One of Boston’s most active Venture Capitalists sees 600 pitches a year, but he looks carefully at only 20 companies (of which he invests in only five.) Given the quality of most company pitches I see as a mentor, it’s not surprising how few companies make the cut.
A winning VC pitch should quickly answer only five questions, in order:
• Size of Problem: Is this a big problem? VC’s only want to invest in companies that can be big.
• Right Solution: Is yours the right product to solve this problem?
• Selling: Is there a realistic way you can reach customers?
• Profit: Is there a way you can make money? I.E., can you profitably obtain customers?
• Team: Only if the first four are answered do they even care to ask, Is this the right team?
Most pitches I see spend too much time talking about the product and about the team; pitches should spend the most time talking about the problem and about how the product will be profitably sold.
Finally, to make your pitch stick in the VC’s mind, your pitch should include two more things:
• Two Key Stats: Two statistics that are so compelling that the VC will go home and tell their spouse about them at dinner.
• One Memorable Story: One story, memorable enough that they will again tell their spouse tonight.
Throw out your current pitch deck and create from scratch a new, short one that covers these seven things.
If what Alexander Graham Bell invented in 1876 was email – and if the technology invented 95 years later was the telephone – the immediacy of a telephone call would have been seen as an improvement over the delayed back-and-forth communication of email.
Most of us either misuse email ourselves, or we get buried in emails sent by others who misuse email. And many of us hoped that implementing Slack would solve the email problem, but it hasn’t Until all of our suppliers and customers also use Slack — and untill we know when to use Slack and when not to — we still have a need to make email efficient. And we need to use Slack efficiently!
Here’s a collection of 22 tips on how to make email — and Slack — efficient. I contend that, if each of us followed all 22 tips, we’d… (more…)
Executive Recruiters sometimes say the most difficult C-Suite search is finding the right COO. Even agreeing on the job description can be a battle! It doesn’t need to be so hard! Here are 6 tips to demystify the process.
Understand Why It’s Difficult: A problem is easier to solve if you understand the root cause. The COO role differs from all other C-Suite roles for one reason: while other C-Level jobs are defined in relation to the work to be done, the COO’s role is mostly defined in relation to the CEO as an individual. From company to company, the role of COO is hugely varied, depending on (a) the needs of the company and, even more importantly, on (b) the strengths — and the desires — of the particular CEO.
Pick One of the 6 Types of COO’s: The first requirement is to pick the “type” of COO needed. There are as many as six different “types” of COO’s as listed later. Each of these different types arises from the different motives behind creating the position in the first place. Once you agree on these motives, picking the type is easy.
NOW Tackle the Job Description: Only after you’ve agreed on your motive for hiring a COO — and you’ve picked the type – can you now create the COO’s job description; which things will s/he do (and which things will the CEO still do.) Define the COO’s role to be complimentary to the particular CEO. Define the roles so the CEO can focus on the things at which s/he excels and, hopefully, enjoys.
Agree on Decision Making Authority: One of the toughest things to determine is which decisions the CEO is now going to relinquish to the COO. You’ll not be able to attract a top-notch COO if this is not discussed in advance. Define clear decision-making “rights” for the COO, with explicit and reasonable lines of demarcation between CEO and COO decision making responsibilities.
The Last Remaining Hurdle: Throughout the recruiting process you need to determine two more things:
Establishment of Trust— The most important aspect of a successful CEO-COO relationship is the establishment of trust. Trust begins with the CEO coming to terms with why a COO is even being added to the C-Suite. The CEO must then convey the “why” to any prospective COO.
Respect— The CEO and COO must have mutual respect. They need to recognize and appreciate the skills each brings. And they must be completely open with each other. This is the “chemistry” that people often speak of and it must be determined before the COO is hired.
A Short-Term Alternative – an Interim COO: The process or specing and then hiring a COO can be daunting, particularly if it takes a long time for the CEO and the Board to work through all the above. If that’s the case – and if you have immediate needs — you might consider bringing in a seasoned Interim COO while you work through the process. This should NOT be a “try-and-buy” situation, but rather someone who can be an extra set of hands to “get stuff done” while the CEO and the Board work through the process. In addition to getting stuff done, a good Interim COO can help you get through the above process more quickly.
Six Different COO Roles
As noted earlier, the different types of COO’s arise from the different motives behind creating the position in the first place. Note: In some companies, the COO could play two roles at the same time.
Change Agent. Lead a specific strategic imperative, such as a turnaround, a major organizational change, or a planned rapid expansion.
Mentor. Mentor a young or inexperienced CEO (often a founder). As the CEO develops, this COO role will either disappear or be heavily restructured.
CEO’s “Other Half.” If CEO is the kind of person who works best with a partner.
Heir-apparent. To groom—or test—a company’s CEO-elect.
Important Team Player. Promote to the COO role an executive considered too valuable to lose.
What I Do: I am a professional Interim CEO or COO. Since 2000 I have been asked 24 times by investors and/or board members to jump into a company on an interim basis to help the company get started, restarted, or grow to the next level. I am an agent of change. LinkedIn www.linkedin.com/in/DesmondPieri
Most startup CEO’s would love a COO but can’t afford it. So they do the work themselves, even though “COO work” is not what they love. My just-finished Interim COO gig at Workbar is a perfect example of where the short-term expense of an Interim COO might be the way to go.
Workbar is Boston’s original coworking space and has a hub-and-spoke network of 20 locations, each with a unique “four-neighborhood” design. As interim COO, I revamped the management team of this 30-person company, implementing processes to get the company organized, focused, and in sync. As a team, we migrated the company so it can sustain rapid growth in Greater Boston and beyond.
What I Do: I am a professional interim CEO or COO. Since 2000 I have completed over 20 interim roles in the US and abroad, from pure startups to companies with $25 million in revenue. I am an agent of change, helping companies get started, restarted, or grow to the next level. LinkedIn www.linkedin.com/in/DesmondPieri
I don’t know Mark Suster from Adam, but I agree with his four-minute post on Medium. He talks about how leadership is about being respected more than loved; about how leadership is a thankless and stressful job. He talks about the importance of the followers — the team — and how the results are owned not by the leaders but by the followers. And he talks about how if you’re not going to lead or follow (and most of us do both; we follow our boss while we lead our team), then you should quit and join another organization.
As with all of 15 interim gigs, the success we had over the last year when I was Interim CEO at Cambridge Sound Management is due to the people. As my first boss said, “Success in business is all about the people.” Hire good people. Train them. Motivate them. Empower them.
I’ve found this to be true no matter what industry I’ve been in and no matter what size the company.
CSM is the number one sound masking company in the world. It’s main product line, QtPro is based on patented technology and is used by over 40% of the Fortune 100 companies to protect speech privacy and to (more…)
I was lucky to be asked to write the eulogy for my mom’s funeral on December 30th — exactly 51 years to the day after my dad’s funeral. But it wasn’t my work – rather it was the collective work of many people, whose help I appreciate. In case you’re interested, here it is…
There’s an expression, “You only die if no one remembers you.” Based on the many heartfelt stories we’ve received, it’s clear that if ever there is someone who will be remembered, it is Eileen.
Today, let’s remember Eileen with numbers.
As many of you know, Eileen was always good with numbers. Well into her 97th year mom could still rattle off all sorts of numbers such as the World War II dog tags of our dad and her brother. Right out of high school, Eileen became a master at running one of the precursors to the modern computer, a machine called a Comptometer. She was so good at it the bosses gave her some of the toughest calculations to do, often with businessmen in suits and smoking cigarettes hovering over her shoulder waiting until (more…)
Many (most?) founding CEOs don’t survive their VCs. As Galen Moore states in his Mass High Tech piece, “Venture capital investors are notorious for investing in a startup, then replacing its founder with a more-seasoned CEO from their network.” Galen highlights four founding CEOs that have survived, though the article is a bit light on specifics as to how each achieved their success.
Here’s one way: In the last decade, I’ve seen first-hand a number of companies where a founding, first-time CEO heads the VCs off at the pass by bringing in a seasoned COO, on an interim basis, to help them through a rough patch.
It’s true that half of my ten interim assignments have been as CEO, where the VCs wanted to replace a founding CEO. In each case I was asked to take over from a fired founding CEO and “right the ship” before an executive search for an industry-specific CEO could be undertaken.
But the other five interim assignments have been as COO, where the founding CEO themselves decided (more…)
When I was signing up for this year’s unConference, I was reminded how last year’s event was great because of the impromptu breakout sessions where it was fair game to discuss controversial subjects. I wish every founding CEO could have been at last year’s session titled, “How founding CEOs can transition from visionary to leader.” Though that was the title, it was clear from the get-go that this session was really about, “How founding CEOs can avoid getting fired before they ever make that transition from visionary to leader.” Eric Paley and Katie Rae, the session leaders, did a great job covering this controversial subject, focusing on solutions to this common problem.
For the last decade, I have been “up close and personal” with the subject of founding CEOs getting fired. As interim CEO at a half dozen companies I bridged the gap after a founding CEO was let go by his investors. And as interim COO at another half dozen companies I helped the founding CEO endure the pressures of their job. (As one founding CEO said when he called asking for help, “Des, I’m one Board meeting away from getting fired. Can you give me a hand?”)
In last year’s unConference session, people had many reasons why founding CEOs get fired “early and often.” The reasons that resonated with me are: (more…)
I advise young founding CEOs, either in my role as interim COO or as a “CEO Coach.” A common issue they raise is their frustration with an employee who does not work incredibly long hours. I struggled with this until I recalled that, when I was their age, I felt the same way! I’ve been managing since I was 23 and, for about a decade, I too was impressed with an employee who worked the longest hours.
I don’t know Mark Suster from Adam, but I agree with his four-minute 
Many (most?) founding CEOs don’t survive their VCs. As Galen Moore states in his Mass High Tech 
Change Agent 