...Particularly on the point about companies with (what would have been) large exits not moving the needle.
I do think this creates a powerful counter-positioning mechanism for smaller funds, but then they also need data (qual and quant) that quickly validates that such attention is productive.
I’m talking with some LPs / friends who run family offices etc., some of them scoff at the notion of a firm “being in the trenches” with founders -- “let entrepreneurs run their business.”
I think this refrain works for some founders, but the reality is that most pre-seed or seed founders are doing this for the first time, and need thoughtful, deep help, and that can go beyond getting research reports and ascend towards someone actually sitting down with you for 2-3 hours and being an actual team member. More LPs should consider the styles of involvement honestly, and maybe consider this as a dimension for investment -- degree of involvement / VC-portco collaboration model
Anyways, awesome writing as always, Kyle. Reach out if you’re ever in ATL -- would be awesome to grab coffee
This is great, nice work Kyle! Having worn LP and VC hats, this is always a perspective I wish more founders, etc could see from, especially orphaned startups in recent years. Thanks for thoughtfully highlighting the different sides of the story.
Bringing just one perspective here... as an executive coach, I've long grappled with why VCs are so uninterested in leadership development. I've generally concluded that it's not necessarily that they don't care (many don't but some genuinely do), it's just not high up on their list of priorities. This articulates why they think like that in much more detail, so thank you.
such a great discussion, and i don't say this just because you mention us :)
One of the best reads of 2022.
...Particularly on the point about companies with (what would have been) large exits not moving the needle.
I do think this creates a powerful counter-positioning mechanism for smaller funds, but then they also need data (qual and quant) that quickly validates that such attention is productive.
I’m talking with some LPs / friends who run family offices etc., some of them scoff at the notion of a firm “being in the trenches” with founders -- “let entrepreneurs run their business.”
I think this refrain works for some founders, but the reality is that most pre-seed or seed founders are doing this for the first time, and need thoughtful, deep help, and that can go beyond getting research reports and ascend towards someone actually sitting down with you for 2-3 hours and being an actual team member. More LPs should consider the styles of involvement honestly, and maybe consider this as a dimension for investment -- degree of involvement / VC-portco collaboration model
Anyways, awesome writing as always, Kyle. Reach out if you’re ever in ATL -- would be awesome to grab coffee
very interesting read - it always sends red flags when I see VCs investing in hundreds, thousands of companies. No strategy, panic button energy.
This is great, nice work Kyle! Having worn LP and VC hats, this is always a perspective I wish more founders, etc could see from, especially orphaned startups in recent years. Thanks for thoughtfully highlighting the different sides of the story.
The more passive behavior, the bigger the opportunity for the good active players.
Very interesting to see the same dynamics of the public markets happening also in the private one.
Amazing article Kyle, I devoured it.
Bringing just one perspective here... as an executive coach, I've long grappled with why VCs are so uninterested in leadership development. I've generally concluded that it's not necessarily that they don't care (many don't but some genuinely do), it's just not high up on their list of priorities. This articulates why they think like that in much more detail, so thank you.