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Hari Raghavan
Serial entrepreneur and investor
Hari Raghavan is a prominent entrepreneur and investor based in Miami, Florida. He is the co-founder of AbstractOps, where he served as CEO from March 2020 to October 2023.1 Currently, he holds the position of Co-founder & Chairman at AbstractOps.1
Professional Experience
Hari's career is marked by significant roles in various companies:
- AbstractOps: Co-founder & Chairman (October 2023 - Present), previously CEO (March 2020 - October 2023)1
- The Autopilot Fund: General Partner (July 2021 - Present)1
- Forge (formerly Equidate): Held multiple positions including COO and VP Operations (2015 - 2018)1
- The Boston Consulting Group: Consultant and Associate (2010 - 2014)1
Entrepreneurial Ventures
Hari is involved in several entrepreneurial endeavors:
- Autograph: A next-gen HR ecosystem that unifies employee data across various HR solutions2
- AbstractOps: A platform that helps growing remote companies manage state compliance2
- Autopilot Fund: An investment fund focusing on products that automate work processes2
Expertise and Interests
Hari's professional interests include:
- Optimizing strategy at the intersection of Product and Go-To-Market
- Compensation approaches, especially for complex roles
- Fundraising strategy, both as a founder and an investor2
He has also been an advisor to companies like AngelList and On Deck, and has experience as an angel investor.1
Personal
Outside of work, Hari enjoys:
- Debating government and politics in the US
- Spending time with family, friends, and his dog
- Exploring great wine or cocktail bars
- Reading fantasy novels (particularly works by Brandon Sanderson)
- Watching TV shows2
Hari is multilingual, with proficiency in Hindi, Tamil, and French.1
Highlights
This is absolutely correct.
Highest {$ of gross profit} / {LoC written}
However, this dates back to an era where eng spend ≈ LoC.
Code is now cheap, so the best metric may be {$ of 2031..35 gross profit} / {$ of 2026..30 R&D}
DROIC (Discounted Return on Invested Capital)
Put together a quick analysis of the Brex exit based on an analysis of their cap table.
Done relatively quickly, so pardon any errors! Funding history sourced from @CaplightData.
Overall, it's a pretty big win. — The company probably minted well in excess of 100 millionaires. — Everyone who joined or invested in 2018 or earlier is probably pretty happy, some even ecstatic. — Those who invested / joined in 2020-21 probably aren't but that is a story that is true of almost every employee or investor in that period (private / public market). — Those who joined in late 2022 through today is probably doing reasonably fine.
Common Stock TL;DR — liquidation Preference took a bit of a bite, but only for those who joined in 2021-22. Everyone else either did fine or really well.
- Founders did very well (~$1B in total). There was a decent bit of dilution, particularly from healthy option pools over the course of 8-9 years.
- Employees joining 2023-2025 would probably be roughly breakeven — they probably received RSUs priced in the $4-6B.
- Employees joining 2021-2022 got stock at the peak. These would have been underwater RSUs or options. Most companies issued additional make-whole shares to those who stuck around. I'm sure Brex did this. However, those who joined then and left after a couple of years probably lost most of the value to their equity.
- Employees joining 2020 did okay -- slightly above where they joined. Not commensurate with the risk, but honestly way better than most companies who raised at peak valuations in the COVID era.
- Employees joining earlier did VERY well. I'd estimate 3-10x if they joined in 2018-19; and 10-100x if they joined in 2017-18.
Investor TL;DR
- Series D/D+ investors in 2021-21 (Tiger, Greenoaks) get money back but 0% IRR. TBH this is a win since most late stage investments in that vintage are tough.
- Series C+ investors in 2020 (Kleiner, DST) get a modest return (1.3x) but suboptimal IRR (4%). Again, tough vintage.
- Series C investors in 2018 (DST) get a decent return (2.75x) and 15% IRR.
- Series B investors in 2018 (YC Continuity) gets an excellent return (12x) and IRR (39%)
- Series A investors in 2017 (Ribbit) did fantastic (80x and 64% IRR)
- YC worth calling out — the regular YC check probably netted out close to $100M, on an (I think) $120K check at the time. 800x in 9 years = 110% IRR ain't half bad. If you bake in YC continuity, a total of $600M on probably ~$40M invested.
