Big
@firstround
news today!
We’re launching Product-Market Fit Method (a free intensive 14-week experience for early founders building epic B2B SaaS companies) and publishing the first session on our internal framework for all to read (with benchmarks, Looker's real data, and
1/ Excited to finally share some news I've been sitting on: As
@phineasb
and I announced on
@twentyminutevc
this morning, I'm officially joining
@firstround
as a Venture Partner. 😀
Thrilled to join the team that invested in me back when I was a founder.
Seeing founders pitch straight from Figma recently (instead of using Keynote/Google Slides/PDF).
Maybe since they're in Figma all the time already, they just use it when they need to make "slides"?
A microphone that records meetings and dumps the transcripts into Slack. Dropshipping for ecommerce merchants. A team collaboration tool.
These were all ideas
@christinacaci
explored before landing on SOC 2 and
@TrustVanta
. As we were developing
@firstround
's PMF Method, we
Question: how do you successfully sell a product that provides extreme customer value...BUT that value isn't obvious to the customer until after the product is used...AND there’s upfront activation energy required?
Open to any and all ideas/examples…thanks!
There’s no single right way to find PMF. But I’ve met several successful founders with an approach I find interesting.
They start by problem hunting — looking for things people hate doing, or tasks that are tedious and time-consuming...
Services as Software
Seeing some great founders tackle this theme lately across different verticals: SEO, recruiting, growth marketing, trust & safety, legal, etc.
Things that you'd traditionally hire an agency, BPO, or consultants to do for you. But well-designed AI systems
Over the past year, I’ve interviewed dozens of founders on one of the most important, yet elusive, parts of company building: finding product-market fit.
I’m excited to share these fascinating stories in a new series launching on the
@firstround
Review today— details below ⬇️
Before founding Looker,
@lloydtabb
was CTO at several companies. At each one, he built internal data tools to help people understand what was happening in the business. After the third time, he realized that if you’re building the same thing over and over, that’s a signal that
👇My framework for what makes a great product manager. I think this works for about 70% of companies but may look a bit different depending on your industry, business model and size. Is there anything you would add or remove?
📣 I'm looking for a new Chief of Staff to work alongside me at
@firstround
!
You can learn more about what I'm looking for in this critical role and how to apply here:
The founder stories I heard during interviews for
@lennysan
's newsletter have stuck in my mind in every founder meeting I've had since.
The
#1
signal of PMF that I look for now?
Ideas that have been validated with real people.
Here are gems I wish every founder could hear 👇
I don’t know how to comprehend these highlight reels of police brutality (in response to protests of police brutality) and the President sitting back and fanning the flames...
Super excited to kick off PMF Method this weekend with a group of exceptional, accomplished and kind founders 🎉
The reason
@firstround
decided to run this program is pretty simple — we strongly believe that Product Market Fit is the single most important thing for founders to
It’s such a treat to be on
@lennysan
’s podcast today.
We dig into Product-Market Fit Method,
@firstround
’s new framework and program to help B2B founders increase their odds of finding product-market fit.
We cover a lot of ground, including:
🪜 The 4-levels of our PMF framework
AI legal startups are a thing in 2024.
But as
@ironclad_inc
’s
@jboehmig
puts it, “nobody was trying to buy an AI legal assistant back in 2015.”
Ironclad has one of the most interesting and underexplored stories out there IMO. As we were developing
@firstround
's PMF Method, we
I find there are two types of people.
A)
Respond critically in areas they know
Respond skeptically in areas they don’t know
B)
Respond patiently in areas they know
Respond curiously in areas they don’t know
I prefer B.
A lot of founders ask me: “How narrow should I go to find product-market fit?” Product success can happen both ways — narrow and wide.
As
@amasad
from
@replit
shared on our In Depth podcast, they made a key bet to support multiple languages, not just JavaScript, which he called
We recently published the 10th article in our Paths to PMF series! I've learned so much already, and it's reaffirmed how incredibly challenging (but rewarding) the journey to finding product-market fit is. Here are my top 10 takeaways from my conversations with founders:
Just left a meeting with Dylan and Jake*. A total waste of time!! I asked what is going to happen this morning, is Dylan going to BRUSH HIS TEETH? Dylan said, NO. I said bye-bye, nothing else works!! SAD! (*my two young children)
To celebrate
@LaminiAI
’s $25M Series A news today, I revisited
@realSharonZhou
and
@GregoryDiamos
’ original seed pitch deck from August 2022.
Here’s a few observations on what I think they got right that might be helpful to other founders starting out on a similar journey:
📚
Very cool product for WFH -- Remotion.
Just launched today on Product Hunt. Alex(
@embirico
) was a superstar PM at Dropbox. Excited to see what people think!
When they see a consistent pain point often enough, they start by *manually* doing the work for those people.
Through this, they learn the hard parts of doing the task and figure out whether it’s possible to “productize” the work.
If you’re an early-stage founder, finding out what your customers *really* want so you can build the right product is critical. I’m excited to share some of
@FirstRound
’s PMF Method program with
@GaganBiyani
on Friday!
Gagan has founded 3 companies including Udemy, Sprig, and
A SaaS founder recently shared a great framework for identifying painkillers (vs. vitamins):
1. Does the customer have a problem?
2. Are they aware of it?
3. Are they actively looking for a solution?
4. Have they cobbled together a solution?
5. Would they pay to fix the problem?
One reason (of many) I love working at
@Dropbox
-- I've never been at a company where people take the time to write hand-written cards to each other so often. It's such a special, warm company.
1/ How do you evaluate products as a seed investor?
(part 3) 🧵
We see a lot of pre-product pitches
@firstround
. Here's how we evaluate when all we have are:
🖌️ Figma mockups
💻 Slides
🧦 An adjacent proof of concept ('Uber for X')
🔮 A ‘dream with me' scenario
I got a peek at this PMF framework and it's VERY GOOD. If you're an early-stage B2B founder, don't miss this.
And this Thursday, I've got
@tjack
on the podcast who'll share the framework, and many of the lessons he and his team have learned about finding PMF from 20 years and
Christina (
@christinacaci
) is an awesome founder. She uncovered the brilliant insight that became Vanta by interviewing folks about security and listening for their real needs. She had never built a security company before and now runs one of the best.
If it seems possible, then they build the product and iterate with those early customers until the product is able to do 80-90% of the task for them.
Then they launch the product, and no surprise, lots of people want it!
If you’re curious about angel investing, consider applying to Angel Track! It’s the program that helped me discover that I wanted to switch from building to investing ☺️
1/ We've got some exciting news to share. Our Angel Track program was previously run out of our office locations in SF & NYC. Today we’re opening applications for our fall cohort—and for the first time expanding access across the US. Apply here by 8/28
Today's the last day we're accepting applications for
@firstround
's PMF Method! (Get yours in here: )
We've been blown away by the response, and are capping things off with a brand-new resource for B2B builders on The Review today:
Evaluating products as a seed investor (part 4) 🧵
In my
@firstround
Angel Track session on product, the last thing we covered was evaluating business models — these are often tough to predict accurately at seed, and we try to avoid false precision. Here's what we do instead.
1/ I love building + investing in “power tools” — complex under the hood but simple and powerful to the user:
Dev tools
Data tools
Design tools
Productivity tools
Etc.
I like that founders are rethinking all of these with AI.
These are some ideas I’m searching for lately:
It’s a great day for
@rupa_health
as they announce their Series A with
@BessemerVP
!
@TaraViswanathan
is a truly special founder who recognized the huge potential in root cause medicine early on and built a platform beloved by doctors and patients.
There are many ways companies approach product definition, but we tend to see these 3 paths over and over:
🎨 Creating a new product category
🛠️ Reinventing an existing product category
🔐 Unlocking new (or latent) behavior
I’m so excited to welcome
@cjc
to
@firstround
!! Between her deep work company building at Stripe and Notion to her extensive experience angel investing, I know she’ll be an incredible asset to our team and founders. 🙌
📣 After spending 12 years at startups like
@stripe
&
@notionhq
, I’ve joined
@firstround
as a partner! I knew I wanted to make supporting founders my life's work and am thrilled I get to do that as part of an incredible team. Sharing more on that... 1/7
What are the traits of a great Chief Product Officer?
From what I’ve seen, it’s someone who:
✅ Thinks holistically across product and GTM
✅ Acts as the cross-functional anchor (across execs and execs+1)
✅ Attracts great talent and aligns it with company strategy
What else?
Open application for our next partner
@firstround
— please share! We strongly believe that our next partner can and should be from outside our current network.
Some news to share from the
@firstround
partnership: We recently began the search for an additional partner, and have decided to open up the role so that anyone can apply.
Learn more about what we're looking for and how you can get in touch here:
East Bay Engineering friends!
I'm super excited about Snackpass, a food pickup app that's insanely popular on college campuses. They're backed by YC & First Round. I'm proud to be an advisor.
Snackpass is hiring great engineers in Berkeley. Apply here!
Felt super lucky to be part of
@firstround
’s Angel Track — an amazing group of budding angel investors learning from some of the best. Still keep in touch with so many folks from my cohort. Building deep, lasting community is First Round’s greatest strength as a firm.
Grateful to everyone who's helped turn this angel investing experiment into a true community, from the 80 members across the SF/NY cohorts to the investors who share their wisdom every session.
😇 Learn more in this story from
@JoshConstine
@TechCrunch
And that’s a wrap on
@firstround
's PMF Method Summer '24!
An incredible retreat to summarize the last 12 weeks, where we shared learnings, answered burning questions, and gave each other feedback 🎉 I'm so inspired by this group of 20 founders, and can’t wait to see what they
...the only hopeful things right now are the images of police officers marching with protesters in New Jersey, Santa Cruz, and Michigan, and black protesters protecting stores from white looters. Everything else is tragic and chaos.
Wrapping up the first weekend of PMF Method and feeling so excited for these founder journeys!
In Session 2 we talked about “dollar-driven discovery” — how to validate that customers will truly need and pay for your product. This means before jumping on customer calls to
Excited to share the latest from our Paths to PMF series!
I loved chatting with
@retool
's
@dvdhsu
. As a true first principles thinker, he shares a ton of thoughtful (and often unconventional) company-building advice for early-stage founders.
1/ Continuing with Part 2 of evaluating products as a seed investor. 🧵
It's really important to adapt your approach depending on the stage of the product when you see it. As seed investors at
@firstround
, the pitches we see generally fall into one of 6 buckets...
🔍 Here's a question I often ask myself when meeting a new company: If I squint, can I see this product eventually creating a category, reinventing a category, or unlocking new or latent behavior?
When text-to-image models first burst on the scene, it was pretty mind blowing. But as you started using them more, it could also be kinda slow and tedious to get things just the way you wanted. If you’ve had an ultra fast image generation experience recently, chances are it was
Engineering friends!
Vanta, an awesome early-stage security company (YC '18) is hiring. Great team of ex-Dropboxers w/ early product-market fit, growing quickly.
- securing the internet, increasing trust in software companies, keeping consumer data safe
Sometimes getting the right positioning for your startup is more challenging than getting to the product itself.
“Often it’s not that you don’t know who the customer is, it’s that you’re not picking — you haven’t committed to one hypothesis over the other. That’s what creates
I knew these founder stories would be interesting but had no idea how many incredible insights and tales of grit and determination we’d uncover over a couple months of conversations.
I hope you enjoy reading about their journeys and learn the same valuable lessons I did!
What we now know as
@Plaid
started out with a consumer budgeting product. What’s perhaps less well known is that
@zachperret
and
@williamhockey
spent quite a bit of time on this initial idea, building 6 different versions of tools for budgeting, expense management, and analyzing
Last week I had a great time leading
@firstround
Angel Track's Session 4 on Product. We covered 100 slides in 2 hours, but I wanted to summarize it quickly here on Twitter, starting with how to evaluate products as a seed investor — especially when the product doesn't exist yet.
When I discovered
@createwithplay
on Twitter, I spent the whole weekend designing in it.
I was blown away by the UX. I couldn't believe they packed this much power into a mobile UI.
Had a blast at LA
@techweek_
last night! Huge thanks to Eddy for his amazing storytelling and the behind-the-scenes look into
@goatapp
’s journey to product-market fit. And of course, to all the founders, startup enthusiasts, and
@firstround
team for showing up to support 🙌
I've been doing deep dives with founders and keep landing on the same realization:
You can do everything else right but if your idea validation process is broken, you’re in for a rough ride.
It’s fine to trust your gut as long as you validate it too.
Longer post coming soon…
Chatted with a founder on how the CEO role shifts as startups grow from 10 → 100 ppl.
You go from being friends with everyone to being the boss — which can feel lonely.
Also, small interactions that feel insignificant to you can seem really big to the team.
What else changes?
Our PMF Method founders had the chance to learn from founders a few steps ahead of them last night — amazing dinner with
@christinacaci
,
@rauchg
,
@jaltma
,
@jboehmig
, and
@dvdhsu
!
We learned about Vanta’s bet that building the right product would grow the market significantly;
Founders! (especially technical ones)
How you articulate your product benefit is super important, but for many founders a new skill to learn.
Many great frameworks from
@hiiamArielle
:
- The Bar Test
- The Cinderella Spectrum
- The 5-point star test for an interesting brand
New on In Depth:
@hiiamArielle
shares the most common early marketing missteps she's seen after working with hundreds of startups. From category selection and positioning, to brand personality and PR, this episode is full of examples and frameworks.
🎧:
Don’t get married to your first startup idea.
When my co-founder and I decided that we wanted to launch our own company, we went from a sports idea → photo sharing platform → Android personalization app. The third one ended up being Cover, the startup we launched in 2013 and
You don’t outgrow the need for design partners.
This was my biggest takeaway from my conversation with Eilon Reshef on
@Gong
’s path to product-market fit. I was super surprised that even at Gong's current scale (Series E, $7B valuation), his team of 20+ PMs still use them,
True product-market fit means customers a) love your product and b) form a line at your door.
I see startups that achieve a) with a handful of customers, but never get to b).
For companies that have done both...did they do a) first and then b), or did it happen all at once?
Big day for
@remotionco
. Proud to be an investor. They've solved so many of the tedious communication challenges with WFH. Try it out with your team! 👇
We’re excited to share that Remotion’s available to all teams on macOS, and that we’ve raised $13M in funding from Greylock, First Round, and more.
Read more at
I’ve met some great web3 founders, but Itai & Yoni from
@dynamic_xyz
stand out. Dynamic is a power tool for web3 devs — an SDK to enable wallet-based login & account management in minutes.
We're excited to help them accelerate the adoption of wallet-based auth & identity!
1/ GM from
@dynamic_xyz
! Today we’re announcing our $7.5M seed round, led by
@a16z
crypto. We’re on a mission to accelerate the adoption of wallet-based authentication and identity.
🧵👇