RALLY | Christine Tsai of 500 Global on Finding Your Path
Plus the last call for Garnier Gold Green Grant, Lunar New Year, and more!
We’re wishing you a wonderful start to 2025 – hope you and yours are staying safe and well. As you know, RALLY with Gold House Ventures is excited to spotlight exceptional Asian Pacific founders and investors through our feed of stories, funding opportunities, portfolio news, career opportunities, and events. If you are an entrepreneur looking to meet with Gold House Ventures or an investor looking to get more involved with Gold House’s Venture Network, please reach out to investments@goldhouse.org.
Spotlight | Christine Tsai
We are honored to spotlight Christine Tsai, the CEO and Founding Partner at 500 Global. Since founding the firm in 2010, Tsai has led the growth of the firm to $2.7B AUM with 2,600+ portfolio companies across 80+ countries. Tsai was honored by Gold House in our A100 list in 2021 for her visionary leadership in venture capital and ecosystem building for early stage startups. We are excited to hear more from her in this week’s RALLY issue.
What types of startups do you typically invest in, and what do you look for in a potential investment? How do you determine whether a startup is a good fit for your portfolio?
500 Global invests primarily in software companies across a number of sectors including B2B/Enterprise SaaS, DevOps, Consumer, Fintech, Health, Infrastructure, AI, EdTech, AgTech, and more. Given that our initial check into a company is at the early stages (pre-seed/seed), the founding team is first and foremost the most important criteria. Building a company is incredibly hard, so we need high conviction that the team demonstrates grit, perseverance, speed and extreme obsession & passion for their customers and the problem they’re solving. Having a chip on their shoulders doesn’t hurt either.
We also care about the market they’re going after and if they are skating towards where the puck is headed. This is where 500’s global and diverse investment purview is a real superpower. Over the past 14 years, we have made early bets on founders & companies that didn’t fit the mold or were disrupting massive markets that Sand Hill Road didn’t understand or brushed off.
Besides markups, how do you measure the success of your investments, and what metrics do you use to evaluate performance?
I look for predictable, sustainable growth in a company’s business metrics, as well as notable launches, milestones, key hires, etc. Key metrics vary by business model, but generally may include revenue, net income, margins, take rate, retention, AOV/ACV, LTV/CAC ratio, churn, NRR, etc. Retention numbers are especially critical. Strong engagement is more important than high velocity growth of a leaky bucket. You can usually figure out ways to accelerate growth, but much harder to accelerate retention if it isn’t strong from the beginning.
Additionally, I want to understand their acquisition/distribution strategy, organic vs paid channels, their sales process if relevant, their brand identity if it’s a consumer facing product, etc. Counterintuitive opinion, but valuation & funding raised is often a poor indicator of how a company is actually doing.
What inspired you to become a venture capitalist, and what motivates you to keep working in this field?
I was inspired by the “OG” generation of VCs that were blogging back in the early/mid-2000s, long before VC Twitter. The most notable example was Fred Wilson at avc.blogspot.com. I loved his posts and saw the job of VCs as helping fledgling companies become the next Google - a company where I spent the early part of my career beginning in 2003. I have always loved technology and working with founders/developers and products at their formation stage. Even 14 years later, that’s the best part about venture.
Would a younger you be surprised by your life now? If you weren’t working in VC, what would you be doing?
Childhood Christine would be very surprised I didn’t become a doctor or a ballerina. Recent College Grad Christine would never have imagined I’d be a CEO, let alone a CEO of a VC firm. I never aspired to be a CEO, and venture as a career path seemed out of reach. If I weren’t in VC and the sky’s truly the limit, I’d be a professional ballet dancer. If we’re talking reality, then I’d be a writer or a private investigator.
What’s something about your background or journey that readers may find surprising?
I am a technically trained dancer and have extensive experience performing onstage, and I also enjoy choreographing pieces. But more than anything, I LOVE dancing. It’s one of the few things in life where I feel truly free and confident. This often surprises people who see me as reserved and unassuming – until they witness me on the dance floor or performing onstage.
What advice do you have for founders who are raising?
Run a tight process. Fundraising is basically sales, so many core principles apply - build a robust, targeted pipeline, qualify your leads, move them through the funnel, track everything, etc. Test out variations of your pitch and narrative, and tailor your conversations depending on the investor you’re talking to. I always notice when founders have done their homework & research and come to meetings prepared, especially about 500 Global and/or me.
Be diligent in following up. You are not the center of everyone’s universe. You’d be surprised how many opportunities fade away due to lack of follow-up or being slow to respond back to prospective investors.
Build trust. While raising money is at first blush very transactional, view it as a huge opportunity to build trust with people and build long term relationships. Did someone introduce you to a potential investor? Circle back w/ that person to let them know how their intro went. When I make intros for founders, I don’t expect to hear back but I always notice when people close the feedback loop and proactively update me on how my intro went. People who passed on your round or declined your job offer? Thank them for their time and be genuinely open to any constructive feedback (or even ask for it directly). Sometimes the “no’s” turn into “yes’s” later on. It’s a small world after all. Trust and reputation are built on such consistent interactions.
What’s one habit you’d recommend a founder to adopt?
Be physically active. You don’t need to be an athlete, but find ways to incorporate physical activity into your daily life such that it becomes a habit. Walk, run, stretch, bike, dance, swim, etc. Physical strength can help you better withstand the toll of building a company and being a CEO. It’s never too late to start.
What advice would you give to aspiring VCs who are looking to break into the industry, particularly those from underrepresented backgrounds?
Don’t get caught up in the stats. It’s easy to feel discouraged about venture capital—whether it’s the disheartening lack of women and people of color, particularly decision makers and check writers, the challenging macroeconomic climate with many VC firms struggling, or the chatter about how tough it is for first-time and emerging fund managers. When I first explored venture back in the late 2000s, it was still a small, insular industry centered on Sand Hill Road. I didn’t fit the mold, nor was I ‘very aggressive’—a trait I was told women needed to survive in the industry. But here’s the thing. If venture is something you’re truly passionate about, you’ll find a path there. YOUR path.
Upcoming Gold House Network Opportunities
🌏 Gold Green Grant Applications: In partnership with Garnier USA, Gold House is excited to bring back the Gold Green Grant. This grant seeks to celebrate sustainability-focused changemakers positively impacting the AANHPI community. These changemakers can range from AAHNPHI founders and small-business owners to storytellers and community-support groups.
This year, 3 winners will each receive a prize of $20,000 to further their work, mentorship sessions from a Garnier executive, invitations to select Gold House events, and amplification on both Garnier and Gold House's social platforms. 10 finalists, including the three winners, will also receive a National Parks Annual Pass and special gift from Garnier. Apply by February 14th, 2025 at goldhouse.org/garnier.
Recent Gold Wins
Datasaur recently shared about building in a portable fashion at the Open Data Science Conference. Learn more here.
Wildgrid.ai was recently accepted to the Halcyon DMV Climate Innovation Fellowship. Check out the cohort and learn more about the program here.
Engage With Us
In honor of Year of the Wood Snake, we gathered our Gold House Ventures family together across 3 cities for intimate, family-style dinners. While enjoying some delicious meals and warm company, we reflected on the Wood Snake’s motif of transformation: over the past few years alone, industry (whether that’s B2B, VC, or consumer-facing) has changed remarkably. Now, as the world faces a new chapter, we hope to transform the industry not only in profitability, but also in the way our Asian Pacific community is perceived.
Thank you to Brex, Notable Capital, and our many partners for celebrating with us: here’s to a fantastic 2025!
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Amplification: Members of the Futures Network receive resources from Gold House’s corporate and cultural leadership network to accelerate their ambitions.
Collaboration: From business partnerships to soundtrack inclusion, Futures gain access to collaboration opportunities both within the network and with industry leaders.
Community: Exclusive events and curated programming cultivate a community of founders and creators.
Our recent survey found that 94% of founders were likely to recommend the Futures Network to other founders citing a supportive API community and expansive network. Apply to join our Futures Network here!
Ideas? Questions?
Let us know in the comments below!