logo
episode-header-image
Jan 2022
40m 26s

20VC: How I Lost a $125M Deal with Yahoo...

Harry Stebbings
About this episode

Ali Partovi is the CEO @ Neo, a mentorship community and communal VC fund that announced their new $150M fund last year on the back of early hits from Fund I including Vanta and Kalshi. As an angel, Ali has made personal investments in Dropbox, Uber, Airbnb, Facebook, Convoy and many more. Prior to investing, Ali founded 2 companies, the first; LinkExchange which he sold to Microsoft for $265M in 1998 and the second, iLike which was acquired by Microsoft in 2009.

In Today’s Episode with Ali Partovi You Will Learn:

1.) How Ali made his way into the world of startups with the founding of his first company? How Ali made his way into angel investing and then starting and raising Neo, as a fund?

2.) How To Kill a $125M By Being Too Honest:

  • How did Ali lose this $125M with Jerry Yang and Yahoo?
  • What led Ali to believe that Paul Graham was so special in 1995? What would Ali have done differently with the benefit of hindsight?
  • How does Ali feel about investment misses today? What are his biggest misses? How has it impacted his mindset and approach to investing?

3.) The Meeting with Steve Jobs Did Not Go Well:

  • Why did the meeting with Steve Jobs not go well?
  • What was wrong with the way Ali phrased his final statement? What did this teach Ali about how founders should communicate the difference between hype and reality?
  • What did this experience teach Ali about how founders should run both fundraising and M&A processes? How does Ali build trust with every touchpoint?

4.) U2, Airbnb and Google at Seed:

  • How did Bono come to save the day for Ali for his startup in 2009?
  • What did this teach Ali about how to frame risk and when to go all in vs hold back?
  • How did Ali miss investing in the seed for Airbnb? How did he make up for it with a later investment?
  • How did Ali come to miss investing in the Google seed round? Does FOMO haunt Ali today?

Item’s Mentioned In Today’s Episode with Ali Partovi

Ali’s Favourite Book: Sapiens: A Brief History of Humankind

Up next
Yesterday
20Growth: The Death of Growth Teams? | How Hubspot Use AI to Triple Email Conversion | The Future of AI SEO | Why Prompt Engineering is the New Coding | What Every CMO Needs to Know About AI in 2025
Kieran Flanagan is the CMO at HubSpot, where he’s led the transformation of their growth strategy from SEO-led to multi-channel and AI-powered. Formerly SVP of Marketing, he helped scale HubSpot’s user base to millions and revenue past $2B. Before HubSpot, he drove breakout growt ... Show More
1h 15m
Jul 10
20VC: Daniel Gross and Nat Friedman: Acquired by Meta | OpenAI’s SBC Bombshell: More Stock Comp Than Revenue | Privat Equity is Back: Olo Bought for $2BN | Microsoft Lays Off 9,000 People: Is This Just the Start | Will Sequoia Part with Shaun Maguire
Agenda: [00:00] The AI Talent Crisis No One’s Ready For [03:00] Daniel Gross and Nat Friedman: Why Two Legendary VCs Walked Away From $1B to Join Meta [12:00] Meta’s AI Talent Magnet: Will It Actually Work? [15:00] Cursor Is Breaking the Market: Can Anyone Compete? [18:30] OpenAI ... Show More
1h 7m
Jul 7
20VC: Scott Galloway on Are Billionaires Happy & The Impact of Money on Psychology and Self-Worth | Becoming a Better Father & Husband | Why We Should Drink More and Not Work From Home | The Tinder Effect & How it Makes Young Men Radical
Scott Galloway is a Professor of Marketing at NYU Stern, where he’s taught for over two decades. He’s the founder of several successful companies, including L2 (acquired by Gartner for over $150M), Red Envelope, and Prophet. He’s a New York Times bestselling author of four books ... Show More
1h 10m
Recommended Episodes
Jan 2021
15 years of investing experience - what do founders do wrong? By Ali Jamal
Ali Jamal, Growth and Product Executive, Founding Partner at First Check Ventures, Angel Investor and a Startup Advisor talks about the major mistakes that founders make while pitching their ideas. We also spoke about what qualifies as a competitive advantage for a startup and ho ... Show More
29m 43s
Sep 2018
SaaStr 192: Why Multi-Year Deals Are Not All Good, What Whatever Funding You Think You Will Need Double It & The Challenges of Building A Company and A Category Simultaneously with Michael Katz @ mPar
Michael Katz is the Founder & CEO @ mParticle, the customer data platform that integrates all of your data and orchestrates it across channels, partners and systems. To date, Michael has raised over $75m in funding with mParticle from the likes of Social Capital, Greylock Partner ... Show More
29m 51s
May 2023
From Doctor to Multi 7-Figure Digital Creator with Ali Abdaal
IMPORTANT NOTE: WE’RE BACK! On July 14th 2023, we’re coming back to London for the first time since November 2019! The 1-Day Business Breakthrough is a full day, live event experience that brings together entrepreneurs from all industries and at all levels of growth to learn the ... Show More
36m 58s
Jul 2023
Secrets of Successful Startups, Changing The World Through Charitable Giving, And Getting Free Access To Stanford Education | Adam Nash
This Millionaire Mindcast episode is sponsored by BetterHelp. Give online therapy a try at betterhelp.com/MINDCAST and get on your way to being your best self. Today, we have a wonderful guest, Adam Nash who imparts a lot of value from his entrepreneurial journey, tips for succes ... Show More
53m 10s
Mar 2024
How Neil Patel Spends $200K a Month
There was a time when Neil Patel said a $15k/month burn rate was all he needed. But now his monthly burn is $200k. Roughly. He’s not completely certain… because he doesn’t budget. So what changed in his life to make his burn rate increase nearly 14 fold? That’s what this episode ... Show More
31m 13s
Apr 2024
Illiquid Assets and Over-investing in Yourself
If you’re already living the lifestyle you want, what is the point of liquid assets?Is there too much risk in tying up the vast majority of your assets?And more importantly, if you already have far more money than you’ll ever need, what is the purpose in continuing to invest for ... Show More
34m 35s
Jun 2023
Icahn Gets His Way
Carl Icahn gets what he was after as Illumina’s CEO steps down but what does this mean for the company’s potential big acquisition? (00:21) Jason Moser and Deidre Woollard discuss: - If Illumina’s CEO’s exit will impact the company’s moves to acquire Grail. - Carl Icahn’s history ... Show More
25m 6s
Sep 2023
The Airbnb Millionaire - A Guide to Building, Scaling, and Running a Successful Hospitality Investment Business | Michael Elefante (Replay)
In this episode of the Millionaire Mindcast, we are joined by Michael Elefante, who shares his experience around how amazing AirBnB and hospitality are, what is the criteria for great hospitality assets, building social media presence, and a guide to building, scaling, and runnin ... Show More
40m 26s