Hitting a home run in the world of private cannabis investing comes down to this…

In baseball, if you hit the ball three out of every ten at bats, you have a chance at making it into the record books.

Ty Cobb, Ted Williams, Babe Ruth, and “Shoeless” Joe Jackson all batted well above .300, and it’s going to be hard for anyone else to top their stats.

Mark McGwire, on the other hand, finished his career with a batting average of .268, which doesn’t even put him in the top 1,000 in terms of career batting averages.

However, he did accomplish something remarkable, even if he dabbled with steroids.

In roughly one out of every ten plate appearances, McGwire hit a home run.

And when we thought about it, that’s the perfect analogy for being a successful startup investor…

Hitting a Cannabis Home Run

Sure.

Getting on base is great.

But most people don’t remember a single.

Home runs win games and make baseball players God-like entities.

In the Secrets of Sand Hill Road, Scott Kupor talks about the importance of hitting “home runs” when making a private investment. Kupor is the managing partner of Andreessen Horowitz, a venture capital (VC) firm that has an eye for spotting profitable opportunities.

Andreessen Horowitz has invested in Facebook, Airbnb, Coinbase, and Skype, just to name a few companies.

“In VC, all we really care about is the at bats per home run. That is, the frequency with which the VC gets a return of more than ten times her investment – which we consider a home run. If you do the math, you’ll see that VCs can get a lot of things wrong. Their overall batting average can be even less than 50 percent, as long as their at bats per home run are 10-20 percent, better than the all-time best baseball players,” Kupor said in his book.

Now, we know a lot of our members are excited to learn more about being a successful cannabis startup investor.

We highly recommend starting with our recent briefing on Reg CF investing. After that, check out our interview with Trang Trinh, the CEO of TREC Brands.

TREC Brands is a startup, and Trang offers amazing insight into what it takes to build a successful company. That way, when you’re on the hunt for private deals, you’ll have a deeper well of knowledge to help you make the best possible decisions.

And finally, everyone is free to check out the details about our startup investing research service, Cannabis Venture Syndicate. Not only does Executive Director Don Yocham analyze each and every opportunity, but he also brings you direct access to the CEOs and executives running the companies.

You can ask the CEOs directly how they plan to scale and grow their business.

We just launched two deals this week, and there’s even more in the pipeline heading to members of the Syndicate.

The details are here.

Sincerely,


Comments

5 responses to “The Secret to Successful Startup Investing Comes Down to This”

  1. This is interestingly great. Im deem cared about my Capital on investing into the Cannabis Market. Wanting assurance from the institute that I will not be at loss on the move. ‘Cos Firms and the individuals are hoping on a positive returns on Investing.

    Thank you
    Yours Michael Olanipekun

  2. I know this goes against what you folks are preaching here but there are many crowdfunding portals with hundreds of private equity opportunities in many different sectors. And these private equity opportunities are also rated by Kingscrowd.

    • Hi Donald,

      Thanks for the comment.

      While Reg CFs are certainly one way to invest in a startup, our Cannabis Venture Syndicate Members also have access to Reg A and Reg D deals, which are not rated on Kingscrowd.

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