Venture Capital Joins the Content Revolution: Embracing Substack for Better Engagement and Opportunities

A revolution is heralding within the venture capital industry, where firms are breaking down traditional barriers and embracing the wave of content creation to foster connections and attract opportunities. From their tucked-away offices, VCs are now sliding into your inbox or frequently appearing on your LinkedIn feeds, armed with opinion pieces, AI-powered advice, or an occasional boast about their latest successful exit. Welcome to the era of ‘Substackification’ of venture capital, an intriguing evolution, streaming with promise and potential.

However, it is not just about being in the right place at the right time. The success of VCs on platforms like Substack also revolves around the content’s relevance and relatability. Maiken Paaske, a founder and former VC at Antler and a local Danish VC, notes that these newsletters help retain the attention and trust of their target groups like founders, LPs, and co-investors, thereby enhancing deal flow.

In a world where money is abundant for a few and attention is scarce for most, Substack provides a fertile ground for fostering more personalised and effective connections. Andre Retterath, a Munich-based VC at Earlybird, admits that some of his fund’s LPs came through his newsletter.

Despite the burgeoning benefits of this platform, building a successful Substack presence and growing an audience isn’t for everyone. It involves its fair share of challenges, requiring meticulous manoeuvring of algorithms to promote work on social media. Therefore, while this trend of VCs turning content creators continues to flourish, interestingly, it also leads to a growing industry of ghostwriters, content directors, and AI tools to support these initiatives.

In the face of these changes, one thing seems clear: Venture Capitalists stepping into the realm of content creation demystify the industry, making it more accessible, relatable, and scalable than ever before.