Insider Tips from Goldman Sachs Growth Capital Fund: Christian Resch, Goldman Sachs Head of EMEA Growth Equity

About this episode

What does it really take to secure growth funding of up to $250 million from Goldman Sachs? Christian Resch, European head of Goldman Sachs' growth fund, has been managing the company's multi-billion dollar Growth Fund for 17 years and provides deep insights into the world of growth equity in this episode.

When Goldman Sachs Becomes Relevant for Startups

The Goldman Sachs Growth Fund invests in companies that have already achieved a certain size and market position. Christian Resch explains which characteristics make startups attractive and at what point the Growth Fund comes into play. It's not just about pure revenue figures, but about the complete package of market position, scalability, and management quality.

The Decisive KPIs for Growth Relevance

A central question for founders: Which KPIs indicate whether your startup is already growth-relevant? Resch examines the most important metrics that Goldman Sachs uses in its evaluation. Interestingly, not all KPIs need to be fully met. There is flexibility when other factors are particularly strong.

The discussion around profitability becomes particularly fascinating. While pure growth numbers often took center stage in the past, the focus has shifted significantly in recent years. Resch explains how investors today evaluate the relationship between growth and profitability.

Team Skills for Promising Startups

What capabilities must a founding team bring to become interesting for Goldman Sachs? Christian Resch goes into detail about which skills are particularly important in the growth phase and how management requirements change with company size.

A critical point: How often does it become apparent during the growth phase that the existing management level is "unsuitable" for the next scaling stage? Resch speaks openly about this challenge and how investors handle it.

The Right Path to Growth Investors

How should I, as a founder, properly approach potential growth investors? Should I send the pitch deck myself or get help from my existing investors? Christian Resch provides practical tips on how initial contact works best and what role previous lead investors can play.

Particularly valuable: The insider view on red flags that Goldman Sachs pays special attention to in startups. These warning signals can make the difference between a successful pitch and a rejection.

Challenges in the Current Market Environment

How competitive is the market for growth VCs currently? Resch explains how Goldman Sachs differentiates itself from other growth investors and which factors have become particularly important in today's market environment.

A burning issue: What does Goldman Sachs recommend to founders who have valuations from previous years that appear too high from today's perspective? Resch's practical advice can be valuable for many startups in this situation.

Strategic Considerations for Founders

Christian Resch also addresses more complex topics: How do I pitch M&A scenarios in my funding round? What do I need to consider with multiple arbitrage business models or planned acquisitions? These strategic considerations become particularly relevant for founders in advanced stages.

Finally, Resch shares learnings from recent crises such as the problems with Silicon Valley Bank and provides recommendations on how portfolio companies can protect themselves against such risks.

Christian Resch's insights offer a rare inside view into the thinking of one of the world's leading growth funds. For founders seeking growth financing, these insider tips are invaluable.