20VC: Michael Mauboussin on Good vs Bad Investment Decision-Making Processes, How To Improve Your Process, How To Know When it Needs Improving and The Single Biggest Mistakes People Make In Their Decision-Making Process

Jeff Bussgang is a Co-Founder and General partner @ Flybridge Capital, where has made investments in numerous incredible companies including 2 former guests of the show, Jeff Seibert @ Crashlytics (sold to Twitter) and Josh Udashkin @ Raden. Jeff is also a Senior Lecturer @ Harvard Business School where he has co-authored no less than 15 cases. He is also an author having written the renowned, Mastering The VC Game to the acclaim of The Financial Times, TechCrunch, BusinessWeek and more. Jeff also has an incredible blog, Seeing Both Sides, which you can find here. In Today's Episode You Will Learn: 1.) How Jeff made his way into VC? How did he come to co-found Flybridge? 2.) To what extent does Jeff believe there is a glass ceiling for people without operations experience to progress up the VC ladder? 3.) How can companies establish cultures and processes when they have to change and reinvent every 6-12 months? 4.) What are venture returns? What metrics does Jeff use to determine his success? 5.) Is a focus on unit economics now one of the only ways to achieve equity value creation? How can consumer adoption drive equity value creation? Items Mentioned In Today's Show: Jeff's Fave Book: Man's Search For Meaning by Viktor Frankl Jeff's Fave Blog or Newsletter: Mattermark Daily Jeff's Most Recent Investment: Sentenai As always you can follow The Twenty Minute VC, Harry and Jeff on Twitter here! If you would like to see a more colourful side to Harry with many a mojito session, you can follow him on Snapchat here! This episode was brought to you by DesignCrowd, the online marketplace for custom graphic, logo and web design that helps startups, entrepreneurs, web developers and agencies outsource design projects to designers from around the world. How Does It Work? Once you have launched your brief, designers will begin submitting quality designs for you to review. With some constructive feedback, you can quickly generate a large gallery of designs that really do fit your needs. You can have exactly what you need within just three days. Once you have selected your favourite design, you will be sent all the files you require to update your branding. If you don't like any of the submitted designs, then DesignCrowd offers a money back guarantee. So checkout designcrowd.com/VC and enter the promo code VC100 to get an astonishing $100 off your next project.

18 Juli 201624min

Kyle Hill is the Co-Founder & CEO @ HomeHero, one of the largest providers of non-medical home care in California. HomeHero has provided over 1 million hours of care to thousands of families and won "Best Employment Website of 2014". Due to this immense success Kyle has been on CNN, Forbes, Wall Street Journal and many more. HomeHero has raised funds from some of the world's best investors including Chamath & Mamoon @ Social Capital, Jason Calacanis @ TWIST and Peter & Michael @ Science Inc. Click To Play UPVOTE ON PRODUCTHUNT In Today's Episode You Will Learn: 1.) How Kyle came to found HomeHero? What was the a-ha moment for him? 2.) Question from Mamoon @ Social Capital: Considering that this is not your typical software business; being largely people centric, how does Kyle think about the profitability of such a business? 3.) How much of a role does unit economics lay in the mind of Kyle? How does Kyle look to balance growth with profitability? 4.) How was the fundraising process for Kyle with Chamath & Mamoon @ Social Capital? What did Kyle do to prepare for the pitch? What did Kyle do well? What would Kyle look to improve upon? How would Kyle like VCs to treat him as a Founder? 5.) ? Items Mentioned In Today's Show: Kyle's's Fave Book: Black Swan Kyle's Fave Blog: The Best Designs.com As always you can follow The Twenty Minute VC, Harry and Kyle on Twitter here! If you would like to see a more colourful side to Harry with many a mojito session, you can follow him on Snapchat here! This episode was brought to you by DesignCrowd, the online marketplace for custom graphic, logo and web design that helps startups, entrepreneurs, web developers and agencies outsource design projects to designers from around the world. How Does It Work? Once you have launched your brief, designers will begin submitting quality designs for you to review. With some constructive feedback, you can quickly generate a large gallery of designs that really do fit your needs. You can have exactly what you need within just three days. Once you have selected your favourite design, you will be sent all the files you require to update your branding. If you don't like any of the submitted designs, then DesignCrowd offers a money back guarantee. So checkout designcrowd.com/VC and enter the promo code VC100 to get an astonishing $100 off your next project.

15 Juli 201629min

Brad Burnham is the Co-Founder & Managing Partner @ Union Square Ventures. I feel Brad is far better described by his partner Fred Wilson, than I ever could so this is Fred's words on Brad. "Brad and I founded USV together in 2003. We had both been in the venture business for more than a decade, had made a fair bit of money, but were still hungry to prove ourselves. Brad is the strategist and the most principled investor in our firm. It was Brad's idea to write a treatise on venture capital and the internet before we set off to raise our first fund and that exercise we did together continues to be our guiding light. Brad is the person behind phrases like "the application layer of the technology stack" and "large networks of engaged users" that I use all the time. He gives me most of my good stuff which I often get credit for." In Today's Episode You Will Learn: 1.) How Brad made his way into VC? How did he come to co-found USV with Fred in 2003? 2.) How did Brad approach team building with USV? What does he look for in his partners? 3.) Brad has previously stated his belief that 'history does not repeat itself but it does rhyme. How does this affect Brad's view toward market cycles, the way tech is adopted and ultimately replaced? 4.) What does Brad make of the extension of the private market? Are we entering a period of consolidation? What makes Brad believe this? 5.) Looking back at the history of USV, what have been the inflection points in both the stature of the firm and then Brad's learnings as a VC? Items Mentioned In Today's Show: Brad's Fave Book: The Irrational Optimist Brad's Most Recent Investment: OB1 As always you can follow The Twenty Minute VC, Harry and Brad on Twitter here! If you would like to see a more colourful side to Harry with many a mojito session, you can follow him on Snapchat here! This episode was brought to you by DesignCrowd, the online marketplace for custom graphic, logo and web design that helps startups, entrepreneurs, web developers and agencies outsource design projects to designers from around the world. How Does It Work? Once you have launched your brief, designers will begin submitting quality designs for you to review. With some constructive feedback, you can quickly generate a large gallery of designs that really do fit your needs. You can have exactly what you need within just three days. Once you have selected your favourite design, you will be sent all the files you require to update your branding. If you don't like any of the submitted designs, then DesignCrowd offers a money back guarantee. So checkout designcrowd.com/VC and enter the promo code VC100 to get an astonishing $100 off your next project.

13 Juli 201624min

Albert Wenger is a partner at Union Square Ventures, one of the world's leading VC firms with investments in Twitter, Twilio, Zynga, Soundcloud, Tumblr, Lending Club and many more. Before joining USV, Albert was the president of del.icio.us through the company's sale to Yahoo and an angel investor (Etsy, Tumblr). He previously founded or co-founded several companies, including a management consulting firm and an early hosted data analytics company. Albert also writes a fantastic blog at Continuations.com and did a brilliant Ted X Talk here! In Today's Episode You Will Learn: 1.) How Albert made his way into the wonderful world of VC? 2.) Albert breaks down the differences between the instalment and the deployment phases of technology? At what stage USV choose to invest and why? 3.) How much of a role does valuation play in Albert's investment decision making process? At what level does speculation become irrational exuberance? 4.) Why does Albert want to limit network effects that are provided to winning companies? What does Albert think makes a contestable market? What are the characteristics? 5.) Why is Albert such a protagonist for the basic income guarantee? What are the challenges? How will this affect human's relationship to automation? What will mankind do with this increased abundance of time? 6.) Why does Albert believe that every individual has the right to be presented by a personal bot? What are the prominent use cases? How does it invert the power relationships between networks and their participants? Items Mentioned In Today's Show: Albert's Fave Book: Beginning of Infinity Albert's Fave Blog or Newsletter: Azeem Azhar: The Exponential View Albert's Most Recent Investment: Clue: Period and Ovulation Tracker As always you can follow The Twenty Minute VC, Harry and Albert on Twitter here! If you would like to see a more colourful side to Harry with many a mojito session, you can follow him on Snapchat here! This episode was brought to you by DesignCrowd, the online marketplace for custom graphic, logo and web design that helps startups, entrepreneurs, web developers and agencies outsource design projects to designers from around the world. How Does It Work? Once you have launched your brief, designers will begin submitting quality designs for you to review. With some constructive feedback, you can quickly generate a large gallery of designs that really do fit your needs. You can have exactly what you need within just three days. Once you have selected your favourite design, you will be sent all the files you require to update your branding. If you don't like any of the submitted designs, then DesignCrowd offers a money back guarantee. So checkout designcrowd.com/VC and enter the promo code VC100 to get an astonishing $100 off your next project.

11 Juli 201626min

Frank Mycroft is the Founder & CEO @ Booster Fuels, the on-demand fuel delivery service backed by the likes of our friends at Maveron and Version One. As for Frank himself, he is literally a former rocket scientist with Nasa and has more degrees that I have done podcast episodes, making him one of the smartest guests we have ever had on the show. Directly prior to Booster Fuels, Frank was the VP of Strategy @ Planetary Resources, the Redmond based, asteroid mining company. In Today's Episode You Will Learn: 1.) How Frank came to Found Booster Fuels from his days with Nasa? 2.) How important a role does naivety play for founders starting building their company? 3.) With Fuel being such a low margin business, how does Frank balance growth vs profitability with Booster Fuels? What are the tips for doing so in the on-demand economy? 4.) When is the transition point between growth at all costs to focusing on profitability and unit economics? 5.) To what extent is regulation a limiting factor for the growth of Booster fuels? 6.) Question from Dave Wu @ Maveron: What did Frank look for in his Series A investors? Question from Angela @ Version One: What is Frank's wider vision for the future of on demand and Booster Fuels? Items Mentioned In Today's Show: Frank's Fave Book: Oh The Places You'll Go As always you can follow The Twenty Minute VC, Harry and Frank on Twitter here! If you would like to see a more colourful side to Harry with many a mojito session, you can follow him on Snapchat here! This episode was brought to you by DesignCrowd, the online marketplace for custom graphic, logo and web design that helps startups, entrepreneurs, web developers and agencies outsource design projects to designers from around the world. How Does It Work? Once you have launched your brief, designers will begin submitting quality designs for you to review. With some constructive feedback, you can quickly generate a large gallery of designs that really do fit your needs. You can have exactly what you need within just three days. Once you have selected your favourite design, you will be sent all the files you require to update your branding. If you don't like any of the submitted designs, then DesignCrowd offers a money back guarantee. So checkout designcrowd.com/VC and enter the promo code VC100 to get an astonishing $100 off your next project.

8 Juli 201629min

Michael Kim is the founder and Managing Partner of Cendana Capital, a fund of funds which invests in seed VC funds. Michael has many of our previous guests in his portfolio including the likes of SoftTech, Freestyle, Founder Collective, Collaborative Fund and many more, clearly great minds think alike! Prior to Cendana, Michael was one of the original partners of Rustic Canyon Partners a VC firm with $1bn AUM. In Today's Episode You Will Learn: 1.) How Michael made his way into VC and then made the transition into the world of LP? 2.) Why have we seen the proliferation of seed funding? Is this a good thing for the economy? Is dumb money good or bad for the early stage environment? 3.) Chris Douvos states we will begin to see the hybridisation of LPs and GPs, does Michael agree? What are the inherent problems with this happening? 4.) What is Michael's blackbox for assessing emerging fund managers? What does he look for? How can they present their edge? 4.) How does Michael respond to Dave McClure's portfolio construction theory of allocating capital to many startups with the realisation that 0.5% become unicorns? Items Mentioned In Today's Show: Michael's Fave Book: Catcher & The Rye Michael's Fave Blog or Newsletter: Techcrunch, The Twenty Minute VC As always you can follow The Twenty Minute VC, Harry and Michael on Twitter here! If you would like to see a more colourful side to Harry with many a mojito session, you can follow him on Snapchat here! This episode was brought to you by DesignCrowd, the online marketplace for custom graphic, logo and web design that helps startups, entrepreneurs, web developers and agencies outsource design projects to designers from around the world. How Does It Work? Once you have launched your brief, designers will begin submitting quality designs for you to review. With some constructive feedback, you can quickly generate a large gallery of designs that really do fit your needs. You can have exactly what you need within just three days. Once you have selected your favourite design, you will be sent all the files you require to update your branding. If you don't like any of the submitted designs, then DesignCrowd offers a money back guarantee. So checkout designcrowd.com/VC and enter the promo code VC100 to get an astonishing $100 off your next project.

6 Juli 201627min

Ann Miura-Ko has been called "the most powerful woman in startups" by Forbes and is the Co-Founder of Floodgate, one of the valley's leading early stage funds with investments in the likes of Twitter, Twitch and TaskRabbit. Some of Ann's investments at Floodgate include Lyft, Ayasdi, Xamarin, Refinery29, Chloe and Isabel, Maker Media, Wanelo, TaskRabbit, and Modcloth. Ann is also a lecturer in the School of Engineering at Stanford University, where she got her PhD focused on mathematical modeling of computer security. In Today's Episode You Will Learn: 1.) How Ann made her way into the wonderful world of VC? 2.) Ann's 2nd day in VC was 9/11, how does Ann view investing in times of crisis and downturn? How does this effect the macro-economy and her investing cadence? Floodgate state that all venture bankable high growth companies share 4 very common characteristics with regards to power. Here we break them down: Proprietary Power: What is it? What are it's characteristics? Product Power: What does this imply about product market fit? What are the nuances and complexities? Company Power: What does it take to be created and maintained? How have so many unicorns established themselves without credible and sustainable business models? Category Power: Why it is so important to create a new category? How can this be done and who has done it well in the past? Items Mentioned In Today's Show: Ann's Fave Book: The Poisonwood Bible Ann's Fave Blog or Newsletter: Benedict Evans Ann's Most Recent Investment: The Greatist As always you can follow The Twenty Minute VC, Harry and Ann on Twitter here! If you would like to see a more colourful side to Harry with many a mojito session, you can follow him on Snapchat here! This episode was brought to you by DesignCrowd, the online marketplace for custom graphic, logo and web design that helps startups, entrepreneurs, web developers and agencies outsource design projects to designers from around the world. How Does It Work? Once you have launched your brief, designers will begin submitting quality designs for you to review. With some constructive feedback, you can quickly generate a large gallery of designs that really do fit your needs. You can have exactly what you need within just three days. Once you have selected your favourite design, you will be sent all the files you require to update your branding. If you don't like any of the submitted designs, then DesignCrowd offers a money back guarantee. So checkout designcrowd.com/VC and enter the promo code VC100 to get an astonishing $100 off your next project.

4 Juli 201632min

Josh Udashkin is the Founder and CEO @ Raden, essentially making the unsexy sexy with a design-forward app-connected piece of luggage that provides a superior end-to-end travel experience. Prior to founding Raden, Udashkin practiced law and did international development for Canadian shoe company, Aldo. To date, Raden have raised funds from our friends @ First Round Capital, Lerer Hippeau, Pritzker Group and many more incredible investors. In Today's Episode You Will Learn: 1.) How Josh came to found Raden and what the a-ha moment was for him? 2.) Why does Josh believe in the benefits of the dual approach to selling both being online and with physical retail stores? 3.) Why have we seen such innovation in the space in the last 30 years? The incumbents have said, they are bad at selling online, what are they doing wrong? What is Josh doing to optimise the process? 4.) Why is Josh bullish on omni-channel retail? What are the benefits? 5.) How are hardware products innovating on the hardware as a service model and integrating physical retail products with superior mobile experiences? 6.) What trends have we seen in investing in hardware products in the last 5 years or so? Why is hardware becoming more attractive an investment field? Items Mentioned In Today's Episode: Josh's Fave Book: Shoe Dog: A Memoir by the Creator of NIKE Josh's Fave Blog: Business of Fashion As always you can follow The Twenty Minute VC and Harry on Twitter here! If you would like to see a more colourful side to Harry with many a mojito session, you can follow him on Instagram here! If you are looking to make your move into the world of VC or improve your investing skills, Venture Capital Unlocked: Secrets of Silicon Valley Investing is a must! It is a 2 week crash course at Stanford run by Stanford Professional Development Centre and 500 Startups. You will learn the mechanics of all things Silicon Valley investing, check it out here. The Twenty Minute VC is brought to you by Leesa. Lees is like the TOMS Shoes or Warby Parker of the mattress industry. Here are 3 reasons why they are the best place to get your new mattress: Leesa has done away with the awkward mattress showroom experience by allowing a fully online experience, shipping to your doorstep for free. Their 10 inch mattresses come in all sizes and is crafted with 3 unique layers o foam including2 inches of memory foam and 2 inches of really cool latex like foam design to keep you cool. All Leesa mattresses are made 100% in the US or UK and they give you a 100 night trial, to make sure the mattress is perfect for you. Go to leesa.com/VC and enter promo code VC75 to get $75 off!

1 Juli 201628min