Hey Friends!
Welcome to the 26th Issue of the Driver’s Seat 🚙

📍 Today’s Lineup:
🔋 The Illinois Battery Surge
🧑🏾🦱 Lessons from My First Year in Venture
📊 CHART: Build For Your First 10 Users
🗺 Events Around the City
🔙 Previous Issues of the Driver’s Seat
Make sure you’re subscribed to the Driver’s Seat 🚙 for the best insights on Chicago's GROWING innovation economy 🙏
Let’s dive in! 🚙 🚙 🚙

🔋 The Illinois Battery Surge

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High Level Insights
Illinois just landed $2B in funding for a new EV and battery production facility.
Gotion is the company that is contracted to build the plant after receiving a $530M incentive deal.
The goal is to build a lithium-ion battery manufacturing facility in Manteno, about 50 miles south of Chicago.
Economic Impact
The facility is projected to generate over 2,600 jobs.
There will likely be a ripple effect throughout the supply chain.
As of August 2023, Illinois had around 80,000 electric cars, an 3x increase from the same time in 2018.
Why It Matters in Illinois
This facility represents one of the most significant industrial projects in Illinois and signals to a renaissance for manufacturing in the state.
With this new facility / existing plants like Rivian's in Normal and Lion Electric's in Joliet, Illinois is becoming a pivotal player in the EV industry.
🧑🏾🦱 Lessons from My First Year in Venture
Reflecting on my first year at Drive, I wanted to share 10 of my personal lessons / pieces of advice to those aspiring to begin a career in venture:
There’s no such thing as a traditional path into venture. While some believe investment banking / founder experience is essential, I’ve learned that everyone enters this field with their own unique set of skills. The one thing that you must have is a crazy amount of curiosity.
You have to always be on / hustle harder than the rest. Excelling in venture requires immense hustle. As Bill Gurley says, “you must explore every opportunity to hit a home run."
The best investors refer to their portfolio companies as “we” and “us.” Instead of “them” or “company xyz.”
Dot-connecting is an ultimate superpower in venture. Whether connecting a founder to a resource or relating to a past experience, frequent reflection is key.
Know EVERYTHING about your local ecosystem. Learn how things work in your city, who's making deals, how the market changes, and info about schools / talent. Be the person everyone thinks of when they talk about your city.
Events can be a great lever for deal-flow. There are a ton of strategies for building a strong top-of-funnel for deal-flow. Two of my personal bets are on community building and media. With events specifically, I believe that creating your own events is more powerful than attending others.
You should be in the trenches with your founders. From my early experiences, I realized the importance of being hands-on / collaborating closely with founders to reach our collective objectives.
Don’t get stuck in the illusion of explanatory depth. It's okay not to know everything (instead, know what you don’t know). And as Einstein said, if you can't explain it simply, you don't fully understand it.
Avoid groupthink at all costs. It’s easy to form an opinion based on how someone else sees something. But at the same time, the hardest part about being a contrarian is being right.
Master the art of asking questions. VC is all about figuring out which questions are the right questions to ask.
📊 Chart of the Week
Startups are built to grow fast, and in the early innings it’s important to focus deep on a niche group of users.
You want to make your first set of core users (ICP) are obsessed with your product.
Here’s how a few of our favorite B2B companies sourced their first 10 customers:
The famous advice here is that it’s better to have 100 customers that really love your product than 100,000 that are just okay with it.
Really focus on your initial users to gather valuable feedback for your growth.
By catering to their needs first, your broader user base will follow once you have a polished product.
🗺️ Events Around The City
Best Practices for Emerging Managers Navigating a Challenging Fundraising Environment
Hosted by Venture Forward
Tuesday Sep 12
Ensuring Secure Generative AI Deployment: A Guide for Enterprises
Hosted by Drive Capital, Mantium, and Redis
Wednesday Sep 13
Inside the Loop Bi-weekly Coffee
Hosted by the Inside The Loop Podcast
Thursday Sep 14
Health Equity Investing Symposium
Hosted by 2Flo Ventures
Thursday Sep 14
How AI is Transforming the Way Software Developers Work
Hosted by Tech in Motion
Thursday Sep 14
Med Tech x Health Equity Panel
Hosted by MATTER
Friday Sep 15
👋 See you next time!
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