1990s
The host says Benchmark was the first venture capital firm to have a website, in the mid-1990s.
“They were actually the very first venture capital firm to have a website in the early 90s.”
Topic
Benchmark
49 facts from 4 episodes, in date order. These are what speakers said on the shows, each linked to the moment it was said. They aren't independently verified.
1995
Benchmark's first fund totaled $85 million, with Horsley Bridge as a major early investor.
“they're a big investor in that Fund 1, which ends up being an $85 million fund”
1995
Benchmark Capital launched asking for a 30% carry, above the industry standard of 20%.
“Benchmark comes out, the new Benchmark Capital, swinging right out of the gate with 30% carry.”
1995
According to the hosts, Stanford's endowment blackballed Benchmark during its first fundraising and later became an investor after its management team turned over.
“Literally, Stanford black balls benchmark. Insane. Totally insane.”
1995
Benchmark's founders handed investors a copy of Jim Collins's book Built to Last while raising their first fund.
“They actually hand a copy of the book to every LP as they're pitching them, going around for Fund 1.”
1996
Founding partner Val Vaden left Benchmark at the end of 1996 and went on to found Vector Capital.
“at the end of 1996, Val ends up leaving the firm, leaving the equal partnership”
1997
Webvan's early round was $7 million, split between Benchmark and Sequoia's Mike Moritz.
“So it's a $7 million round. Benchmark splits the deal with Mike Moritz at Sequoia.”
1997
Benchmark offered to invest $6.7 million in eBay in a Series A at a $20 million pre-money valuation.
“to invest $6.7 million total in the company in a Series A financing at a $20 million pre-money valuation.”
1998
At eBay's September 1998 IPO, Benchmark's stake was worth $400 million.
“At the IPO in September 1998, Benchmark's stake of the $6.7 million they invested is worth $400 million.”
1999
Benchmark agreed to invest $15 million in LoudCloud at a $45 million pre-money valuation.
“which was a $45 million pre-money valuation. And Benchmark is going to invest $15 million in the company.”
1999
Amazon bought Benchmark-backed payments startup Accept.com for $175 million of Amazon stock.
“They swoop in and they buy accept.com for $175 million of Amazon stock.”
2000
Benchmark raised a $750 million Europe fund and a $220 million Israel fund alongside its billion-dollar U.S. fund.
“They raise a $750 million Europe fund. They raise a $220 million Israel fund.”
2004
Benchmark was conflicted out of investing in Facebook's Series A because it had already invested in Friendster.
“Benchmark had invested in Friendster. And so was conflicted out.”
2005
Around 2005-2006, David Byrne, Andy Rachleff and Alex Balkanski stepped back from Benchmark and took no carry in the new fund.
“In the 2005, 2006 fund they raised then, they all step back and they don't take tail economics”
2006
A Benchmark partner recalled that the first big dinner had four outside guests, naming Caterina Fake, Mike McHugh, Gideon Yu and Martin Mikos.
“No, we had four outside guests. Katerina Fake, Mike McHugh, Gideon Yu, and Martin Mikos, if I'm not mistaken.”
2007
Benchmark's first big partner dinner took place around 2006 or 2007, according to a partner's recollection.
“we did a big dinner towards the end of the year. And I think it was, like, 2007.”
2011
Benchmark raised $550 million for its seventh fund in 2011.
“and they raised $550 million for Benchmark Fund 7”
2011
Benchmark led Uber's $10 million Series A at a $60 million post-money valuation in 2011.
“A $10 million Series A at a $10 million at a $60 million post-money valuation.”
2014
Eric Vishria's first Benchmark deal was Confluent, a $7 million Series A at a $24 million post-money valuation.
“His first deal was Confluent. Series A, 7 million at a 24 post.”
2014
A Benchmark partner joined the firm in 2014, at the end of the era the hosts called the Fab Four.
“when I joined Benchmark in 2014, at the end of the Fab Four era”
2014
The first investment to come in after a Benchmark partner joined in 2014 was Confluent, according to the partner.
“lucky enough, the first investment that walked in the door was confluent.”
2017
Sarah Tavel became Benchmark's first woman general partner in 2017.
“The first woman investor and ipso facto GP.”
2017
Sarah Tavel's first Benchmark investment was Chainalysis, valued at about $8.6 billion at the time of recording.
“Benchmark, I believe, owns a meaningful part of that company, which is currently valued at $8.6 billion”
2018
A 2018 Wall Street Journal article reported that Benchmark's 2011 fund was at a 25x gross multiple.
“according to a 2018 Wall Street Journal article, they reported that before fees, the 2011 fund was sitting on a 25x on that $550 million.”
2018
By 2018 Benchmark's Uber holding was worth about $8 billion.
“In 2018, when that Wall Street Journal piece came out, their holding in Uber was worth $8 billion.”
2018
In February 2018 Benchmark sold almost half its Snap stake, realizing about $1 billion in gains.
“February 2018, Benchmark sold almost half of its stake in Snap and realized a billion dollars in gains.”
2022
Four of Benchmark's five partners at the time had previously been general partners at other firms.
“Because four of the five of you were GPs at other firms.”
2022
Each Benchmark partner makes only one or two new investment commitments per year, and the partners call them commitments rather than bets.
“each of us make one or two of these commitments a year. Not bets.”
2022
At the time of the dinner, Benchmark was deploying its tenth fund, according to a partner.
“I joined right before our ninth fund. And so I've been here through fund nine and we're now deploying fund ten.”
2022
Asked why Benchmark has a principal role despite its ethos, Peter Fenton answered that forced consistency is the hobgoblin of little minds.
“because forced consistency is the hobgoblin of little minds, which is a famous quote”
Undated
Bill Gurley met Skype and liked it, but Benchmark lost the deal amid confusion over whether its U.S. or European team should lead it.
“He met Skype, likes Skype, goes right up his alley, right up Benchmark's alley.”
Undated
Peter Fenton joined Benchmark from Accel, the firm that had just invested in Facebook.
“And Peter joins from Excel, which had just done Facebook.”
Undated
A Benchmark partner named Bill had just read a biography of Ben Franklin when the idea of regular partner dinners at Benchmark took shape.
“Bill had just read the Ben Franklin biography.”
Undated
A Benchmark partner took the idea for the firm's non-hierarchical dinner table from a table called The Seven by French designer Jean-Marie Massaud.
“And so I'd seen this table, The Seven, by Jean-Marie Massoud, who's a French designer, and ran with the idea.”
Undated
Ole Lundberg designed Benchmark's dinner table from a hand sketch given to him by a Benchmark partner.
“Ole Lundberg designed it. I gave him a hand sketch and he ran with it.”
Undated
Benchmark's partner dinners have included guests such as Toby from Shopify and Jeff Bezos, and the partners travel to Bezos rather than bringing him to the table.
“Toby from Shopify. Jeff Bezos has been, we travel to Jeff.”
Undated
Bruce Dunlevie said that Benchmark's one rule was no pre-selling a deal to partners in the hallway before a vote.
“our one rule was no pre-selling a deal. Like, you can't walk around the hallway and say, like, hey, I'm super excited about this one later.”
Undated
Benchmark's Monday partner meeting has no fixed agenda or list of topics to work through, according to a partner.
“And that is the beauty of that Monday meeting, which is that we don't have a next topic to jump to.”
Undated
Former Benchmark partners are officially limited partners, meaning outside investors, in the firm's funds.
“the official relationship is their LPs. That's the official relationship. There are LPs with us like other LPs.”
Undated
A Benchmark partner said he sat on the board of Docker, which raised between $200 million and $300 million of capital.
“I was on the board of a company that racked somewhere between $200 to $300 million of capital.”
Undated
Docker was called dotCloud when Benchmark invested in it.
“And when you invested, it was called dot cloud, right? Dot cloud.”
Undated
A Benchmark partner said he wants the group to set a high watermark for fund multiple, rather than expand into growth investing.
“I would like this group, I guess I'm part of this group, to set a high watermark for a multiple on a fund.”
Undated
A Benchmark partner said he expects a company worth more than $100 billion to be founded about every two or three years, independent of market cycles.
“And then about every two or three years, a company is going to be found out that's going to be worth more than $100 billion.”
Undated
A Benchmark partner estimated that the firm's largest limited partners commit roughly $25 million to $30 million per fund, and said the figure could be wrong.
“They're like 25, 30 million. I could get it wrong. I probably pissed one of them off”
Undated
A Benchmark partner said that as an investor in the fund he pays carried interest and management fees to his fellow general partners.
“As a GP, I pay carried interest and management fee to my fellow GPs as an LP.”
Undated
A Benchmark partner said that over the roughly 15 years he had been at the firm, investments made before Benchmark gets involved had grown by at least 30 times and perhaps 100 times.
“the investments that are occurring before we get engaged have gone up by about a hundred X, at least 30 X.”
Undated
New Relic was incubated in Benchmark's office, according to a partner.
“You're like new relic was incubated in our office.”
Undated
After Benchmark announced its Chainalysis investment during the ICO boom, a partner said two people asked why the firm backed a software-as-a-service company instead of tokens.
“two people, I remember calling me after we announced it, it's like, you invested in, like, a SaaS company?”
Undated
A Benchmark partner said that when Barry Diller asked what Benchmark wanted in connection with Tinder, the firm asked for equity without putting in cash.
“Barry Diller said, what do you want? And it's like, well, we want equity in Tinder.”
Episodes