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Corporate comms for the startup soul • ZebethMedia

 Hello and welcome back to Equity, ZebethMedia’s venture capital focused podcast where we unpack the numbers and nuance behind the headlines. Today we have something a bit different for you. In light of the never-ending Musk-Twitter saga, and news that the new social media CEO had cut its corporate communications staff to the bone — and then some. So to get more perspective on the role that a corporate comms team plays in both startups and public companies alike, we wrangled two folks who have just that experience set: Kelly Boynton, senior director of communications at Gusto Keyana Corliss, until recently the head of global communications and PR at Databricks The pair discussed the role that comms plays in companies both internally and externally, and why it deserves a seat at the decision-making table. Given the media furor surrounding Musk himself, you can imagine that we had a lot to talk about. Oh, and Keyana has a podcast that I was a guest on, in case you want to hear more from her! Regular service returns tomorrow! Equity drops at 7 a.m. PT every Monday and Wednesday, and at 6 a.m. PT on Fridays, so subscribe to us on Apple Podcasts, Overcast, Spotify and all the casts. ZebethMedia also has a great show on crypto, a show that interviews founders, one that details how our stories come together, and more!

Investors are looking for market opportunity, not just size • ZebethMedia

Bill Reichert Contributor More posts by this contributor Interest Rates, Unicorns And What The Fed Means To Silicon Valley Every pitch deck needs to have a “Market” slide. Unfortunately, most entrepreneurs get the market slide wrong. That’s not necessarily their fault. The fault lies in the pitch coaching industry that insists that every deck include a slide with TAM, SAM and SOM. (total addressable market, serviceable addressable market, serviceable obtainable market or variations on these terms.) You can find templates for this slide all over the internet. Almost always, the template has three bubbles. Sometimes they appear side by side, like the porridge bowls of the three bears, and sometimes they are elegantly nested within one another, like a matryoshka doll. The mythical market size claim It’s amazing how this three-bubble market size slide has spread. It seems that everywhere I go on the planet, from Stockholm to Shenzhen, entrepreneurs are using a similar slide. Typically, entrepreneurs claim, “Our global TAM is $X billion, but we are going to start out in a certain part of the world, where our SAM is $Y billion. And we conservatively project that our SOM is $Z billion.” At times, they also show a very precise compound annual growth rate (“with a CAGR of 17.65%”) to demonstrate their analytical rigor. The typical market-size slide is obsolete. It’s clear why entrepreneurs try to pump up their market size. They’ve been told that venture capital investors are only interested in unicorns, and so they assume that the best way to become a unicorn is to go after the largest market possible. Presumably, the thinking is that it is easier to get 2% of a very large market than it is to get 20% of a smaller market. So, they earnestly search for market data that allow them to claim that their TAM is perhaps $56 billion, or $256 billion, or even better, $2.5 trillion. When this slide appears, most investors chuckle (or weep). Not only are the numbers always exaggerated, they are also irrelevant. Market size vs. market opportunity

Zennström calls the end of high-valuations era, says founders and VCs must remove stigma of downrounds • ZebethMedia

As the world moves into economic head-winds and geopolitical uncertainty, European founders must get used to taking tough decisions to ensure the survival of their startups. This will include getting used to ‘flat’ or ‘downrounds’ of funding, after experiencing the high valuations of the last couple of years. That was the message today at the Slush conference in Helsinki from Niklas Zennström, the iconic Skype co-founder, Atomico CEO, and one of Europe’s most famous tech players. In a keynote address Zennström gave a blunt assessment of the economic environment, while unpacking how he failed several times in his own career during tough economic conditions. Talking about how he had to wind down two of his own businesses prior to Skype, he said today’s entrepreneurs would now need to turn their attention to the long term success of their companies, and survival, rather than the ‘good times of the bull market’ and the high valuations of the past, and that this would mean tough choices.  Zennström said despite the bad reputation of downrounds (a financing in which a company sells shares of its capital stock at a price per share that is less than the price per share it sold shares for in an earlier financing) or a flat round (a funding round in which a startup issues shares at the same post-money valuation as during its previous fundraising round, effectively meaning that the value of the company has gone down), startup founders may have to accept these as the price to pay for keeping their companies alive for the longer term. “There’s a stigma. We’ve turned the down round into a worst case scenario. We’re embarrassed about what it might say about our business, that it’s worth less now than it was a year ago,” he said. He pointed to data from Pitchbook showing an uptick in down rounds in Q3 this year, with almost 19% of all European VC funding now fitting this criteria. This is up from 12% in Q2, and the trend is continuing into Q4.   But he challenged Slush attendees to think about down rounds differently and not to take it personally: “Firstly,  ‘down rounds’ are just a function of the broader market. It’s the reality we’re facing right now. People aren’t willing to pay what they were a year ago for shares in a technology company. Technology investment in Q3 is around 30% down on the same period in 2021. At series A, pre-money valuations have fallen as much as 50 percent from their highs earlier this year. In this environment a lower valuation is no reflection on you. It’s market dynamics.” He added that startup founders currently in fund-raising mode should raise right away: “The biggest issue with down rounds is that people leave them so late. It’s easy to hope the market will improve. I’ve seen founders tempted to put off the raise waiting for things to change. For a company that is pre-profit, that means eating into future runway. And the less runway a business has, the riskier that company becomes.” The alternative after 6 months could mean “a rescue financing littered with aggressive liquidation preferences and exit clauses.. Don’t let that be you,” he said. Lastly, he said down and flat rounds “are really about growth. Raising money strategically, before the point of no return, could prove a masterstroke. Any founder with the courage to raise money early, on clean terms, can continue to scale at a time when others are slowing down and losing talent. This may be the single best time to hire great people away from the competition. Whether the market changes in one or three years, these firms won’t have stood still.” Reflecting on his own experience as a founder, Zennström said he had founded and folded a couple of companies prior to Skype, which was painful, but “in reality, it wasn’t as big a deal as I thought. My team had great experience and got amazing new jobs. And I brought the best people with me to the next idea. The only thing that crashed was my dream… and maybe my ego. But once it was over, I had the opportunity to start afresh. I was even more motivated to prove I could build a successful company.” Ending on a positive note he said: “I started Kazaa in 2000 and Skype a few years later – just after stocks crashed 80% in the dotcom bust. And at first I thought – wow, I missed the boat!… But then a funny thing happened. We managed to find a way through. As our bank balance dwindled, we became more scrappy & cost efficient. What I realised was more resilient and enduring companies come from downturns. And based on what I saw then, and I’m experiencing now, I’ve never been more excited about what Europe is building…” Following the speech, I asked Zennström if he thought it self-serving for a VC to be putting a glossy view of downrounds. He said: “Atomico hasn’t led many down rounds, so this is about my personal experience as an entrepreneur and from situations I’ve seen talented founders struggle with years after Atomico’s initial investment. When a down round comes later, we’re then in the same boat as the founder – we both experience any decrease in value.” He said data doesn’t suggest this funding environment is going away anytime soon, and the current cohort of companies will experience more down rounds: “The problem we have is that a combination of misplaced embarrassment and blind hope that the situation will change is preventing founders from raising at all. That means these founders stop building, and technology stops being developed. This could stop some amazing technologies in their tracks if we don’t kill the stigma. That would be very wrong when Europe has such an amazing toolkit for success in the long-term.” Next month Atomico will publish its annual State of European Tech 2022.

Elephantech wants to create circuit boards that are kinder to the environment • ZebethMedia

Printed circuit boards (PCB), which perform essential functions in electronic devices, including displays and sensors, need a lot of energy to create. Moreover, traditional PCB manufacturing processes generate large amounts of liquid waste and high carbon emissions. Still, there are more environmentally friendly ways of producing PCBs, including additive manufacturing processes that use inkjet and laser printing, while fully biodegradable PCBs are also on the horizon. To get its slice of $90 billion PCB manufacturing pie, Tokyo-based startup Elephantech has developed an eco-friendly PCB called P-Flex, using inkjet printing-based electronic circuit manufacturing technology which it says reduces carbon emissions by 77% and water consumption by 95% compared to conventional processes. The main change Elephantech ushers in to the PCB process is that while electronic circuits are typically made through so-called “subtractive” manufacturing which involves layering an entire surface with metal before dissolving the areas that aren’t necessary, with Elephantech’s “pure additive” process, it only puts metals in place where they are needed to begin with. Nothing is subsequently removed (i.e. wasted). The company also says that its nanoparticle inkjet technology helps cut costs by 32%, through removing a number of procedures from the manufacturing process. To meet its mission “to create a sustainable world through resource-and energy-efficient manufacturing technologies,” Elephantech has secured 2.15 billion yen (~$15 million) in funding, at a 12.3 billion yen ($88 million) valuation, a company spokesperson told ZebethMedia. The new capital, which brings its total raised to approximately 7 billion yen ($50 million) since its inception in 2014, will help the startup scale its business from R&D and its current production volume, which is focused on its domestic market, to target customers globally. Regular circuit Elephantech started the mass production of its PCBs two years ago in its Nagoya facility, and while it is currently focused on single-sided flexible substrates, it plans to produce multi-layered and rigid PCBs, which constitute different layers, including a copper layer, substrate layer and silkscreen layer. The company said that its inkjet printing technology can also be used in other sectors such as healthcare, optics, and textiles. In August, the startup announced a dye removal technology called neochromato, co-developed with Japanese textile chemical company Nicca Chemical. The neochromato process supports removing print from polyester fabrics without using water, and putting new print on the textiles to reuse the material with a different design before recycling to reduce apparel waste. The outfit said the process could reduce about 48% of CO2 emissions when clothes are recycled with a different pattern compared to chemical recycling, which reduces about 20% of the carbon emissions. A number of fledgling startups are working to address and optimize different aspects of the PCB design process, including a company called Celus, which recently raised $25.6 million for a platform that automates circuit board design. Then there’s Luminovo, which secured $11 million to reduce waste in PCB manufacturing by bringing together the entire material and production costing process. So it’s clear that there is a growing impetus to optimize and improve on a technology that powers just about every electronic contraption there is, from smartphones to microwave ovens. Combined with growing environmental concerns and the role that electronics plays in that, Elephantech is perhaps in a strong position to gain traction in global markets, and its latest cash injection will go some way toward helping. Elephantech’s funding round included investments from Anri V Investment, Shin-Etsu Chemical, Nose, Shizuoka Capital, Eiwa Corporation, Nanobank, Mitsubishi Gas Chemical, Kenbishi Sake Brewing, D&I Investment, Epson, Sumimoto, East Ventures and Beyond Next Ventures.

Index Ventures thinks new startups will emerge in the downturn and is putting $300M behind that bet • ZebethMedia

Back in April 8, 2021 Index Ventures, one of the very few ‘original gangsters’ of the European VC scene, said it was kind’ve going ‘back to its roots’. It announced the launch of a new $200 million dedicated seed investing vehicle dubbed ‘Index Origin’. Now, if you cast your minds back, this was during the white-heat tech bull run of last year when valuations hit the roof and startups rarely wanted for funding. Therefore, Index’s new fund name thus paid homage to the firm’s origins as a seed fund, given that in the past it had backed companies like Robinhood, Figma, Deliveroo and Wise, all at the seed stage. During the last few years – despite the pandemic, and in some ways because of it – there was a great deal of competition for cap tables at the earliest stages of startups. But with a global recession looming in the next year, a Crypto ‘nuclear winter’, and external factors like the war in Ukraine, you might think that investors like Index would be drawing in their horns. Not so. Perhaps harking back to the age-old view that the best startups are born counter-cyclically, Index is today upping-the-anti with a second “Origin Fund” which will be a $300 million Seed fund, Yes folks, that’s $100m larger than Origin I last year. With Index Origin II, Index is now investing from three funds totalling $3.2bn. Index’s other funds include early-stage fund Index Ventures XI ($900m), and growth fund Index Ventures Growth VI ($2bn). That means 75% of Index’s initial investments are Seed or Series A. The new Origin fund also appears – not unexpectedly – to be geared to the more modern environment where co-funding for startups can also come from such disparate sources as solo GPs, Angels and many current or exited entrepreneurs. Index says it hopes to repeat the success entrepreneurs such Dylan Field, for whom Index wrote his first check. As an example, Index is banking on the Macro economic downturn producing the next Airbnb, Adyen, Slack, Skype, Google and Spotify — all of those new born during wider economic slumps. It therefore plans to invest in any vertical of interest and in any geography (primarily the United States and Europe, although it’s not explicitly limited to those markets). I asked, why double-down on early stage for Index Ventures? Nina Achadjian, Index Partner based in SF told me via email: “Throughout our experience as early stage investors, we realized that there’s a need for a different kind of early stage fund. Entrepreneurs have long told us that at seed stage, they have been split between choosing well-established investors that have large resources and a big network and seed funds that only focus on seed stage.” The idea, she said, is to combine those two approaches: “With Index Origin, we wanted to make it possible for founders to get the best of both worlds – the resources they need to grow fast, combined with the early-stage expertise and hands on approach. We know it takes a village, which is why we take a collaborative approach at seed investing. We proactively bring in seed funds, solo GPs and angels to co-invest with us so that together we can provide entrepreneurs with the best possible support network and chance of success.” However, why raise a bigger fund than the previous one? “The strategy we took with Origin I when it launched last year has resonated really well with founders. Having invested in 32 companies since its launch, we decided to raise a new fund and increase the size to build on this momentum,” said Achadjian. How did Index find it raise money in this ‘downturn’ environment? Danny Rimer, Partner based in London said, (also via email): “Index is all about conviction. As a result of keeping the main thing the main thing, we’ve taken a very contrarian approach when it comes to investing in crypto and China, and so, unlike our peers, we haven’t invested in these areas. Additionally, LPs really understand the value proposition of Index Origin as a fund that offers the best of both worlds to entrepreneurs.” Is Index seeing more angels and former Entrepreneur/operators, in seed rounds in Europe and the US? “We see more experienced angels joining rounds across all geographies, and that’s a good thing. Building a company requires different expertise, and having angels of different backgrounds is a significant advantage. It’s why we’ve set up Origin II as a highly collaborative fund that’s open to working with seed funds, solo GPs and angels,” said Rimer. How is the early stage environment in the US? And in Europe? What is your prediction for next year? Rimer added: “Unlike the growth stages, where investment pace has slowed down dramatically, at early stages we are seeing healthy activity in all of our regions. In terms of areas of focus, we continue to double down on our core areas including games, marketplaces, enterprise/cloud/SaaS and vertical SaaS, AI, security, fintech & open source.” Does Index plan to do any crypto investments out of this new fund? Rimer: “I wouldn’t rule that out, but as I wrote recently, for us, the lion share of companies we’ve seen up to now in this sector are not ones we would invest in. We see blockchain for what it is: a powerful new technology, but not the new internet. Our hope is that given everything that has happened to this sector this past year, we will focus on companies that want to build real value for users, solving a real pain point rather than something speculative in nature.” In the last few months Index expanded with office opening in New York and hired a new partner in Tel Aviv.

BoomPop gains traction by designing high-end off-sites for our now remote-first world • ZebethMedia

There’s nothing sexy about corporate retreats. But BoomPop, a 26-person, San Francisco-based outfit that the startup studio Atomic launched in 2020, is managing to infuse some sizzle in the historically staid industry. In fact, given what BoomPop is building, one can see it evolve into an option for more than companies looking to more easily plan luxury meet-ups for their far-flung employees, which is how it largely exists right now. It could (conceivably) become a solution for weddings, family reunions, and business conferences and more. That’s assuming the company can make it through what looks to be a long economic downturn. We will say the startup’s pitch is persuasive. Here’s what we know right now, based on an interview earlier today with the company’s gregarious CEO Healey Cypher. The company was born during the pandemic; Cypher, who is also the COO of the startup studio Atomic, was intent on keeping his colleagues’ morale up and began devising increasingly creative ways to do it, including through virtual Napa Valley wine-tastings, magic shows, customized games and the like. Along the way, it occurred to Cypher and his Atomic colleagues that there could be a business in creating a curated marketplace of virtual experiences, and he says that by the end of last, beginning with an email blast to 150 contacts, that business had nearly 2,500 customers who were letting BoomPop plan their virtual team-building exercises. Fast forward to today, and the viability of the business is no longer a question mark, says Cypher. Some of its customers have already paid BoomPop to organize “60 to 70” mini meetups for them – both virtual and offline. In fact, he says the company has been so focused on creating a vibrant marketplace of places to go and things to do that it now features “thousands of hotel options, meeting spaces, activities, photographers who can create sizzle reels of these events and swag” to give to participants as they head back home. It also handles the invitations, creates event pages with agenda, tracks schedule and budget changes and handles payments. (It creates an escrow account for every event  that shuts off when it’s over.) In short, it’s a lot of mini-businesses in one, and it has all been built from the ground up, says Cypher, who claims that so far, 4,000 companies have made arrangements for 150,000 of their employees at an average price of $65,000 per event. Most of those customers — 73%, says Cypher — have never planned or hosted an off-site before. All pay a flat fee that BoomPop guarantees that is “at least 10% to 20% off the best rates you can buy,” says Cypher. The numbers would seem to validate Cypher’s theory that as companies shrink their physical footprint and the associates costs of outfitting those offices, there’s a lot of “new, shiny, found money” that is being spent on extending runway but also on maintain social cohesion, which is ultimately what makes most jobs sticky and their employees loyal. Little wonder that BoomPop isn’t alone in spying the opportunity. In addition to competing with Airbnb Experiences (which is more disjointed), BoomPop is going up against the internal event planning teams within big companies as well as a spate of startups, including the end-to-end retreat planning startup Flok, whose founder was a former Apple engineer (the company went through YC last winter) and Marco Experiences, an L.A.-based seed-funded outfit that is similarly designing off-sites and other experiences for its customers. Still, BoomPop would seem to have some advantages over some of these rivals. First, Atomic is a company-making factory whose best-known brand include the telehealth outfit Hims & Hers, which went public via a special purpose acquisition company early last year and OpenStore, an outfit that is snapping up Shopify storefronts. Atomic hasn’t had a blow-your-hair-back-level exit yet, but it has seen plenty of success to date, including on the basis of how many of its startups raise follow-on rounds and considering that it doesn’t pour a lot of capital into its creations. BoomPop itself quietly raised a previously unannounced round of $14 million back in February from ACME Capital and Atomic, along with Box founder and CEO Aaron Levie. (Levie apparently understands the pain point BoomPop is solving.) Cypher is himself no slouch, having cofounded some of Atomic’s companies, as well as founded his own company before he teamed up with Atomic. That earlier startup, Oak Labs, made a full-length touch-screen mirror for dressing rooms and was acquired for “tens of millions” of dollars three years after it was founded, per Cypher, who was once a retail innovation head at eBay. There are also those headwinds. While a recession could certainly crush a business like BoomPop depending on its severity and length, there’s little question that in the future, companies will need to do more — and should have more free capital to spend — to keep far-flung employees happy and engaged and focused on teamwork. The data tells the numbers. Even with layoffs in the air, offices in the U.S. are still less than half full, according to recent data out of the security firm Kastle Systems. Companies are adjusting in real time. According to a July survey of 250 U.S. companies from the flexible workspace software provider Robin, 46% of companies plan to cut their office space in the next year. Of those outfits, 59% said they would shrink their space by more than half. From left to right, BoomPop’s cofounders (dressed ironically in suits — we’re told they do not actually wear suits): Vaibhav Chauhan (revenue/operations); Healey Cypher (CEO); and Blake Hudelson (product/design). Not pictured: Atomic CEO Jack Abraham.

Korean VC Sopoong closes $8M fund for startups focused on environmental impact • ZebethMedia

Two years ago, South Korea unveiled a plan to reach carbon neutrality by 2050. Getting there will be another story. Although Korean manufacturers say they are trying to change their ways, the country’s GDP is linked to some uniquely pollutive industries, including petrochemical producers, automakers and shipbuilders. Though some businesses may never be truly sustainable, a venture firm in Seoul argues that emerging climate-tech startups will help big manufacturers do better overall. Sopoong, a social impact-focused VC, intends to support environmentally minded tech founders in South Korea and Southeast Asia, while building a bridge between Korean conglomerates and startups in the sector. Sopoong has closed on around $8 million (10.3 billion won) for its latest, sixth fund, bringing the firm’s total assets under management to approximately $22 million (28 billion won). I spoke with Sopoong chief executive Max Sang-Yeop Han, a serial entrepreneur who joined Sopoong in 2016 and acquired the firm in 2019, to learn about the VC’s plans. “It is a significant signal for large South Korean corporates participating as limited partners of environmental and climate tech-focused venture capitals like us,” Han said. “Participating LPs [Korean conglomerates] are passionate about climate technology and want to take part to address the climate and environment issue as they agree that the climate crisis is one of the urgent problems.” Korean petroleum refining company GS Holdings and chemical company Isu participated in Sopoong’s climate-focused fund as limited partners as of April, Han said, adding that they will be more like strategic partners to Sopoong. Non-profit organizations such as Asan Nanum Foundation, established by Hyundai Group, and D.Camp, as well as startup founders and executives, including the co-founder and former CEO of Krafton, Gang-Seok Kim, also joined Sopoong’s climate fund, Han continued. The early-stage VC had already set up five social impact funds and backed 81 startups since 2020, after Han acquired the firm in December 2019. Sopoong was launched in 2008 by Jaewoong Lee, who co-founded South Korea’s largest internet portal operator Daum Communication, which merged with Kakao in 2014. Now, the VC firm wants to zero in on the climate crisis and other environmental issues through its sixth fund, but other tech sectors like SaaS and IT will still be on its radar, according to Han. “Two-thirds of the fund will be invested in the environment and climate tech, including renewable energy, agri-tech, and food tech, and the rest will go to the information technology industry investment,” Han said. Its sweet spot is early-stage ventures from seed to series A stages across South Korea and Southeast Asia. Its average check size is $150,000, but the firm can go up to $600,000, Han told ZebethMedia. The sixth fund has already invested in 16 startups, including MetaTexture, a plant-based food startup; Selex, a Vietnam-based electric scooter and battery-swapping technology startup; Myorange, a platform for managing charitable donations; and Function 12, an automation tool that helps users complete coding and design files. Nine of the 16 portfolio companies are participating in Sopoong’s first accelerator program, which launched in June and runs for six months. Sopoong invests up to $350,000 into each startup via the accelerator program and offers mentorship, co-working space, administrative support and networking opportunities with experts. On top of the accelerator, the firm also launched a six-month fellowship program to foster climate tech entrepreneurship. So far, Sopoong says it has selected 13 individuals with master’s or doctoral degrees in environment-related majors, offering them $1,700 in grants per month and other support, including the accelerator program. If participating fellows succeed in founding a startup, Sopoong could make a seed investment, Han said.

Amazon starts delivering layoff notices to thousands of employees • ZebethMedia

To get a roundup of ZebethMedia’s biggest and most important stories delivered to your inbox every day at 3 p.m. PDT, subscribe here. Hello, and welcome to your…checks the top right of the screen…Wednesday. Several of our ZebethMedia colleagues headed to Miami today for the TC Sessions: Crypto event tomorrow. Given the past week, it will no doubt be an interesting event. There’s still time to get tickets. Now, let’s get to some news! — Christine The ZebethMedia Top 3 Even Amazon is not immune: Instead of “no shave November,” we need a “no layoff November.” Who’s with me? Brian writes that following rumors of layoffs, Amazon started making them this week. He also has information from the company’s hardware head, who was able to provide further details. Productivity nerds, assemble!: SigmaOS raised $4 million to develop a Mac browser where you can put your tabs in groups on the left side of the screen, Ivan writes. Ultimatums never work, right?: I guess we’ll see. In Elon Musk’s case, he reportedly sent a late-night email to Twitter workers posing sort of an “Eat Me,” “Drink Me” situation related to their future employment at the social media giant, Amanda writes. One makes you larger and one makes you smaller, but it’s not clear which is the right choice. See also Alex’s story in the TC+ section. Startups and VC Venture capital firms continue to close new funds as they decide their next moves. I wrote about Fiat Ventures, which has a new $25 million fund focused on fintechs, while Connie has details about Bling Capital’s $212 million that will be essentially split between seed-stage and follow-on opportunities and two coasts. And now here’s four more for you: How to turn user data into your next pitch deck Image Credits: James Neil (opens in a new window) / Getty Images Investors might enjoy listening to a well-rehearsed founder’s story, but sharing the right customer data “can definitively power up a pitch deck,” says David Smith, VP of data and analytics at TheVentureCity. “Investors need to see that you’re not being blindsided by easy wins that can go up in smoke within weeks, but are using hard data to build a sustainable company that will endure, and thrive, with time.” Three more from the TC+ team: ZebethMedia+ is our membership program that helps founders and startup teams get ahead of the pack. You can sign up here. Use code “DC” for a 15% discount on an annual subscription! Big Tech Inc. Having been married for 20 years, I’ve completely avoided the whole online dating scene, but I have heard from friends that it’s tough out there. Most people are looking for commitment, but hey it’s 2022, and not everyone is ready for that. Hinge, which touts itself as “the dating app designed to be deleted,” recognizes this and has added a new feature that makes it easier for those seeking non-monogamous relationships. Lauren has more. It is indeed the end of an era: Evernote, the note-taking and task management app, has agreed to be acquired by Bending Spoons, a company you probably just opened up a new tab to do a Google search on. Kyle has the details. And we have four more for you:

My co-founder’s a green card applicant who just got laid off. Now what? • ZebethMedia

Sophie Alcorn Contributor Sophie Alcorn is the founder of Alcorn Immigration Law in Silicon Valley and 2019 Global Law Experts Awards’ “Law Firm of the Year in California for Entrepreneur Immigration Services.” She connects people with the businesses and opportunities that expand their lives. More posts by this contributor Dear Sophie: How can I stay in the US if I’ve been laid off? Dear Sophie: How can students work or launch a startup while maintaining their immigration status? Here’s another edition of “Dear Sophie,” the advice column that answers immigration-related questions about working at technology companies. “Your questions are vital to the spread of knowledge that allows people all over the world to rise above borders and pursue their dreams,” says Sophie Alcorn, a Silicon Valley immigration attorney. “Whether you’re in people ops, a founder or seeking a job in Silicon Valley, I would love to answer your questions in my next column.” ZebethMedia+ members receive access to weekly “Dear Sophie” columns; use promo code ALCORN to purchase a one- or two-year subscription for 50% off. Dear Sophie, My co-founder and I were both laid off from Big Tech last week, and it’s the kick we needed to go all-in on our startup. We’re both first-time founders, but my co-founder needs immigration sponsorship to maintain status with our startup. Do we look at an O-1A in the 60-day grace period? Thanks! — Newbie in Newark Dear Newbie, It’s been a crazy couple of weeks and we have more Big Tech (and startup) layoffs coming. We have lots of educational resources for what to do if you were laid off and you need non-immigrant visa sponsorship or a green card. As explained in last week’s article, there are ways for laid-off immigrants to seek additional time in the U.S. to make their next move. Apparently, almost 25% of laid-off tech workers start their own companies, but I am sure the number has historically been lower for international folks because the ball and chain of the U.S. immigration system can feel weighty. However, there are a lot of ways that you and your co-founder can take to successfully navigate the layoff, the grace period and sponsorship at the new startup. Here’s how: Deadlines and pathways The 60-day grace period is discretionary. We advise conservatively that the grace period begins from the date of termination, although some laid-off individuals will continue to get paychecks for many months. Many of the layoffs are public and WARN Act notices are issued, so the Department of Homeland Security is on notice. That said, if you need more time to set things up properly for your new startup to exist and sponsor your co-founder’s immigration, your co-founder can apply for a change of status to B visitor. As a B-1 business visitor, your co-founder can engage in certain activities legally, such as business formation and fundraising meetings, and request an additional six months of time beyond the 60-day grace period. This application process can run in parallel with immigration sponsorship by a new company. Image Credits: Joanna Buniak / Sophie Alcorn (opens in a new window) Sometimes, you can qualify to sponsor a co-founder for an H-1B transfer so they can work at your startup if you meet the requirements. Additionally, many individuals will use the runway provided by the six months of B-1 status to build their portfolio of accomplishments to qualify for an O-1A visa for extraordinary ability. The O-1 status is available to many professionals, including founders who can demonstrate they are at the top of their field. An O-1A is particularly advantageous for startup founders, because it can be sponsored by an agent for an itinerary of services, including advising other startups for equity, being a venture scout for a VC firm and getting paid as a contractor for speaking engagements in your field. Founders born in India or China are subject to the green card backlogs for individuals, and the O-1A can be a great stepping stone to qualify for and self-sponsor the faster EB-1A green card pathway. Incorporate For either an H-1B, TN, E-3 change of employer or a change of status to O-1A, you should be aware of the importance of setting up your company to successfully sponsor your co-founder and other hires for visas and green cards while also attracting funding from investors.

Israel’s OurCrowd expands to Abu Dhabi • ZebethMedia

Crowdfunding platform OurCrowd, which has now become Israel’s most active venture firm, today announced that it is expanding its operations in Abu Dhabi by launching a new office and AI tech hub — enabled by the Abu Dhabi Investment Office — in the emirate. In total, OurCrowd plans to invest $60 million as part of this move. It’s only been a bit over two years since Israel and the United Arab Emirates normalized their diplomatic ties, but OurCrowd was among the first to apply for a license to operate in the emirate. OurCrowd Arabia opened in Abu Dhabi in 2021 and its new investment center in the country will manage its deals there and also cater to its investors in the emerging market. In total, the firm expects to have a staff of 60 in the emirate. “Following a global search for the most suitable location for IDI and OurCrowd’s new investment center, Abu Dhabi was by far the most fitting destination,” OurCrowd CEO and founder Jon Medved said. “The World Economic Forum ranks the UAE first in the world in best e-infrastructure and macroeconomic stability, and the third most-trusted government. These factors, with numerous other advantages including global talent and market access, underscore why Abu Dhabi is now home to OurCrowd Arabia and OurCrowd’s new AI spinoff, and why we will continue to invest in the innovation infrastructure and talent in the country.” Earlier this month, OurCrowd celebrated that its total investment commitments had crossed $2 billion, just over three years after it hit $1 billion. The firm has now invested in 370 companies, with another 410 held through partner funds. It has seen 60 exits so far and currently plays host to about 220,000 registered investors from 195 countries.

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