Jon Medved is an influential entrepreneur, venture capitalist, and startup ecosystem leader. He is the founder and CEO of OurCrowd, a leading global investment platform that focuses on equity crowdfunding and connects investors with early-stage companies. OurCrowd enables accredited investors to invest in startups and provides support and mentorship to these companies. We met Jon at OurCrowd Offices during our visit to Jerusalem.
One of the first questions Jon asked us was 'how many of you invested in Venture Capital?' - the number was 0. "See this is the problem!", Jon said, "The aim of OurCrowd is exactly to democratize Venture Capital Investment by giving everyone, institutions, and individuals, access to emerging companies".
The success of venture capitalism requires diversification, only 1 out 10 ventures will succeed making up for all the losses from the other ventures. This “Power Law” frightens away investors pushing them to wait for the company to go public before investing. In the last years however, the Pre-IPO lifetime of ventures has increased by 8 years and valuation multiplied by 9 on average making it more crucial for investors to enter the capital earlier. OurCrowd operates by conducting due diligence on potential investment opportunities and selecting companies to feature on its platform. Accredited investors can then choose to invest in these companies through OurCrowd, often with a minimum investment requirement, typically around $10,000 USD.
Today OurCrowd holds over 300 portfolio companies and venture funds with more than $1.9B in committed funds covering many sectors from food tech to cyber security. Last year alone, OurCrowd invested in 130 deals, out of which 48 were new companies.
When discussing the critical elements contributing to OurCrowd's success, Jon emphasized the importance of investment diversification and cultivating robust connections with the founders. "When you have a good founder - funding comes", he said. Jon has collaborated with several founders coming from all over Israel, some of whom he had known personally, along with their families, prior to embarking on their entrepreneurial journeys. Jon moved to Israel after growing up in Califronia. He lives in Jerusalem with his family, prefering the spiritual and the family oriented culture of Jerusalem over the scenic beaches of Tel Aviv.
Our day at OurCrowd concluded with a talk from INSEAD's 2000D Alum Ofer Shoshan. He is currently a Venture Partner at OurCrowd and explained the traits that he looks for in prospective ventures. Ofer gave some valuable perspectives on balancing work and life outside of work, as well as creating a life as a global cosmopolitan which was relevant to all of us as INSEAD students.
To Jon and Ofer, we cannot thank you enough for sharing your office, time, and considered perspectives with us.
