The Great CEO Within gets my Five Star book review. In my first startup, I independently learned many of these items although it took years, talking to many people, and reading many books. I wish I had been able to read this one book instead! I read Great CEO Within in two sittings and it […]
Read the postBureaucratic organizations like governments can have almost all of their budgets encumbered year to year in doing what they have already been doing. For established vendors, this momentum and longevity can be a boon in that it leads to long customer relationships. For startups, it can present a problem. How do I break in with […]
Read the postVenture Patterns catalogs the best of what other startups and venture capitalists have figured out. There are recurring patterns in how to build and run startups and funds, we can all learn from what others have done and then innovate on top. By naming and sharing these mental models, we can think and communicate more […]
Read the postShort Description: Mindset is similar to a public market-style investor in that focus is on the selection of the right investment without emphasis or belief in post-investment portfolio company support. Benefits: Avoids the trap of thinking you are the management of the companies and therefore focuses you on picking good management that can accomplish the […]
Read the postShort Description: A way for a GP to build brand for sourcing and LP fundraising is to have investments in companies that are successful and well known. The logos of these well-known and respected companies can be used in the GPs marketing materials hence the term “buying logos”. Buying logos is distinct from investing early […]
Read the postShort Description: Since at least the medium-term success criteria for a GP will be mark-ups from future rounds of financings lead by other firms in portfolio companies, one can choose to optimize for investing in companies that will likely be fundable. This involves paying as much or more attention to other minority investors’ sentiment and […]
Read the postShort Description: An investment strategy, where you pursue lower-risk/lower reward investments. In baseball, the analogy is not to “swing for the fences” with a lower probability chance of making a lot of money, rather have a high probability of making money on each investment. It can impact the investment sectors, business plans, financing strategy, valuations, […]
Read the postShort Description: Mindset is similar to a majority ownership PE-style investor. In this approach, the CEO/founder works for the investor and should fully report on a regular basis. Details of the CEO/founder’s execution should be subject to review at any time by board members/investors and they should not move forward with projects, capital allocation decisions, […]
Read the postShort Description: In the Cofounder pattern, a venture firm identifies a market need or a technology and recruits, key members of management, to make it happen. This approach is more common in life science investing or with research coming out of a university. It also happens in Venture Studios with technology businesses. Benefits: Being willing […]
Read the postShort Description: A mental model of the company side of a GP position. First is sourcing or seeing the companies as it is not a given in a private market that the set of investments will be available to all. Second is choosing which investment you want to make. Third is being able to make […]
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