Dave McClure: 500 Startups could return to Japan within three to six months

When George Kellerman, a partner in 500 Startups and head of the firm’s Japan operations left in spring of last year, 500 Startups lost an important ambassador to Japanese startups. Kellerman had been a member of the firm for two years and his absence created a hole in 500 Startups’ operations here. That loss has not gone unnoticed.

Speaking in Tokyo today to young entrepreneurs, 500 Startups founder Dave McClure says that his firm has averaged three to five Japanese investments a year – a rate he wants to see become 10 to 20. Citing the country’s strong technical reputation and a large, internet-savvy populace with cash to burn, McClure believes that Japan should be considered one of the best places in the world to build a startup.

500 Startups is planning a formal return to Japan within “three to six months.” When challenged by an audience member why the Japan office has lain dormant for the past year, McClure was straightforward, saying, “[That is] because I am not working hard enough yet. So I am going to try to solve that real soon.”

The VC firm is already very active outside of the US. The fund started in 2010 and will likely fund its 1,000th company next month according to McClure. Approximately 25 percent of those firms are international, spread across 50 countries. Whoever becomes the Japan head will join a team that includes, among others, Khailee Ng, a managing partner focused on Southeast Asia and Rui Ma, a partner based in Beijing.

So far 500 Startups has invested in 17 Japanese firms. Notables in that list include Gengo, MakeLeaps, Whill, OkPanda, VideoSelfie, and Peatix.

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