How Serena Williams chooses which companies to invest in

Serena Williams has been investing in start-ups since she founded Serena Ventures in San Francisco in 2014. The venture capital firm already has a portfolio of 60 companies, including SendWave, MasterClass and Daily Harvest, and in March 2022 raised $111 million to invest in underrepresented founders.

On July 21, Williams, along with other entrepreneurs and investors, sat down with Candice Matthews Brackeen, founder and CEO of venture capital firm Lightship Capital, at Black Tech Week in Cincinnati to discuss types of companies that interest him and how the founders can pitch their ideas to him. Here are some highlights.

Companies that directly affect people

While Serena Ventures has invested in a wide range of companies, Williams says she's particularly interested in those that "affect everyday people in different ways," such as fintechs. She also expressed her affinity for companies that are located or do business in Africa, and said she would like to increase her portfolio of African startups. "I'm a big proponent of black investment in Africa," Williams says. "It's really important to me."

Companies promising growth

Initially, when Williams invested with her own money, she was less concerned about the risk involved because her loss would only affect herself. Raising money changes the equation, she says: a business has to show promise from the start, and if it doesn't, it's probably not worth the risk. "I look at the business and the first thing I ask is, 'Does this fit our thesis? " she says. "And second, 'Does this work? Is this going to be big enough for me?'"

Get in touch

Williams acknowledges that connecting with VCs is not easy. As with other companies, investors in Serena Ventures rely on introductions from people they know, but, according to Williams, they also take a more open approach. The fund has an email address on its website which is constantly monitored by people in the company. Williams acknowledges that the vast majority of those who send emails get rejected, but notes that it's worth a try and that founders should send at least three emails if they don't get a response. Also, a rejection doesn't necessarily mean she doesn't want to help. "Maybe we don't invest in them, but we still want to support them," she says. "And sometimes the best way to support is not to invest."