorthodox investment thesis on the StrictlyVC Download podcast. Produced by Maggie Stamets, produced by TechCrunch Editor-in-Chief Connie Loizos. They dive into the current “venture reckoning” roiling the industry and discuss how Drive Capital differentiates itself from the pack with its far more successful model.
Founded by Olsen and Mark Kvamme, Drive Capital uses a contrarian strategy that is different from the normal venture capital model. In this regard, Drive Capital distinguishes itself by staying smaller in fund size and seeking nontraditional ownership stakes. Unlike most firms blinded by sparkles Silicon Valley, they love investing in second-tier ecosystems including Columbus, Ohio. This strategic pivot has allowed the firm to secure returns where others have struggled, thereby positioning it as a leader in the evolving venture landscape.
Their professional relationship started at Sequoia Capital, where the two first worked together and then went their separate ways three years ago. Their mutual experience, networks and industry know-how made them a strong foundation for starting an independent venture capital firm like Drive Capital. In their podcast appearance, Olsen shed light on how their approach has attracted Silicon Valley billionaires who are increasingly looking to Columbus for investment opportunities.
Maggie is currently based in Denver, Colorado. She’s key in creating our StrictlyVC Download podcast, which you can hear new episodes of every Tuesday. Stamets graduated from Hofstra University in New York with a BA in Journalism and a minor in English. Her creative approach, combined with her deep field experience, guarantees that every session is engaging while remaining true to the planning disciplines represented.
Today, the “venture reckoning” underscores the precarious waters that this investment community is currently treading. These challenges consist of transitions in market conditions and developing financier states of mind. As we discussed on the podcast, Olsen noted that Drive Capital’s approach is unique among these challenges. In particular, he called attention to their ability to identify high-potential investments deep outside of coastal tech hubs. This approach has made their portfolio stronger while creating a significant positive economic impact in these often-overlooked markets.
