Venture Capital Definition and History
Understand what venture capital means and discover the 1962 story of Bill Draper and Pitch Johnson investing in early Santa Clara startups.
Chapter 1
Orchard filled valleys and early bets
Chapter 2
From Silicon Valley to the United Nations
Chapter 3
Venture philanthropy and a family legacy
Ch 1 · Orchard filled valleys and early bets
diego The Valley of Heart's Delight
We made our bets where the apricot grows, Before the silicon valley arose.
diego Early Silicon Valley venture capitalists operated in a highly collaborative environment, often sharing deals over breakfast.
Fun Fact
Cozy deals: Bill Draper frequently closed multi-million dollar tech deals over pancakes at Buck's Restaurant in Woodside, California, during the early days of Silicon Valley.
diego A disastrous investment by Bill Draper's father taught him a lifelong rule about managing risk in venture capital.
Glossary
venture capital (noun)
Wealth or resources invested in a startup or small business that presents both high risk and high growth potential. In 1962, Bill Draper and Pitch Johnson sought startups to fund among Santa Clara's agricultural groves.
Wealth or resources invested in a startup or small business that presents both high risk and high growth potential. In 1962, Bill Draper and Pitch Johnson sought startups to fund among Santa Clara's agricultural groves.
Quiz
What valuable lesson did Bill Draper's father pass down after losing his Wall Street bonus in a failed 1929 coffeemaker investment?
BETA
diego Swipe to invite key investors to learn how Bill Draper built belief in startups.
Quiz
What was the physical landscape of Silicon Valley when pioneer Bill Draper first entered the venture capital industry in 1959?
Quiz
Under which famous Harvard Business School professor, often called the father of venture capital, did Bill Draper study?
Quiz
In 1962, which close friend did Bill Draper partner with to co-found the Draper & Johnson Investment Company?
Quiz
Which restaurant in Woodside, California, became famous as the breakfast spot where Bill Draper and other investors closed early tech deals?
Quiz
What did Bill Draper claim was the most important factor when choosing which startup company to fund?