Jul 7, 2021
Meet Dan Chaplin, Principal at Dawn
Dan is a Principal at Dawn and works on our fintech investments across Europe. Let’s meet him!
Why B2B software VC?
I don’t think there’s ever been a more exciting time to be involved in B2B software. We’re only at the start of the transition to cloud and with an increasing depth of funding, talent and experience in Europe, the pace of innovation is rapidly accelerating. As a VC, you’re standing at the frontier of this change, taking a view on what’s coming next and then supporting the exceptional teams who are working tirelessly to drive it forward.
Most exciting moment at Dawn?
It’s really difficult to pin it down to a single moment — it’s been a whirlwind with the launch of three funds since I joined the team! Inevitably the most gratifying moments are seeing the successes of founders and companies you work with as they move from strength to strength. The team at Tink are a great example of this. They were pioneers in Europe’s open banking ecosystem and over the last few years have been right at its heart, driving it forward and powering better financial experiences for millions of consumers and businesses across Europe. It’s a hugely exciting journey to have been a part of and their recent $2.2 billion acquisition by Visa is just an incredible outcome for the team.
What do you think is the most interesting trend in the industry, and why?
B2B software has become the hot space to be, from the public markets down, and we’re seeing huge amounts of capital flowing into the sector as a result. Even at the early stage, the most promising companies now really do have their pick of a global set of investors — so more than ever, VCs really need to prove and demonstrate the expertise and experience they can bring.
It also means B2B businesses in the fintech market where I spend most of my time are receiving increasing attention. That’s a fantastic thing as there are still so many huge companies yet to be built as the structures of the market evolve so fast. Increasingly open data ecosystems are going to impact everything, from credit to payments to insurance, and they will need new infrastructure platforms to support them. And I don’t think we’ve even seen the horizon yet on the potential impact of digital assets and DeFi.
What have your last three and a half years at Dawn been like?
It’s just been a whole lot of fun. The best thing about this job is the opportunity to work with brilliant people. I’ve had the privilege of meeting a huge number of impressive founders, and of working day-to-day with the fantastic teams like Tink, OpenGamma, Element and Eigen. Sharing in their ups and their downs and helping them to problem solve has been incredibly fulfilling.
And just like our portfolio companies, Dawn’s also been building and growing! When I joined we were only seven people — now we’re just shy of thirty. It’s been great to have been a part of that growth as we continue to learn from each other and our portfolio. We have a truly awesome team. I couldn’t ask to work with a more interesting, talented and dedicated group as the Dawn family.
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And the quick-fire round!
Netflix series you most recently binged on and would recommend
Anthony Bourdain’s ‘Parts Unknown’. Bourdain was a masterful storyteller and globe-trotting with him through the world’s richness of foods and cultures was the perfect bit of escapism needed at the height of last year’s lockdown. It’s fantastic.
Favourite SaaS metric and why
Net dollar retention is definitely on trend — and for good reason — but growth is king and gives you a lot of room for manoeuvre. Outside the metrics, what you really want to see are businesses creating deep economic moats which are the key to building sustained value in B2B software. The best companies think strategically at every step about building long-term defensible barriers to entry — whether as a platform, a system of record, or with a strong network effect at the core of the proposition.
Best book for a much-needed holiday
Hitchhiker’s Guide to the Galaxy. I’ve picked it up again and again and it’s a perfect light read. Witty, absurd, and frankly often still painfully prescient…
Best and worst thing to see in a deck
A deck has to hang on a well-crafted story, the compelling narrative that puts a shape on the metrics and really answers the questions “why this? why now? why will we win?”. Worst thing? The graph with no labels…
Recipe for the perfect evening/weekend?
It’s hard to look past a long walk out in the countryside with a stop off at a cosy pub! And some live sport is always a winner!
If you could build one company right now, what would it be?
Ah, don’t make me give away my best ideas! The enormous B2B payments market is a pretty compelling place to build today — there’s still a huge amount of greenfield space to digitise and automate what are still often clunky and manual workflows.
Best piece of advice you have given or received?
Don’t panic…
