Introduction to Jon Corrin from XILO
Q: Could you introduce yourself and your startup?
A: Sure, I’m Jon, the co-founder and CEO of XILO, a company I started in 2018 with a childhood friend who owned an independent insurance agency. My journey into the startup world began after college. I turned down a job offer from Vanguard to launch my own startup, which didn’t succeed. This setback led me to become a software engineer. About a year into my engineering career, I felt compelled to embark on another startup venture, leading to the creation of XILO. We aimed to innovate in the insurance agency space, recognizing early on that despite attempts by new players to disrupt the market, insurance agents are here to stay for the foreseeable future. Our observation was that while many direct-to-consumer models struggled, the agent market share actually grew. However, the process of obtaining insurance through agents remains outdated. In a world where you can receive an Amazon package faster than an insurance quote, there’s a clear opportunity for improvement. XILO is developing workflow automation technology to enhance operational efficiencies for insurance agents and brokers across the board, including captive, independent, brokerages, and MGAs, serving the 1.3 million agents in the US. Our technology also focuses on improving client experiences, enabling agents to compete with disruptors looking to take their market share.
Discovering Forum Ventures
Q: How did you come across Forum Ventures?
A: In 2020, right as COVID hit, we had just secured investment from a few investors, one of whom had a connection with Acceleprise, which is Forum Ventures’ former name. This investor recommended we look into their accelerator program. Coincidentally, a well-known competitor of ours had previously participated in it, which further piqued our interest. Considering their progress and industry recognition, we saw it as a valuable opportunity for XILO. Forum Ventures, known for its focus on enhancing sales processes for startups, seemed like a perfect fit to help us refine our sales strategy. Their reputation as a sales accelerator was a significant factor in our decision to join, and indeed, their support played a crucial role in improving our sales approach.
The Interview and Selection Process
Q: Can you describe any interviews or the application method for Forum Ventures?
A: Yes, there definitely were interviews involved in the process. I remember we applied through an online form initially. We had at least one interview with the program manager of our cohort. Additionally, we were required to provide three customer references as part of the application. That’s about all I can recall from the process.
Funding and Equity Details with Forum Ventures
Q: Does Forum Ventures provide immediate funding upon joining, and do they take equity in return?
A: Yes, they provided funding right away when we joined. It’s important to note that it’s been a few years, so their model might have changed since then. But at the time, they did offer a small amount of cash as part of joining the accelerator. And yes, this funding was in exchange for equity in our company. Unfortunately, it’s been quite a while, about four years, so I don’t recall the exact figures or the detailed terms of the arrangement.
A Glimpse into a Day at Forum Ventures
Q: Can you describe what a typical day looked like during the accelerator program?
A: Sure, our experience with Forum Ventures (previously AccelaPrize) was quite unique and hands-on, especially since it took place about a month before COVID hit, allowing us to participate in-person. We’re based in San Diego, but we would fly to San Francisco once a week, staying there for two days. Our days at the accelerator were spent at an office in San Francisco, focusing on various initiatives we were running as part of the program. One of the standout features of Forum Ventures was their mentorship. They brought in highly accomplished individuals from reputable companies, such as the CEO of Gainsight. These mentors would discuss specific topics, followed by extensive Q&A sessions. Unlike traditional classroom settings, these sessions were intimate, with around 10 to 12 participants, allowing for deep dives into the subjects at hand. This setup was particularly beneficial for us since we were a post-revenue startup with existing customers, making the discussions and insights directly applicable and immensely valuable.
Key Highlights of the Forum Ventures Program
Q: What aspect of Forum Ventures particularly stood out for you?
A: The aspects that truly made an impression on me were the sales mentorship and the individual mentorship from accomplished professionals. Being relatively new to our sales journey, with only about a year of experience and less time doing it successfully, the guidance we received was invaluable. It helped us structure the future of our sales organization, and we’ve continued to apply the fundamentals learned from Forum Ventures to our operations.
Additionally, the caliber and quality of the mentors were beyond my expectations. Coming from San Diego, the exposure to high-level executives and professionals from well-known San Francisco-based companies was a cultural shock. Meeting VPs and other executives from recognizable and esteemed companies provided us with insights and motivation that we hadn’t encountered in our local environment. This level of access and mentorship was something I hadn’t anticipated and was incredibly beneficial for our growth and development.
Impactful Elements of Forum Ventures Experience
Q: What aspects of the Forum Ventures program were most impactful for you?
A: Two main elements stood out significantly during our time with Forum Ventures: the sales mentorship and the personal mentorship from already successful individuals. These aspects were particularly impactful because we were at a very nascent stage in our sales journey, having been actively selling for only about a year, with less time doing so successfully. The program played a crucial role in shaping the future of our sales organization, and we’ve adhered to the foundational principles we learned there ever since. What also surprised me was the caliber of individuals Forum Ventures brought in to mentor us. The quality and level of these mentors were exceptional, especially considering my San Diego base. The experience of meeting and learning from VPs and executives from well-known and successful companies in San Francisco was eye-opening. It highlighted a cultural and professional contrast to what I was accustomed to in San Diego, showcasing the access to highly motivated and talented individuals that you might not find elsewhere. This exposure was an unexpected but highly valuable aspect of the program, contributing significantly to our growth and perspective.
The Most Impactful Element
Q: What aspect of the program had the most significant impact on you?
A: The most transformative aspect of the program was its assistance in developing the architecture of our sales organization. This was crucial, especially considering our position four years ago, when we primarily catered to SMBs (Small and Medium-sized Businesses).
As we’ve evolved to focus more on mid-market and enterprise segments, the foundational strategies and structures established during our time in the accelerator have been instrumental. Even if we had participated in the program at a later stage, the guidance received would have likely been just as beneficial. The program enabled us to expand our sales team significantly, equipped with a clear playbook and plan for growth. This strategic development in our sales framework has been the most impactful outcome of our participation, laying a solid foundation for our scaling efforts.
Post-Accelerator Relationship with the Program
Q: How is your relationship with the accelerator now, and how has it evolved since completing the program?
A: It’s good. I’m still actively involved with the program, especially through their Slack channel, which serves as a community I can reach out to whenever I need support, whether it’s for mentorship, consultancy, hiring, or fundraising. They’re among the top resources I consult for various needs. A particularly significant impact they had was during our capital-raising phases. Although it’s been a while, the assistance we received in getting introduced to a wide array of investors was invaluable. We managed to raise capital at the beginning and end of 2020, significantly aided by the introductions they facilitated to about 80 to 90 venture capitalists.
This network has remained a critical resource for us whenever we’re seeking additional capital. It’s worth noting that the benefits we’ve reaped from this relationship extend beyond just the fundraising. The sales structure advice, the venture capital introductions, and the mentorship have been pivotal. Moreover, the connections made with high-level mentors from reputable organizations have endured, providing ongoing value. Even now, we still leverage this network, albeit not monthly, then at least once or twice a year, and it continues to yield benefits. This enduring relationship underscores the lasting impact the accelerator program has had on our growth and development.
Advice for Aspiring Accelerator Applicants
Q: Do you have any advice for startups considering applying to accelerators?
A: Absolutely, focus on getting customers first. Traction is key to winning over accelerators or investors. If you can show proof of your business’s unit economics, like acquiring ten customers and retaining most of them within a year, with some even expanding their contracts, you’re on the right path. However, it’s also crucial to have a grand vision. While tackling a niche market can attract certain investors, accelerators like ours, which think more like traditional VCs, are looking for big ideas. So, if you’re aiming for the venture capital route, make sure to not only demonstrate strong traction but also present a bold vision that indicates significant growth potential.