Kyle Kuzma is a lot of things. He is a forward for the Washington Wizards NBA team and a 2020 NBA champion. He is also a style icon – depending on who you ask – and an angel investor. He is now also an advisor to a venture capital fund.
“I’m part of a new generation in the NBA,” Kuzma told TechCrunch in a phone interview. “For me, I’ve always been a hustler and someone who’s very interested in business and doing things just to build generational wealth for my family. I think embarking on the adventure will only take it to another stratosphere.
Kuzma, 28, joined Scrum Ventures in March as an advisor to help with the company’s sports and entertainment fund, which is targeting $120 million. The partnership began in January when Kuzma’s agent, Austin Eastman, was connected to managing director and Scrum partner Michael Proman. Kuzma said he was impressed with the Scrum team. Proman said the positive feeling was mutual.
“The thing about Kyle is that I personally didn’t even really understand how extensive his interests in the venture capital industry were until he was introduced,” Proman said , a former NBA employee on the business development team. “Kyle is really interested in understanding the project playbook, but more so from a project perspective.”
Proman said Scrum’s sports fund, which Kuzma will help with, is a little different from other sports-focused venture capital funds because it focuses on technology that could be useful to athletes or corporate sports clients and is also applicable to other sectors. Ozlo Sleepbuds are a good example of this. The company makes headphones to help people sleep better. Although sleeping well is extremely important for athletes, it extends far beyond professional sports. Scrum participated in the company’s $6 million funding round earlier this year.
Scrum’s broad approach to sports technology makes Kuzma a good advisor, as opposed to another NBA player, Proman said, because Kuzma has already invested in several sectors. Kuzma began investing in 2020 and built a portfolio including soda alternative Lemon Perfect, which went on to raise an additional $67.8 million in venture capital; consumer data company, Surf; and the watch market, Bezel.
“Its investment portfolio is quite diversified; it’s not just your typical sports technology,” Proman said. “Many people want to invest in what they do 24/7, and while they are good at providing insight and analysis on these technologies, in many cases it is not no technologies that could be financed by venture capital.”
Kuzma said he plans to become an active investor and, while he knows a name like his could be a marketing boon for the companies he works with, he said he doesn’t just want to s stop there and that he preferred to use his status to help companies expand their network thanks to his connections. He also thinks his basketball background makes him a good choice as a VC because he is used to working in a competitive environment where you only succeed if you work as a team.
“I bring a competitive nature,” he said. “When you play a sport at the highest level like the NBA, you play chess, not checkers. We are smart; we are not just athletes. We are not just people who play sports and do nothing else.
Kuzma’s presence has already proven beneficial for the company, Proman said, because working with an athlete like Kuzma has led to an increase in interest in the company. Good incoming interest — he clarified.
Kuzma is not the first NBA player to get involved in venture capital. Kevin Durant’s family office, 35V, invests heavily in startups. Steph Curry is Penny Jar Capital’s flagship LP. Former actors like Andre Iguodala and Michael Redd have also taken on more formal roles in the industry, launching their own companies, Mosaic and 22 Ventures, respectively. Kuzma is the latest NBA player to make the move, but he probably won’t be around for long.
“Joining Scrum Ventures is really exciting for me,” Kuzma said. “I want to expand my portfolio and just my reach in the venture capital world. As athletes, they always tell you to diversify your portfolio as much as possible. This is my next iteration as an entrepreneur.
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