Aspiring managers hope the new SVB will offer the same support to new venture capitalists

Before the collapse, Silicon Valley Bank was known to many startups and venture firms as the place to park their money or raise a line of capital. But for aspiring managers, it was much more than just a financial institution.

Several aspiring executives told Zoo House News+ that SVB has helped them build their companies from the ground up. It also helped them build networks and feel integrated into the venture ecosystem despite their size. After the bank collapse and the chaos that followed, many wondered if the things they loved most about SVB would live on.

Unlike many of its banking peers – apart from the equally venture-friendly First Republic Bank – SVB was designed to work with people in the venture community; it had options for smaller funds that other banks didn’t have.

Andav Capital CEO and managing general partner Nisha Desai said SVB is a natural choice for aspiring managers like her as it doesn’t have the minimum account – or net worth requirements – that many other banks have had. These types of limits often constrain first-time funds. SVB also offered these small funds lines of capital, allowing them to start building their track record while they were raising funds.

“They gave you some capital to carry on and invest in companies from your new funds,” Desai said. “That was helpful. Of course, it wasn’t extended to everyone, but that allowed newer managers to get established.”

But rising managers said that while back-end banking primarily brought them into contact with SVB, their commitment to rising managers was what made them want to continue the relationship.