Who is Roelof Botha?

Roelof Botha is a South African venture capitalist, company director, and actuary who was born on 19 September 1973.

Botha is a partner at Sequoia Capital where he has invested in companies that:

Create global user communities (YouTube, Instagram, Tumblr).
Disrupt via innovative business models (Xoom, Evernote, Weebly), and
Democratize access to technology (Square, Unity, Eventbrite).

Category	Details
Full Name	Roelof F. Botha
Date of Birth	September 19, 1973
Place of Birth	Pretoria, South Africa
Nationality	South African-American
Education	Bachelor of Science in Actuarial Science from the University of Cape Town, Master of Business Administration from Stanford Graduate School of Business
Early Career	Management consultant at McKinsey & Company, CFO at PayPal
Major Companies	Sequoia Capital
Positions	Partner at Sequoia Capital, Former CFO of PayPal
Major Projects	Significant investments in companies like YouTube, Instagram, Square, and Unity Technologies
Notable Achievements	Played a crucial role in PayPal’s development and success, Instrumental in the growth and success of numerous tech startups through venture capital investments
Personal Life	Married with children, Known for a strong network within the tech industry
Vision for Future	Focus on investing in innovative and disruptive technologies, Advocate for the growth of the global tech ecosystem

Read Also: PayPal Mafia

Table of Contents

Education

Botha attended an Afrikaans high school and did not speak English at home. But he forced himself to enroll in an English-speaking university because he believed it would open doors for him later in life.

In 1996, Botha graduated from the University of Cape Town with a BSc in Actuarial Science, Economics, and Statistics.

Like many of his counterparts in the 1990s, Botha was aware of the emergence of the internet and the limitless opportunities it could provide.

Early career

Botha joined the Johannesburg branch of McKinsey & Co. where he worked for two years until 1998.

Shortly thereafter, he moved to the United States to pursue an MBA from the Stanford University Graduate School of Business.

Whilst still a grad student at Stanford, Botha joined a fledgling PayPal after a friend introduced him to Elon Musk.

He started as director of corporate development before moving to VP of finance and then company CFO in 2001 at the age of 28.

He remained in this role until 2003 after eBay acquired PayPal.

Sequoia Capital

At some point, Welsh billionaire and venture capitalist Michael Moritz asked Botha to interview for Sequoia Capital.

Botha joined the company in January 2003 and oversaw many of the investments we mentioned at the outset.

Starting from his early days with the company, Botha used to write 10⁹ on the corner of his notepad every week.

This number reminded him to focus on picking quality start-ups that would enable him to realize his goal of $1 billion in gains.

Botha would later reach $10 billion in gains in 2020.

Investment philosophy

Botha tends to invest in unconventional companies that sometimes expose him to criticism and ridicule.

Examples include Instagram, YouTube, MongoDB, and PayPal where he decision to invest was called “deranged” and incompetent.

To that end, Botha loves spending time with original thinkers who may be a little quirky or even societal outcasts.

When meeting with an individual, he reserves judgment of their business idea until the second conversation.

Botha feels that having one interesting conversation with someone is easy, but whether it can be repeated a second time is the real test.

According to his LinkedIn profile, Botha finds himself “captivated when a founder recounts what inspired them to strike out in their own” and that he is also “drawn to business models built on transparency and responsiveness.”

Redefining venture capital firms

Traditionally, the role of a VC firm in a company ends after an acquisition or IPO.

But Botha – who enjoys working with founders from the early days until well after the company goes public – wants to upend this notion for both Sequoia and the wider industry.

Part of this belief is due to Botha’s passion for helping founders build superior businesses, but this level of involvement could also help Sequoia retain its status as a top-tier firm amid increased competition from private equity firms.

Key takeaways

Roelof Botha is a South African venture capitalist, company director, and actuary who was born on 19 September 1973.
Whilst still a grad student at Stanford, Botha joined a fledgling PayPal after a friend introduced him to Elon Musk.
At some point after eBay acquired PayPal, Welsh billionaire and venture capitalist Michael Moritz asked Botha to interview for Sequoia Capital. He is now a partner at the firm and wants to revolutionize the venture industry itself.

Key highlights about Roelof Botha:

Education and Early Career:
- Botha graduated from the University of Cape Town with a BSc in Actuarial Science, Economics, and Statistics in 1996.
- He pursued an MBA from Stanford University Graduate School of Business, joining PayPal as a grad student after being introduced to Elon Musk.
- At PayPal, he quickly rose through the ranks to become CFO by the age of 28, overseeing the company’s financial operations until eBay’s acquisition in 2003.
Role at Sequoia Capital:
- Botha joined Sequoia Capital in 2003 after being approached by Welsh billionaire Michael Moritz.
- He has invested in companies that create global user communities (YouTube, Instagram), disrupt via innovative business models (Xoom, Evernote), and democratize access to technology (Square, Unity).
- Botha’s investment philosophy focuses on quality start-ups that can achieve significant gains, with a goal of $1 billion in gains that he later surpassed, reaching $10 billion in 2020.
Investment Philosophy:
- Botha is known for investing in unconventional companies, often facing criticism for his decisions.
- He values original thinkers and reserves judgment on business ideas until the second conversation.
- Botha is drawn to founders who are passionate about their vision and believes in business models built on transparency and responsiveness.
Redefining Venture Capital:
- Botha aims to redefine the role of VC firms by staying involved with founders well after acquisition or IPO.
- He is passionate about helping founders build superior businesses and believes this level of involvement can help Sequoia maintain its status as a top-tier firm amidst increasing competition.
Key Takeaways:
- Roelof Botha, born on September 19, 1973, in South Africa, is a prominent venture capitalist, company director, and actuary.
- His career trajectory, from PayPal to Sequoia Capital, highlights his success in identifying and nurturing innovative startups, reshaping the venture industry along the way.