Empowering Up-and-Coming VCs with Pear’s Emerging Managers in Residence Program
Venture capital firm Pear VC made waves last year when it raised a staggering $432 million fund, a significant leap from its previous $160 million fund. Co-founder Pejman Nozad proudly declared that this milestone signified their firm had found its “own product-market-fit,” solidifying their position in the industry after 11 years of operation.
Acknowledging the challenges faced by emerging venture funds, Pear recently introduced the Pear Emerging Manager in Residence program. This innovative initiative aims to nurture the next generation of VCs by offering three pre-seed and seed venture funds the opportunity to collaborate within Pear’s offices. This collaboration includes sharing deal flow, conducting due diligence, and accessing valuable resources.
In a generous gesture of support, Pear will also provide a $250,000 investment in each of the selected managers’ funds. Additionally, the program offers introductions to potential limited partners (LPs) and early access to companies participating in Pear’s accelerator program. These privileges are typically reserved for partners at renowned firms like NEA, Lux Capital, and Sequoia Capital, highlighting the exceptional opportunities provided by Pear’s program.
The brainchild behind the Emerging Manager in Residence program is Pear partner Kathleen Estreich, who brings a wealth of experience from her previous venture, MKT1 Capital. Recognizing the importance of operator-turned-fund managers in the VC ecosystem, Estreich’s vision resonated with Pear’s founders, leading to the creation of this residency program under her guidance.
Pejman Nozad explained, “We picked three emerging managers and gave them full access to what we do. We invested in their funds. They see our deal flow and how we evaluate deals. We give them an office, and we help them fundraise.” This hands-on approach sets Pear apart in its commitment to actively supporting the growth and development of emerging VCs.
While Pear is not the only firm engaging with emerging managers, its direct investment from the latest fund sets it apart from others like Bain Capital Ventures, which operate a fund-of-funds approach. Estreich emphasized the unique bond formed between Pear and the chosen managers, describing them as an extension of the firm. This immersive experience aims to accelerate the managers’ journey towards establishing successful venture funds.
The inaugural members of Pear’s emerging manager program boast diverse backgrounds and expertise that contribute significantly to the early-stage ecosystem. Sarah Smith of the Sarah Smith Fund, John Gleeson of Success Venture Partners, and David Ongo Ongchoco and Adarsh Bhatt of Comma Capital were selected for their distinctive value-adds and potential to drive innovation within the industry.
Gleeson’s leadership in organizing the largest customer success meetup in the country, Comma Capital’s robust community of mid-career engineers, and Smith’s unique approach to engaging with founders highlight the program’s emphasis on fostering diverse talents and perspectives. Estreich emphasized that the program will run for a year with plans to welcome three new VCs into the fold within the next 12 months, ensuring a continuous cycle of growth and learning.
The Pear Emerging Manager in Residence program stands as a beacon of support for up-and-coming VCs, providing them with unparalleled access to resources, mentorship, and networking opportunities. By investing in the future of the venture capital landscape, Pear sets a precedent for collaboration and innovation that will shape the industry’s trajectory for years to come.
