How to apply discipline to pricing in early stage venture capital — I’m frequently asked by journalists whether I think venture capital valuations are too high in the current environment. Because the average venture capital fund returns only 1.3x committed capital over the course of a decade according to the last reported data from Cambridge Associates, and 1.5x …

Scenario planning can avoid overreacting or under-reacting — Experienced sailors know that if they turn the wheel too hard, they will quickly need to compensate by turning in the other direction, or worse, they will capsize the boat. The same holds true for startup entrepreneurs and venture capitalists attempting to manage through lean times. Unfortunately, many startups and…

The fact that nobody knows what will happen in the economy provides surprising clarity for decision making — In April of 2020, the stock market crashed and venture capitalists thought this was finally the downturn everyone had been expecting. As investors, we fancy ourselves to be armchair economists, and we trotted out advice to help our portfolio companies survive the financial winter that appeared to be upon us.

Yoda and Obi-Wan Kenobi offer lessons for corporate innovators & startup CEOs — “In a dark place we find ourselves, and a little more knowledge lights our way.” — Jedi Grand Master Yoda As leader of the Jedi council in Star Wars, Yoda was essentially their CEO. It was his job to see the future, a talent specifically honed by the visionary warrior…

Focus on supporting the core, or preparing for disruption? — Corporate innovation executives often wrestle with the purpose of their venture capital (“CVC”) programs and how to implement policies to achieve objectives. In addition to the questions that face every new venture capital fund — like what sector, stage, and geographies should be targeted — corporate VCs must also address…

Human and A.I. customer service are regressing to the mean — I’m particularly interested in how brands build deep engagement with customers to create long-term relationships. I believe customer service interactions are pivotal in this regard, and I often seek out these experiences as a way to learn how smart brands drive loyalty. A few decades ago I had a customer…

Create order from chaos — “Alignment” is an important concept in business dealings between corporations and startups. The word refers to managing incentives so that all parties work together toward common goals. When there is misalignment, stakeholders find themselves fighting or working toward divergent goals. …

The secret behind valuing seed & early stage startups — Venture capitalists frequently say that valuing startups is “more art than science.” If that’s true, then it’s absurdist art, because most seed stage businesses have no value. In fact, seed stage startups — companies that have not yet released a product, regardless of how many rounds they’ve raised — are…

The true role of a chairperson may surprise you — My friend Andrew Williamson of Cambridge Innovation Capital and I were discussing the process for hiring a board chair for one of our co-investments. …