The Join Capital Partner Q&A: Tobias Schirmer
We sat down with one of Join’s Founding Partners to talk about AI, teamwork, growth and overcoming obstacles in the world of VC.
Hi Tobi. Let’s begin with a simple but important question. Can you please explain what Join Capital’s vision is today?
We have a vision to enable efficiency through autonomous processes, and we want mission-driven founders to be the drivers of these transformations across industries. That means we support bottom-up innovation in order to solve global challenges quickly.
It’s truly a rewarding journey to support advancements in AI and industrial automation that allow for optimization in essential industries, such as manufacturing, procurement, smart buildings and more.
What trends are you seeing now that validate and support this vision?
We’re seeing incredible advancements in computing, cloud infrastructure and AI that enable autonomous processes.
For example, data-driven visual quality inspection is becoming more accurate than human inspection. Not only is this conserving resources, but it’s boosting efficiency, quality and safety across industries. We’re seeing this unfold with 36Zero Vision.
Another great example is using AI for the scheduling and optimization of production processes. Flexciton is making huge strides here.
In 2023, when there’s plenty of VC competition, what are some qualities that make Join stand out?
The fact that we’re so hands-on and pragmatic with founders is a big factor. We don’t sugarcoat, and our approach is very transparent. We aim to support with a commercial mindset and help to find practical solutions to founders’ most common challenges.
Can you give us examples of some recent triumphs, milestones and successes?
Our biggest success is returning our debut fund after 4 years through exits to tier 1 US companies. We’re also winning in competitive deals within our segment because founders want Join on their captable. To me, that’s a sign we’re doing a few things right.
How do all the partners work together to achieve the same vision?
Trust is the key ingredient, and you build it through transparency. All wins are joint wins and all disasters are joint disasters. This mindset opens the way for solutions, since all of us can put our heads together. You cannot win in this by trying to exclude others.
Comparing from the founding of Join until the present day. What has remained the same and what has changed?
Mission/vision — We were early movers focusing on industrial and B2B, and now that theme is much more understood and served by investors. Ultimately, this is good for us, as it provides more liquidity to invest and exit.
Economic climate and challenges — Although we’re currently in a challenging market, fundraising has improved compared to 2015. The demand from companies to incorporate tech solutions has increased.
Ecosystem and trends — There’s more liquidity across stages, more diverse founding teams (culture, gender, experience etc.) and more openness among corporates to buy or work with startups.
Name a few moments over the years that have made you go “Aha, this is why we’re doing what we do.”
In general, the milestone technological achievements from our companies are remarkable. It gives me the chills when the impossible becomes possible, especially when roadblocks and hurdles are overcome. It’s also always rewarding when founders thank us for introductions to potential customers — ones that eventually go on to sign contracts.
There’s one specific occurrence from last year that really stands out. I was sitting with a founder who successfully exited, and we were talking about the beginnings of his company, how we helped him get things off the ground, and that we were there during the times of uncertainty.
Describe a challenge that Join has overcome, or something you’ve found personally challenging about growth at Join.
It’s a people business, and the people you start with mean a lot to you. There’s a lot of chaos and very few processes in the beginning, so every individual team member is mission critical. When those people move on to discover and accomplish new things, your first thought is “Things will fall apart without them.” But with growth comes process. Process helps us work with these natural ebbs and flows of our team more easily.
What have you learned about people and teamwork in the last few years of working on Join’s mission?
Everyone has different styles and preferences. Modern communication tools (Slack, Zoom, etc, require a lot of discipline in order to not create misunderstandings. Sitting together face-to-face is still important.
What sector do you find interesting that you haven’t invested in yet?
I’m starting to see the healthtech sector intersect with AI, machine learning and software. I find that interesting and would love to learn more about how software will become an increasingly enabling layer in this sector.
This isn’t a sector, but I’m fascinated by innovation in UI/UX concepts. I’d love to work more with people who have creativity in this field.
What does the future look like for Join? 5 years, 10 years?
With the growth of the Neue Industry, I expect dealflow to increase and possibly open up opportunities to branch out from more specific niches and funds. We can do this by growing the team with more investment professionals who have specific domain expertise.
As a founding partner, you have to make quick decisions, be resourceful and also willing to fail. Have you found any particular source of information, support or inspiration for these moments?
I think many VCs will agree that we often live and breathe what we do, day and night. There is no specific source or magic book for us. It is more about serendipity. We are all open-minded and sociable. We love to travel and meet new people. For me, that’s a huge source of inspiration.
Want to know more? Reach out to Join Capital at hello@join.capital.
