Key Insights from “Between Two Founders” with Vanta CEO Christina Cacioppo
I recently had the opportunity to attend an insightful event, “Between Two Founders,” featuring Christina Cacioppo, CEO and Co-founder of Vanta.
Christina’s journey is truly inspiring—building a category-defining company in cybersecurity and compliance automation, securing 600 customers before even launching a website, and waiting until Vanta reached $10 million in Annual Recurring Revenue (ARR) before raising her Series A.
Today, Vanta is valued at $2.45 billion following a $150 million Series C raise.
The Power of Networking and the Value of Authentic Conversations
The event was well-organized, fostering a relaxed atmosphere that encouraged mingling over drinks and canapés. Our Techscaler cohort connected with several key individuals who were refreshingly open about their experiences. From discussing investment strategies and venture capitalists to offering direct feedback on product development, the conversations were brimming with insights. A recurring theme was curiosity about the Scottish tech scene, highlighting why our cohort has ventured into Silicon Valley, where the pace and scale are unmatched.
Christina’s Key Lessons on Building a Business
Christina shared several valuable lessons from Vanta’s early days and current success.
A few standout insights:
- Finding an Idea: It’s rarely a sudden lightbulb moment. More often, it’s about acquiring deep knowledge in your domain and allowing the journey to shape your product.
- Product-Market Fit: Vanta didn’t launch its product until people were ready to pay for it. This deliberate approach underscored the importance of building something that genuinely meets market demand.
- The Role of AI in Business: Interestingly, Vanta’s approach to AI is minimal internally. Instead, the focus is on customer-facing AI that enhances satisfaction and adds real value. In contrast, many AI incumbents use it as a powerful tool to boost their offerings, highlighting the adaptability needed to stay competitive.
- Demonstrating Over Explaining: Christina stressed that showing your product in action often resonates far more than just explaining it. Early on, Vanta’s growth relied heavily on word of mouth, with initial customers coming through direct, personal engagement.
- Patience in Hiring: Christina’s advice on hiring was particularly impactful: “Never hire hungry.” She emphasized the importance of patience and finding the right fit, even when the pressure is on. Making rushed decisions can lead to costly mistakes, especially when it comes to building a team.
Key Takeaways on Investment and Scaling
Investment was another major topic of discussion, with Christina sharing how Vanta reached $10 million ARR by charging customers annual fees upfront—a strategy that showcased impressive financial health to investors.
She highlighted key metrics that investors focus on, including:
- ARR Growth Rate: Demonstrates your company’s potential and scalability.
- Retention Rate & Net Retention: Shows how well you’re keeping and growing your customer base.
Christina’s advice was clear: keep your board small and filled with members who are genuinely invested in the company’s success, not just their own posturing.
Final Thoughts
Christina’s journey with Vanta is a powerful reminder that success doesn’t come overnight—it’s a culmination of strategic decisions, understanding your market, and staying true to your product vision. It was inspiring to hear directly from a founder who’s navigated the complex landscape of building and scaling a tech company. Her insights are incredibly valuable for anyone looking to make their mark in the industry.
Inese Pritchard, IPGN Solutions
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