Introducing Mariana Velasquez from Branddu
Q: Can you introduce yourself and your startup?
A: I’m Mariana Velasquez, the CEO and founder of Branddu. At Branddu, we operate as a comprehensive B2B platform for merchandising products and promotional gifts. We’ve created a space where we bring together various suppliers from the industry through our technology. This integration allows our clients to quickly quote, design, and purchase from the largest catalog in the industry. Our main goal is to streamline the procurement process, making it as efficient and user-friendly as possible, so our clients can find everything they need for their promotional activities in one place, and complete their transactions within minutes.
Q: How did you come up with the idea for Branddu?
A: My journey in the promotional gifts industry spans over 15 years, starting from the client’s side. I worked for large multinationals where I frequently faced the challenge of procuring promotional gifts, a process I found to be incredibly inefficient and frustrating. This experience sparked a dream in me: to create an ‘Amazon’ for promotional gifts, a platform where stock availability for various products is transparent, and purchases can be made online effortlessly.
About 12 years ago, I took my first step into entrepreneurship, establishing a company that supplied promotional gifts to large corporations in Colombia. We imported products from China, but like many others at the time, we operated traditionally, without leveraging technology, and remained a small-scale operation.
As I became more involved with the startup ecosystem and educated myself about technology, the concept of Branddu started to take shape. It was an amalgamation of my experiences—understanding the client’s pain points firsthand, operating as a supplier, and recognizing the need for a technological solution. Branddu was born out of a desire to address the significant challenges faced by companies in Latin America when purchasing these products, using technology to streamline and simplify the process.
Why Founder Institute?
Q: How did you get involved with the Founder Institute?
A: My engagement with the Founder Institute began as part of my broader quest for knowledge in the startup and technology sector. Initially, I was part of an incubator in Colombia, which played a pivotal role in my entrepreneurial journey by recommending that I apply to the Founder Institute. This suggestion turned out to be life-changing for me. Prior to this experience, my familiarity with technology and the startup world, including aspects like fundraising, was quite limited. I considered myself the least technological person in the room, unaware of the significant developments happening around me. The Founder Institute opened my eyes to these areas, offering insights that were nothing short of mind-blowing. It fundamentally transformed my perspective and approach towards building and growing a business in today’s technology-driven environment.
How a Founder Gets In
Q: Can you describe the application process for the Founder Institute?
A: The application process for the Founder Institute was quite rigorous and involved several steps. Initially, I had to complete a comprehensive test, which I remember dedicating a whole Sunday to. It was around a two-hour endeavor that required a lot of focus and effort. After submitting the test, I received a notification that I was accepted into the program, which was an exhilarating moment for me. However, the challenge didn’t end with acceptance. The program demanded continuous engagement and hard work, as we were required to complete numerous assignments and regularly update our information. This aspect made the process quite demanding, but ultimately, it was an invaluable experience. In terms of interviews, the process was straightforward without any intense interviews; it primarily revolved around the application and the test. As for the fees, at the time I applied, which was back in 2019, the cost to participate in the program was around $600. Despite the challenges and the cost, the journey through the Founder Institute was incredibly rewarding and played a crucial role in my growth and development as an entrepreneur.
The Nature of Support from Founder Institute
Q: Does the Founder Institute provide funding to its participants?
A: No, the Founder Institute does not provide direct funding to the participants. Their primary offering is the program itself, which, during my time, was conducted in person. This aspect of the program was particularly beneficial as it allowed for meaningful interactions with other founders, advisors, and speakers. Being able to meet and network with these individuals in person significantly enriched the experience. It facilitated a deeper understanding and connection that I found invaluable. The opportunity to engage directly with the community and build relationships was a crucial part of the program’s value, helping to foster a supportive and collaborative environment for all involved.
A Glimpse into the Daily Routine at Founder Institute
Q: What was a typical day like in the Founder Institute program?
A: The Founder Institute program was structured around weekly sessions, each lasting about three hours. These sessions covered a variety of topics, each led by a different speaker. To get the most out of these sessions, we were required to come prepared, having completed specific homework assignments related to the week’s topic. On top of the sessions, there was an expectation to dedicate at least 20 hours a week to developing our projects, focusing on the different themes introduced. This approach ensured that the work was directly applicable to our businesses, offering valuable insights and a deeper understanding of our operations.
However, the program’s intensity and the high demands placed on participants led to a significant dropout rate. Many found the pace and workload challenging to sustain alongside their other commitments. In my cohort, we began with 50 participants, but only 15 of us completed the program. This attrition rate highlights the program’s rigorous nature, designed to push founders to their limits and beyond. Despite its demanding nature, the experience was instrumental in shaping my entrepreneurial journey, providing a solid foundation and a clear direction for my business.
Key Takeaways from the Founder Institute Experience
Q: What do you consider the most valuable takeaway from the Founder Institute?
A: Reflecting on my experience, the standout feature of the Founder Institute was its comprehensive and diverse curriculum. It covered a wide range of topics crucial for startup success, including go-to-market strategies, fundraising, team building, attracting co-founders, understanding vesting, navigating legal issues, setting up a company in the US, and managing finances. Coming from a background where I wasn’t deeply immersed in the startup ecosystem, every aspect of the program was a revelation to me. What made the Founder Institute particularly valuable was its structured, step-by-step approach. The program was designed to guide you through each topic methodically, ensuring that you not only received information but also applied it directly to your work through homework assignments. This hands-on approach, combined with the requirement to submit work for feedback, fostered a deep, practical understanding of each subject area.
This aspect of the program, where you prepare for each session, submit your assignments, and then receive feedback, was incredibly beneficial. It wasn’t just about attending lectures or sessions; it was an immersive experience that demanded active participation and application of what we learned. Looking back, I appreciate this methodology immensely as it significantly enhanced my comprehension of various critical topics. The program’s depth and breadth of content, along with its interactive and applied learning model, are what I value most, marking it as a pivotal phase in my entrepreneurial journey.
Areas for Improvement in the Founder Institute Program
Q: What do you think the Founder Institute could improve on?
A: One aspect of the Founder Institute that could benefit from improvement is the shift to online sessions following the pandemic. The in-person experience was invaluable for networking, fostering connections with other founders, advisors, and speakers. The transition to virtual means has potentially diluted this experience, making it harder to engage in meaningful conversations beyond the session’s main topic. Networking is a cornerstone of any strong program, and the move online might have weakened this element. Additionally, there’s been some contention regarding the warrant agreement required by participants. While it has been a point of contention, leading some to quit the program, I personally support the concept. The warrant, which gives the Founder Institute a priority to invest in future fundraising rounds at a lower valuation, is often misunderstood. This mechanism is designed to support the ecosystem, benefiting both the institute and the founders in the long run.
Regarding mentors, there have been complaints about some lacking real-world experience, possessing more theoretical knowledge than practical. My cohort was fortunate to have experienced mentors, including startup founders who had successfully raised significant funding. However, I acknowledge that this is not a universal experience across all cohorts. The quality of mentors can vary, largely depending on the efforts of the program directors and their ability to attract knowledgeable and experienced professionals. Improving the consistency and quality of mentorship across all cohorts would significantly enhance the value of the program for all participants.
Mentorship and Equity in the Founder Institute Program
Q: Did you encounter mentors seeking equity for their advice during the program?
A: Yes, this is a phenomenon that’s not uncommon, where mentors expect equity in exchange for their advice. This situation often arises in environments like the Founder Institute, which operates as more than just an accelerator; it’s akin to an incubator, attracting a lot of inexperienced founders who may lack crucial knowledge and are, therefore, more susceptible to persuasion. The expectation of equity for advice is a prevalent issue, with some individuals positioning themselves as advisors with the expectation of receiving equity in return. However, one of the valuable aspects of the Founder Institute was its guidance on navigating mentor relationships effectively. The program educated us on how to onboard mentors properly, including the appropriate amount of equity to offer and tying their involvement to a regular commitment, such as dedicating an hour a week for one to two years, along with a clear vesting schedule. This advice was instrumental in ensuring that founders did not hastily give away equity without securing a meaningful, committed advisory relationship. This guidance helped protect against the potential exploitation of inexperienced founders by those looking to gain equity without providing substantial, ongoing support.
Branddu’s Progress Post-Accelerator
Q: How has your company fared since completing the accelerator program?
A: The impact of the Founder Institute on my journey and that of Branddu has been profound. Coming from a background where I was not previously engaged with the startup ecosystem, the program represented a pivotal shift, essentially transforming my approach to entrepreneurship overnight. Post-acceleration, Branddu has seen significant progress and growth. We’ve successfully raised capital and have expanded our operations beyond Colombia to Mexico and the United States. Our client base now includes major corporations like Netflix and Warner Music, highlighting our capability to attract and serve large clients. Additionally, we’ve begun exporting our products to various countries in Latin America, including Puerto Rico, Peru, and Chile. This expansion is a testament to the scalability and appeal of our business model.
Moreover, our participation in a program at Stanford aimed at scaling our business further underscores the strides we’ve made in our growth journey. The lessons learned from the Founder Institute, particularly around team building, co-founder vesting, capital raising, problem-solving, and pitching, have been instrumental in our development. These foundational skills have enabled us to navigate the complexities of scaling a business, fostering innovation, and developing technology to meet the needs of our clients. The program not only equipped us with the necessary tools and knowledge but also instilled a mindset geared towards continuous growth and improvement.
Ongoing Relationship with the Founder Institute
Q: What has been your relationship with the Founder Institute post-acceleration?
A: Post-acceleration, my relationship with the Founder Institute has remained strong and supportive. Following the initial program, I participated in another one called the Funding Lab, which proved to be incredibly beneficial for Branddu. This program, which I highly recommend, offers a step-by-step guide on raising capital, engaging with investors, prospecting, and reporting, among other critical aspects of funding a startup. It was particularly valuable given my lack of experience in these areas within the startup ecosystem. One of the standout outcomes from participating in the Funding Lab was securing an investor directly through the program. This venture capital fund’s involvement with Branddu is a testament to the effectiveness and real-world applicability of the Founder Institute’s programs.
Furthermore, my engagement with the Founder Institute community has continued beyond these programs. Last year, I had the opportunity to attend an event in San Francisco and Redwood City, hosted by the Founder Institute. This event featured insightful speakers and provided exposure to various venture capital funds. It also allowed me to reconnect with some of the program’s mentors, from whom I’ve continued to seek advice. This ongoing relationship and the support from the Founder Institute and its network have been instrumental in Branddu’s journey, offering valuable opportunities for growth, networking, and learning.
Embracing the Accelerator Experience: Mariana’s Advice
Q: What advice would you give to those considering applying to the Founder Institute or any other accelerator?
A: For anyone looking to embark on the accelerator journey, my foremost advice is to fully commit to the process. The startup world is bustling with distractions and divergent opinions. During my time at the Founder Institute, I observed many participants withdraw for various reasons, including concerns over the warrant agreement or other grievances. However, my focus was on acquiring knowledge and leveraging the program to its fullest potential. This mindset was pivotal in my decision to not only complete the program but also to derive substantial benefits from it, such as invaluable connections, networking opportunities, and subsequent programs that further propelled our growth. The investment from a venture capital fund in Branddu and the guidance from a seasoned advisor from that fund were direct results of my participation and commitment to these programs. The networking aspect, in particular, is invaluable. I recommend actively engaging with fellow founders, advisors, and mentors. Connect with them on LinkedIn, arrange in-person meetings, and invite mentors to share their insights in more intimate settings like WeWork. These actions foster a supportive community eager for growth and learning. This proactive approach transformed the accelerator experience for me, turning it into a rich source of knowledge, connections, and support. My advice to prospective participants is to see beyond the immediate challenges and focus on the vast opportunities these programs offer. Commitment, engagement, and a willingness to learn and connect are key to extracting the maximum value from your accelerator experience.