22 May 16 • 2019
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ADAM FINKEL CONTRIBUTING WRITER
Israeli Investor
Founder of Our Crowd to speak at annual Breakfast for Israel.
T
he Jewish National Fund hosts
its annual Breakfast for Israel on
Tuesday, May 21, at Congregation
Shaarey Zedek. This year, the speak-
er is Jonathan Medved, the founder
of OurCrowd, which has funded 170
companies across industries spanning
drones, mobility, digital health and
agriculture health. The crowd-
investing
platform is based in Jerusalem.
Although guests may show up at
the day of the event, it is recommend-
ed they register by May 10 at jnf.org/
Detroit. In addition to hearing from
Medved, JNF communications man-
ager Daniel Peri said, “Guests will
learn more about the important work
Jewish National Fund does each day to
improve the land of Israel for all who
call it home, from building new, afford-
able housing in the Galilee and Negev
to investing in infrastructure, employ-
ment and water reclamation.
”
In anticipation of the JNF breakfast,
the Jewish News caught up with Medved
to discuss some of the leading questions
about his views on technology, policy
and Israel life.
JN: How do you think the Detroit
business community can better partner
and collaborate with Israeli mobility
technologies?
JM: Israel has today emerged as the
leading source of mobility innovation
in the world, led by companies like
Mobileye, the cohort of 500 Israeli
startups is changing the world of sensor
software, cyber security for autos, ver-
ification for next gen networks and so
much more. By hooking up these inno-
vative companies with both the auto
manufacturers and the supply chain,
together with investors, Israel can part-
ner with Detroit and bring these inno-
vative ideas and technologies to market.
JN: When it comes to the internal
rate of return (IRR) and the time-to-li-
quidity, what do you view as realistic to
achieve for a seed investment?
JM: With a seed investment, you
should be ready to wait several years
before you see liquidity, and that can be
three, five, or even more than 10 years
till exit. Venture capital, like a good
wine should not be rushed, and vintage
is important. Giving companies the
proper time to build value is absolutely
essential. Mobileye took almost two
decades until it was acquired by Intel
from its founding.
JN: If you could write the next chap-
ter of Startup Nation, what do you envi-
sion would be trends that most embody
Israel’
s next decade of technology
growth?
JM: A truly global approach to part-
nership whereby it is no longer Silicon
Valley and Boston together with Israel,
but many other geographies hooking
up to Israel’
s ecosystem, such as Detroit,
Austin, Seattle, Miami and others. This
phenomenon goes beyond the U.S., too.
Israel is now playing an innovative role
with partnerships all over the world, in
a way that the first
round of Start Up
Nation did not even
imagine possible.
ISRAELI POLICIES
JN: What do you
think it will take to
get more
entrepreneurial-
oriented leaders
to be actively
involved in Israeli
policy-making and
the broader civil
sector?
JM: That is
already happening
in a major way.
Political leaders such as Naftali Bennett,
who was a startup founder; Nir Barkat
who recently entered into the Knesset,
was the founder of Check Point
Software; Izhar Shay, new MK from
the Blue and White party is a former
GP at Canaan partners; Ayelet Shaked,
very much a startup person … Turns
out there are many tech people entering
Israel’
s political rank and this is a good
thing.
JN: If you were to be in the Knesset
or in the prime minister’
s office, what
policies would you prioritize?
JM: I would spend more money on
education and research to make sure
Israel keeps its competitive edge; fund
programs to increase inclusion to get
more Haredim, Arabs and women in
the tech economy; and keep taxes and
regulation low so we can remain com-
petitive with the best business locations
in the world
JN: What is needed to get more suc-
cessful entrepreneurs to step up their
philanthropic leadership?
JM: Israeli entrepreneurs are tackling
philanthropic challenges with the same
energy that they brought to their inno-
vative companies; however, they will
play by the new rule book that they will
pioneer. In particular, we are interested
in impact investing whereby one invests
money to benefit the world and society
while gaining great financial returns.
We believe you can do both and
provide a double bottom line for the
investor — making
money while doing
good. To this end,
we just launched an
impact investment
fund to allow inves-
tors to back compa-
nies who are solving
sustainable develop-
ment goals promul-
gated by the United
Nations and we will
be measuring the
results of our com-
panies’
considerable
impact.
JN: As perhaps
the most well-trav-
eled investor in the
country, how would
you define the Israel-diaspora relation-
ship today?
JM: It’
s complicated. I think today’
s
diaspora Jewish community is more
familiar with Israel than ever before
because more of them are visiting Israel
— whether it be the youth on Birthright
trips or older individuals who have fall-
en in love with the country. The planes
coming into Israel are now fuller than
ever before with tourism breaking all
prior records.
There are issues of differences in
culture. Israel tends to be more politi-
cally conservative, more religious, more
traditional, and yet I am convinced the
underlying bonds of family, shared tra-
ditions and shared future will win out
and prevent any chasm from opening
between them.
LESSONS LEARNED
JN: What has been the greatest lesson
that you’
ve learned over your career?
JM: Things take time. This business
requires kishkas — intestinal fortitude
— and a willingness to endure the ups
and downs of the venture capital roller
coaster. The other important lesson is
that you must invest using a wide port-
folio approach. Failure in investments
is part of this game; therefore, you do
not put all your eggs in one basket, but
in 10 or more individual investments or
funds that diversify your risk.
JN: You spent your childhood years
in America before making aliyah. What
advice would you offer to a young adult
today seeking to move to Israel?
JM: First: Come to Israel earlier
rather than later. Don’
t “over plan” your
aliyah. Don’
t try to get a job before you
show up. Most importantly, you don’
t
need to make “all or nothing” decisions
about being or staying here. Everyone
should come and spend 6-12 months
in Israel, during a gap year or while
traveling, at any age. Being in Israel and
experiencing what it’
s like to live in a
Jewish country is a spectacular goal and
experience for all Jews. The more dias-
pora Jews participate in the building of
Israel by coming to live here, the better
off we will be as a people.
JN: What was it about your upbring-
ing that impacted your desire to make
aliyah? How much different do you
believe your life would be today if you
had stayed in America?
JM: I was raised in a warm Jewish
family in Southern California, which
had highly meaningful moments of
Jewish life, surrounded by a majority
of non-Jews and a community with
outside influences. When I encoun-
tered Israel, I realized that I could live
Jewishly in a more full-time manner, in
a place where the calendar synced up
with my Jewish life, the surroundings
resonated with me through the ages of
Jewish history and where I was sure the
future for Jews was being built. This is
what attracted me. If I had stayed in
America, I’
m sure I could have lived
a good life, but I’
m not sure that the
excitement, the meaning, the commu-
nity and the sheer fun would have been
quite the same. ■
jews d
in
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Jonathan Medved