Kyle Kuzma is a whole lot of issues. He’s a ahead for the Washington Wizards NBA group 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 instructed TechCrunch in a telephone interview. “For me, I’ve at all times been a hustler and someone that could be very thinking about enterprise and doing issues simply to arrange my household’s generational wealth. I believe moving into enterprise is just 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 concentrating on $120 million. The partnership began in January when Kuzma’s agent, Austin Eastman, was linked to Scrum managing director and accomplice Michael Proman. Kuzma mentioned he was impressed with Scrum’s group. Proman mentioned the constructive sentiment was mutual.
“The factor about Kyle is, I personally didn’t actually even perceive how intensive his pursuits have been within the enterprise area till after getting launched,” Proman, a former NBA worker on the enterprise improvement group, mentioned. “Kyle is de facto thinking about understanding the enterprise playbook however extra so from the enterprise facet.”
Proman mentioned Scrum’s sports activities fund, the place Kuzma might be serving to, is slightly completely different than different sports-focused VC funds, as a result of it focuses on tech that could possibly be helpful to athletes or enterprise sports activities clients and can be relevant to different industries. Ozlo Sleepbuds is an effective instance. The corporate makes earbuds to assist individuals sleep higher. Whereas sleeping effectively is extremely necessary for athletes, it’s necessary 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 very good adviser, versus one other NBA participant, Proman mentioned, 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 different Lemon Excellent, which has gone on to lift an extra $67.8 million in enterprise capital; shopper information firm, Surf; and watch market, Bezel.
“His funding portfolio is fairly various; it’s not simply your basic sports activities tech,” Proman mentioned. “There are a whole lot of of us on the market that wish 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 mentioned he plans to be a hands-on investor, and whereas he is aware of a reputation like his could possibly be a advertising boon for the businesses he works with, he mentioned he doesn’t simply wish to relaxation there and would relatively use his standing to assist firms develop their community utilizing his connections. He additionally thinks his expertise taking part in basketball makes him a very good match as a VC as a result of he’s used to working in a aggressive atmosphere the place you don’t succeed until you’re employed as a group.
“I convey a aggressive nature,” he mentioned. “Once you play sports activities on the highest degree just like the NBA, you’re taking part in chess and never checkers. We’re good; we’re not simply athletes. We aren’t simply people who play sports activities and never do the rest.”
Kuzma’s presence has already proved useful for the agency, Proman mentioned, 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 become involved 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 companies of their very own, Mosaic and 22 Ventures, respectively. Kuzma is the most recent NBA participant to dive into enterprise, however he probably received’t be the most recent for lengthy.
“Becoming a member of Scrum Ventures is de facto thrilling for me,” Kuzma mentioned. “I wish to additional my portfolio and simply my attain within the VC world. As athletes, they at all times inform you to diversify your portfolio as a lot as you possibly can. That is the subsequent iteration of me as an entrepreneur.”
