In an ongoing effort to illuminate the intricate world of venture capital, the NVCA’s “Meet a VC” series recently featured Will Borthwick, a distinguished General Partner at BOLD Capital Partners. This series aims to delve into the personalities, philosophies, and convictions that animate the venture capital industry, offering a rare glimpse into the minds of those who fund the future. Borthwick’s insights provided a comprehensive overview of BOLD Capital’s unique investment thesis, centered on "exponential technologies," and his perspective on the evolving role of venture capitalists as partners in innovation.
BOLD Capital Partners distinguishes itself by investing in founders dedicated to building technologies whose capabilities improve not linearly, but exponentially. This fundamental principle underpins their strategy to identify and support ventures poised to significantly advance humanity. The firm seeks out breakthroughs that transform what was once considered infeasible into tangible realities within remarkably short periods, posing the crucial question of how to leverage such shifts to address monumental global challenges. As Borthwick articulates, the overarching goal is to fundamentally "move the needle to make humanity better."
From Traditional Finance to the Vanguard of Exponential Tech
Will Borthwick’s journey to the cutting edge of venture capital is marked by a diverse and robust financial background, offering a unique perspective on the intersection of established financial systems and disruptive innovation. His career trajectory initially led him through the corridors of the Federal Reserve, an institution central to monetary policy and financial stability. This early exposure to macroeconomics and systemic financial operations provided a foundational understanding of large-scale economic forces and regulatory frameworks. Following his tenure at the Fed, Borthwick transitioned into the demanding world of investment banking, where he honed his skills in financial analysis, deal structuring, and corporate advisory, often involving complex transactions across various sectors.
The subsequent chapter of his career unfolded in private equity, focusing on buyouts of large technology companies. This experience immersed him in the operational intricacies and long-term value creation strategies associated with mature tech enterprises. It was a rigorous training ground in evaluating business models, optimizing performance, and navigating the challenges of scaling established companies. This progression from the Federal Reserve to investment banking and then to private equity provided Borthwick with a comprehensive understanding of financial markets, corporate finance, and the lifecycle of technology companies from an operational and investment standpoint.
Approximately eight and a half years ago, Borthwick made a pivotal move, joining BOLD Capital Partners. This transition was driven by a compelling combination of factors: the opportunity to collaborate with a team composed of seasoned entrepreneurs and investors, and a profound alignment with the firm’s forward-thinking investment thesis. BOLD Capital’s focus on "exponential technologies" resonated deeply with Borthwick’s desire to be at the forefront of transformative innovation. He recognized the potential for non-linear technological advancements to reshape industries and societies at an unprecedented pace, a stark contrast to the more incremental growth often associated with traditional private equity investments. His diverse background, therefore, equipped him with a holistic understanding of financial markets and corporate strategy, making him uniquely qualified to identify and nurture companies operating at the very frontier of technological possibility.
The Exponential Thesis: Redefining Progress
At the core of BOLD Capital Partners’ investment strategy is the concept of "exponential technologies." This term describes innovations whose capabilities are not merely improving incrementally, but rather doubling or multiplying over regular intervals, often defying conventional predictions of progress. This phenomenon, famously exemplified by Moore’s Law in computing, where the number of transistors on a microchip roughly doubles every two years, now extends to diverse fields such as artificial intelligence, biotechnology, robotics, and advanced materials. For BOLD Capital, this means actively seeking out companies that are leveraging these accelerating trends to solve problems previously deemed insurmountable.
The portfolio of BOLD Capital vividly illustrates this ambition. Investments span groundbreaking areas such as stratospheric drones, which promise to revolutionize everything from internet connectivity to environmental monitoring by operating in the upper reaches of the atmosphere for extended periods. Another audacious venture involves de-extinction, a field exploring the reintroduction of extinct species, potentially offering profound insights into biodiversity and conservation. The firm also backs companies developing advanced humanoids, robots designed to interact with the world in increasingly human-like ways, potentially transforming industries from healthcare to logistics. Furthermore, BOLD Capital is a significant investor in AI-enabled hardware, recognizing that the true power of artificial intelligence will be realized when seamlessly integrated into physical systems, creating intelligent devices that can perceive, reason, and act in complex environments. These investments are not just about developing novel products; they are about building the foundational infrastructure for future human capabilities, pushing the boundaries of what humanity can achieve.
Lessons from the Frontlines of Innovation
Will Borthwick’s tenure in venture capital has provided him with invaluable insights, challenging initial assumptions and deepening his understanding of the entrepreneurial ecosystem. He candidly admits that early in his career, witnessing the meteoric rise of companies like Facebook and Snapchat from nascent startups to multi-billion-dollar valuations, he might have underestimated the sheer difficulty involved in building a successful enterprise. "It turns out it’s incredibly hard," he observes, emphasizing that constructing a "generational company"—one that fundamentally reshapes an industry or society for decades—is an even more arduous undertaking. This realization extends beyond the founders to the investors themselves: "It’s also very hard to invest, support, and find the entrepreneurs capable of doing it." The venture capital process, therefore, is not merely about identifying promising ideas but about enduring the grueling, often unpredictable journey alongside founders.
Another significant shift Borthwick has witnessed is the dramatic transformation in the scale of capital flowing into venture capital. When he began his career, venture capital was often characterized as a "small, cottage, bespoke, artisanal industry." Investment rounds were considerably smaller; a $15-$20 million Series A was considered substantial. Today, the landscape is profoundly different. The venture capital market has seen an exponential surge in funding, driven by increasing institutional interest, the rise of mega-funds, and a global appetite for technological innovation. It is now common for Series A rounds to exceed $100 million, with $150 million Series A rounds becoming an increasingly frequent part of industry conversations.
This influx of capital reflects a broader maturation and institutionalization of the venture industry. According to data from various sources like PitchBook and NVCA, global venture capital funding has consistently broken records over the past decade, peaking at over $600 billion in 2021 before experiencing a market correction. While market conditions fluctuate, the underlying trend demonstrates a significant expansion in the available capital. This increased funding has profound implications: it allows companies to scale faster, attract top talent, and pursue more ambitious projects. However, it also intensifies competition among investors, drives up valuations, and places greater pressure on founders to demonstrate rapid growth and market dominance. This evolution underscores the dynamic nature of venture capital, moving from a niche financial activity to a critical engine of global economic growth and technological advancement.
Beyond the Check: The True Meaning of VC Support
Borthwick firmly contends that the role of a venture capitalist extends far beyond merely writing a check. "Venture isn’t a fancier broker-dealer collecting a fee on the wire," he asserts. The true value and commitment, he argues, manifest in what transpires after the initial investment. For BOLD Capital, and for Borthwick personally, an investment signifies a deep, enduring partnership. "When we invest into a company, it’s truly a marriage – not a date or a fling. We get in the bunker with you through thick or thin."
This philosophy stems from a profound understanding of the entrepreneurial journey. Being a founder, Borthwick notes, is often one of the loneliest jobs imaginable, where the ultimate responsibility invariably rests with the CEO. In this high-pressure environment, the venture capitalist’s role evolves into that of a steadfast ally and strategic resource. This involves a multifaceted approach to support: offering sound advice on strategic direction, facilitating critical introductions to potential customers, partners, and executive talent, and providing mentorship through the inevitable highs and lows of building a company.
Crucially, this support extends beyond professional matters into the personal realm. Borthwick emphasizes the importance of being available for the personal calls as much as the professional ones. "Whether it’s a shoulder to cry on or a person to scream at, that’s an important part of the role." This highlights the emotional labor involved in supporting founders, acknowledging the immense stress and isolation they often experience. Borthwick views himself and his colleagues not just as capital allocators but as "entrepreneurs ourselves," adopting an "operator-investor" mindset. This means bringing operational experience, empathy, and hands-on engagement to the table, actively collaborating with founders to overcome obstacles and seize opportunities. This holistic, deeply engaged approach to partnership is what BOLD Capital believes truly differentiates effective venture support, transforming a financial transaction into a shared mission.
Bridging the Understanding Gap: Founders, VCs, and Policymakers
Will Borthwick identifies significant misconceptions surrounding both founders and venture capitalists, particularly among policymakers and the general public. He advocates for a more nuanced understanding of these critical players in the innovation ecosystem.
Firstly, regarding founders, Borthwick emphasizes the deeply altruistic and impactful motivations that often drive them. "They start companies to change the world in an impactful way. It comes from a place of good." He argues that founders are not merely driven by profit, but by a genuine desire to solve pressing problems, create new capabilities, and improve human lives. Yet, these visionary individuals frequently encounter what Borthwick describes as "unnecessary roadblocks," ranging from complex regulatory hurdles to difficulties in securing resources or navigating public perception. He asserts that technology is not merely a sector of the economy but "the engine that has carried humanity forward," and entrepreneurialism is the primary mechanism through which this engine is built and propelled. Policymakers, therefore, should recognize and support this inherent drive for positive change, rather than inadvertently stifling it with overly burdensome regulations or a lack of understanding.
Secondly, Borthwick aims to dismantle the "cartoon version" of venture capitalists that often pervades popular imagination – an image of individuals engaging in brief, superficial meetings, writing large checks, and then disengaging. This caricature, he contends, bears little resemblance to the reality of the people he collaborates with daily. Instead, he reiterates the proactive, hands-on nature of modern venture capital. "We are capital allocators and investors, but in a lot of ways we’re entrepreneurs ourselves. I’d view it almost as an operator-investor, rather than a passive investor." This distinction is crucial: operator-investors actively leverage their own experience, networks, and strategic insights to guide portfolio companies, becoming integral to their success rather than mere financial backers. They engage in rigorous due diligence, long-term strategic planning, talent acquisition, and crisis management, requiring a deep commitment and often significant operational involvement. A better understanding of this engaged role, Borthwick suggests, would foster a more informed dialogue about the value venture capital brings to economic growth and societal progress.
Enduring Optimism in a World of Uncertainty
Despite the pervasive uncertainties that characterize the contemporary global landscape, amplified by an often overwhelming information environment, Will Borthwick maintains a profound sense of optimism regarding humanity’s trajectory. He frames this optimism through the lens of a "longer arc of democratization of capability," a historical trend that sees advanced tools and resources becoming increasingly accessible to a broader population.
He illustrates this with a compelling technological chronology: "twenty years ago, you needed your own server racks." This era required significant capital expenditure and specialized technical expertise to even begin leveraging computing power. Then came the advent of "cloud compute on demand," democratizing access to scalable infrastructure, allowing startups and individuals to tap into vast computing resources without owning the physical hardware. Today, Borthwick notes, "we have intelligence on demand in the palm of our hands," referring to the ubiquitous access to powerful AI tools and vast knowledge bases through smartphones and personal devices. This progression signifies a relentless trend towards making sophisticated technological capabilities available to anyone with an internet connection.
This democratization, Borthwick believes, unlocks immense human potential. "When you give people opportunity and capability, they do really impressive things." This foundational belief underpins his conviction that progress is not only inevitable but accelerating. The continuous enhancement of these "superpowers" – from computational might to artificial intelligence – means that humanity’s collective ability to innovate, solve problems, and create value is constantly expanding. "It’s only going to get better tomorrow, and a year from now, and five years from now. It’s like we have superpowers – and our superpowers just keep getting stronger."
This unwavering optimism is precisely what fuels Borthwick’s commitment to the venture capital table. The companies that BOLD Capital backs are not merely developing new products; they are actively constructing the very "infrastructure of what humanity will be capable of next." They are building the fundamental tools, platforms, and paradigms that will define future innovations and societal advancements. From climate change solutions powered by AI to breakthroughs in healthcare driven by biotechnology, BOLD Capital’s portfolio reflects a belief in humanity’s capacity for progress and a dedication to nurturing the technologies that will realize that potential. In a world often preoccupied with challenges, Borthwick’s perspective offers a powerful reminder of the enduring human spirit of innovation and the transformative power of exponential technologies.
