by Jonathan Kersting, VP of Communications and Media, Pittsburgh Technology Council
July 21, 2017
Deal flow is the lifeblood of every investor -- large and small. And that is especially true for Connetic Ventures in Covington, Kentucky.
An investment firm with a focus on early stage start-up companies, Connetic Ventures participates with venture capital firms and angel syndicates for companies that are in the late seed stage. It focuses on developing investment strategies and deploying them on startups to build up their portfolios.
"Our core investment strategy is to see more deals so we can do more deals and create a diversified portfolio," said Kyle Schlotman, Partner and Chief Investment Officer at Connetic Ventures.
"We believe diversity amongst industry, platforms, geography and founders is a good thing."
With a focus on technology companies in the Midwest, the 3 Rivers Venture Fair has become a powerful resource to widen Connetic Venture's deal flow funnel as it approaches 40 companies in its portfolio, said Schlotman.
The 2016 3RVF last April drew more than 140 capital-raising entrepreneurs resulting in more than 1,400 meetings between investors and entrepreneurs. In particular, Schlotman liked the "speed dating" portion of the conference to get in front of numerous deals in a short amount of time.
And, it's not just the quantity of deals, it's the quality. Last year, Connetic Ventures set up more than a dozen follow-on meetings with potential investments and did a deal with Healthy Roster out of Columbus, Ohio.
"At Connetic we believe time matters: finding great ideas whose time has come with great teams we believe can execute quickly is what we are all about," said Schlotman.
At this year's 3 Rivers Venture Fair, Schlotman said he is looking forward to meeting with companies in the fintech, blockchain and cybersecurity spaces. His advice to entrepreneurs pitching him or any other potential investor:
"I hear more than 2,000 pitches a year. Make your pitch an amazing 30 seconds!"
About Kyle Schlotman:
Kyle Schlotman is a 2008 graduate of Indiana University where he majored in Finance, Entrepreneurship and Legal Studies.
After Indiana University, he went onto work for JP Morgan and Sagent Advisors as an Investment Banking Analyst with a focus on Retail and Healthcare. Transaction Advisory history includes, ImClone's sale to Eli Lilly, Pfizer's acquisition of Wyeth, Pavestone's sale to OPUBCO, Merck's merger with Schering-Plough and a Digicel Debt Offering.
After working on Wall Street, he joined dunnhumby/84.51 in 2010 where he led consulting projects for Retail and CPG clients such as P&G, Kroger and Brown-Forman.
Kyle is now a Founding Partner and Chief Investment Officer of Connetic Ventures, an early stage (Seed and Series A) investment fund based in Covington, Kentucky.
About the Author:
Working at the Pittsburgh Technology Council for 20 years, Jonathan Kersting has tracked and documented the growth of Pittsburgh's innovation economy through his work publishing TEQ Magazine and Made in PA Magazine and co-hosting TechVibe Radio on Newsradio KDKA 1020 AM. The Pittsburgh Technology Council was founded in 1983 as one of the nation's first regional technology trade association with a mission to help technology companies succeed.