Kyle Kuzma is a variety of issues. He’s a ahead for the Washington Wizards NBA crew and a 2020 NBA champion. He’s additionally a mode icon — relying on who you ask — and an angel investor. Now he’s an adviser at a enterprise fund too.
“I’m a part of a brand new era of the NBA,” Kuzma advised TechCrunch in a cellphone interview. “For me, I’ve at all times been a hustler and someone that may be very occupied with enterprise and doing issues simply to arrange my household’s generational wealth. I feel stepping into enterprise is barely going to take that to a special stratosphere.”
Kuzma, 28, joined early-stage-focused Scrum Ventures in March as an adviser to assist with the agency’s sports activities and leisure fund, which is focusing on $120 million. The partnership began in January when Kuzma’s agent, Austin Eastman, was related to Scrum managing director and companion Michael Proman. Kuzma stated he was impressed with Scrum’s crew. Proman stated the optimistic sentiment was mutual.
“The factor about Kyle is, I personally didn’t actually even perceive how intensive his pursuits had been within the enterprise area till after getting launched,” Proman, a former NBA worker on the enterprise improvement crew, stated. “Kyle is de facto occupied with understanding the enterprise playbook however extra so from the enterprise facet.”
Proman stated Scrum’s sports activities fund, the place Kuzma might be serving to, is a bit totally different than different sports-focused VC funds, as a result of it focuses on tech that may very well be helpful to athletes or enterprise sports activities clients and can also be relevant to different industries. Ozlo Sleepbuds is an efficient instance. The corporate makes earbuds to assist individuals sleep higher. Whereas sleeping effectively is extremely vital for athletes, it’s vital far past skilled sports activities too. Scrum participated within the firm’s $6 million seed spherical earlier this 12 months.
Scrum’s broad strategy to sports activities tech makes Kuzma a superb adviser, versus one other NBA participant, Proman stated, as a result of Kuzma has already invested throughout a number of sectors. Kuzma began angel investing in 2020 and has constructed up a portfolio that features soda various Lemon Good, which has gone on to boost a further $67.8 million in enterprise capital; client information firm, Surf; and watch market, Bezel.
“His funding portfolio is fairly numerous; it’s not simply your traditional sports activities tech,” Proman stated. “There are a variety of people on the market that need to make investments into what they do 24/7, and whereas they might be nice at offering insights and evaluation of these applied sciences, in lots of instances these aren’t venture-backable applied sciences.”
Kuzma stated he plans to be a hands-on investor, and whereas he is aware of a reputation like his may very well be a advertising and marketing boon for the businesses he works with, he stated he doesn’t simply need to relaxation there and would moderately use his standing to assist corporations broaden their community utilizing his connections. He additionally thinks his expertise enjoying basketball makes him a superb match as a VC as a result of he’s used to working in a aggressive atmosphere the place you don’t succeed except you’re employed as a crew.
“I deliver a aggressive nature,” he stated. “Once you play sports activities on the highest degree just like the NBA, you might be enjoying chess and never checkers. We’re sensible; we aren’t simply athletes. We aren’t simply those that play sports activities and never do anything.”
Kuzma’s presence has already proved useful for the agency, Proman stated, as working with an athlete like Kuzma has led to an uptick in inbound curiosity within the agency. Good inbound curiosity — he clarified.
Kuzma isn’t the primary NBA participant to get entangled with enterprise capital. Kevin Durant’s household workplace, 35V, invests closely in startups. Steph Curry is the anchor LP of Penny Jar Capital. Former gamers like Andre Iguodala and Michael Redd have taken extra formal roles within the business, too, by launching corporations of their very own, Mosaic and 22 Ventures, respectively. Kuzma is the newest NBA participant to dive into enterprise, however he doubtless gained’t be the newest for lengthy.
“Becoming a member of Scrum Ventures is de facto thrilling for me,” Kuzma stated. “I need to additional my portfolio and simply my attain within the VC world. As athletes, they at all times let you know to diversify your portfolio as a lot as you possibly can. That is the subsequent iteration of me as an entrepreneur.”
