As the Boulder Startup Community evolved, I started to become inundated with people who wanted to get involved. Some of these were locals while others where people looking to move to Boulder, or who had recently moved here. Some where people known to me while others were new relationships. As the momentum, size, impact, and reach of the Boulder Startup Community grew, I found myself overwhelmed by the amount of requests I was getting to get together, meet, explore ways to work together, and just generally share food and drink in the quest for figuring out ways to work together.
A while ago I came up with an approach where I could separate leaders from doers from everyone else. I’ve been applying this approach to the Boulder Startup Community, and a number of other things I’m involved in, since then and offer it to you as a simple, yet elegant way to triage an overwhelming amount of inbound requests to figure out who is really going to make shit happen.
The trick: I identify leaders by giving people assignments.
Here’s how it works. I’m going to use a really simple example. Recognize that the range of inbound is all over the place, from a wide range of people, with very different degrees of experience. The initial interactions can be complex and my assignments vary dramatically, but with a goal of intersecting (a) what the person is asking for and (b) a result that will be interesting to me in some way.
So, for a simple case (and assignment), assume that I get an email like the following:
“Brad, I’m new to Boulder and very excited about getting involved in the Startup Community. I moved here from New York and have a deep background in devops, being an entrepreneur, and various meditation techniques. I’d love to get together for a cup of coffee to see how I can get involved in things going on in Boulder. My resume is attached.”
I quickly respond with an assignment. It will be something that will take the person less than 30 minutes to do and require no specific knowledge on their part. For example, my response might be:
“Welcome to Boulder. Unfortunately I don’t have time for coffee in the next few weeks, but I’d be happy to get you plugged in to some of the local entrepreneurs who might be relevant to you. Can you look through our portfolio and tell me who you’d like to get introduced to?”
I never hear back from 50% of the people. I kid you not. It doesn’t matter whether it’s email or someone coming up to me at a public event. I give them a simple assignment, with an easy way to focus what I’m going to do for them so it’s more useful from their frame of reference, and then I never hear back from them again.
This is a very good thing. It reduces my workload of this kind of stuff immediately by half and filtered out people who weren’t going to follow through.
25% (half of the remaining 50%) send me an email something like:
“I took a look at your website and am very interested in VictorOps and Techstars. My last company used pagers for tech support and I really want to do something better than that and VictorOps looks interesting. I’ve got a lot of experience mentoring entrepreneurs, so I’d like to figure out if I can become part of Techstars.”
I categorize this person as a doer. They responded directly to the assignment. I respond by making some introductions with context – usually double opt-in, but not always depending on the level of relevance. Quickly, the person becomes plugged into a few other nodes in the Startup Community and their journey has begun.
The last 25% is amazing. They blow my mind. Their response is something like:
“Brad, thanks for pushing me to be more precise. I realized I didn’t need you to make the intro for me, so I’ve gotten together with Todd Vernon at VictorOps, Nicole Glaros at Techstars, and Ari Newman at Bullet Time Ventures. It looks like there might be a nice fit with Todd’s company and we are exploring a way to work together. Nicole explained to me that there was a very long waiting list of mentors for the next program so the most effective thing I could do is find one of the older Techstars companies and help them out. I’m already talking to the guys from Sphero (which I know you are on the board of) since I have a lot of gaming experience. And, given my previous network management company experience, Ari hooked me up with the Distill Network guys. I hope you don’t mind if I write periodically and follow up with what I’m up to. By the way, I tried out FullContact for Gmail per your blog post and so far it’s working great.”
This person is a leader. They simply went out and did shit. They made it happen. They followed up. They did things that had a potential positive impact on my world. They didn’t ask me for more, but offered up plenty, which makes me want to do more for them.
Remember, these are simple examples. I categorize the responses three ways:
- 50% of the people vanish
- 25% of the people do the assignment
- 25% of the people make shit happen well beyond what the assignment was
The folks who capture my attention and energy going forward are the ones in category 3. The leaders.
Jerry Colonna spent a few hours with me and Amy on Saturday at our house. Jerry is one of our closest friends on this planet so any time we get time with him is a treasure for us. It was a cold-ish, snowy, gloomy Colorado early winter day. Amy and I were pretty off-balance due to my blood clot so it was especially nice to be with him as he always helps rebalance us.
We talked some about his new company Reboot. I’m a huge supporter of Jerry’s work – recommending many of the CEOs we work with to him, or his associates, for coaching. I attended a recent CEO Bootcamp as a special guest and it was amazing – I recommend it to every CEO.
Jerry mentioned that the recent Reboot podcasts were doing great and really fun. I noticed this morning that the podcast he did with Rand Fishkin, another close friend, titled #7 Depression and Entrepreneurship – With Jerry Colonna and Rand Fishkin, came out today. So I read the transcript (I can read a lot faster than I can list) and thought it was dynamite.
As usual, Jerry goes deep and intimate – very quickly. So does Rand – total, extreme, full transparency. Enjoy!
In a recent board meeting, at a particularly challenging part of the conversation, I did a retrospective of the past five years as a lead up to making a point. I prefaced it by saying “I need you to take a leader approach, not a victim approach.” I realized no one knew that I meant by this, so I told a quick story, which I first heard from Jeremy Bloom, the CEO of Integrate, retired pro-football player, retired Olympic skier, and someone I adore.
“I’ve learned that there are two types of people: leaders and victims. Leaders are those who see a complex problem and figure out a way either individually or collectively to solve it. These are the people who build successful businesses, become C-Level execs and start their own companies. Victims look at problems and instantly blame everyone else when they can’t solve it. They are the finger-pointers and can rarely admit when they make mistakes. I’ve seen firsthand in football and business how victims can bring down the morale of an entire team. It’s impossible to build anything with a victim mentality.”
In the longer version of the story, he talked about his experience on the Philadelphia Eagles (amazing talent, victim mentality) and the Pittsburgh Steelers (mediocre talent, leader mentality.) He also has a great cross-over line from his experience in athletics to being an entrepreneur:
“My journey in athletics provided me with numerous lessons I apply every day in business. In athletics, for every gold medal that I won I failed 1000 more times. I became conditioned to handle the emotional swings. Possessing the mental ability to stay even keeled during the highs and lows is one of the most important skills one can possess to increase the likelihood of long term success. Any entrepreneur will tell you that there are days when they are 100% confident that they are going to change the world and other days when they aren’t sure if the company will be around in a few months. Managing the emotional swings in business comes easier to me because of my experience in athletics.”
The retrospective with the company was powerful. The company is a real company with significant revenue and over 100 employees. They’ve had numerous challenges along the way, including many disappointments with larger partners who have behaved in ways that could easily cause anyone to be cynical and take a victim approach to the world, as in “we are a victim of the capriciousness and bad behavior of our much larger strategic partner.”
The core of the company is strong. The team, especially the leadership team, is dynamite. The customer base is incredible. The technology and products are very deep. The optimistic view (the leader view) of their prospects is strong. The pessimistic view (the victim view) is one of fatigue and frustration, especially of broken promises of others.
I led with the punchline. The business was profitable in Q3. It was cash flow positive after debt service. The Q4 pipeline is solid. The new product family looks great and is off to a strong start, even though it’s early in the cycle. The broad market for their new product line is exploding. The leadership team is dynamite and very, very tight knit. The employees are smart, committed, and a good mix of long-timers and relatively new folks.
We talked for a while. One of my comments was “Fuck your historical big company partners – you know how they are wired and what their behavior is going to be. Don’t depend on them and don’t worry about them. Work with them in a collaborative, friendly way, but don’t count on them. Be a leader and create your destiny, rather than be a victim to whatever their whims are.”
As I was going through my emails this morning catching up after a long day, I was pondering the tone of entrepreneurs I work closely with, most of whom behave like leaders almost all the time. This is in comparison to a lot of other entrepreneurs I interact with but don’t work with, some who behave like leaders but a surprising numbers who behave like victims. And then I pondered this in the context of my interactions with VCs and co-investors, where again I realized that there is a lot of victim mentality in the mix.
Are you a leader or a victim?
I got to spend a lot of time with my close friend Rand Fishkin the past few days. The first was at Denver Startup Week, where we did a panel discussion with Ben Huh and Bart Lorang where we discussed the pact between CEO and Board, the pact between Founder and Investor, and how to be transparent and direct.
The next day, Rand led a full day offsite for a number of CEOs in our portfolio.
In between, he wrote an epic blog post titled A Long, Ugly Year of Depression That’s Finally Fading. Go read it now – I’ll wait.
I love Rand – not in that surface “I love you man” kind of way. Ever since I met him and his wife Geraldine, I’ve adored them as a couple and each as individuals. I often develop deep personal relationships with the people I work with which can be challenging when businesses struggle and difficult decisions have to be made. I’ve had a few friendships fail as a result of the pressure, stress, and intensity of working through certain situations, but far more have strengthened as a result. It’s a risk I decided to take a long time ago and I’ll continue to do it, even when I have to cope with my own anxiety, emotional struggles, and even depression, as a result.
We invested in Moz in April 2012. Rand wrote so extensively about it in his post Moz’s $18 Million Venture Financing: Our Story, Metrics and Future that almost all of the major tech blogs declined to write about it “because all the news was covered in the post.” Whatever.
The first nine months were great – the business grew as planned as I started to get to know everyone and how things worked at Moz. The company was working on a major rebrand (from SEOMoz to Moz) as well as a huge software expansion which was started before I invested. But by mid-year 2013 things were not going as planned. Rand has written extensively about it, but when he and Geraldine visited us in Boulder for a few days around that time both Amy and I thought Rand was depressed.
By the winter time, Rand had decided to hand the CEO roles to his longtime partner and COO Sarah Bird. Shortly after, he acknowledged his depression in his post at the end of 2013 when he wrote Can’t Sleep; Caught in The Loop. Regardless of his struggle, he continued to work incredibly hard, but we started having a different conversation, this time as friends rather than investor / board member and CEO / founder. I was more concerned about Rand’s mental health than his activity at Moz, and our conversations were generally around this. At the same time, Sarah grabbed the CEO reins firmly and has done an outstanding job, which I knew would ultimately be helpful to Rand.
Rand looked better in the past few days than I’ve felt he looked in several years. I was thrilled to see his post come out between our rambling Denver Startup Week discussion and the full day of the CEO offsite.
Most of all, I’m delighted that my friend Rand’s depression is finally starting to fade. Rand – you are amazing – and loved by me and many. Carry that with you all the time.
In yesterday’s post Mentors 4/18: Be Direct. Tell The Truth, However Hard, Joah Spearman left a very powerful comment about empathy.
“The older I get the more I realize that truth is something that is best coupled with empathy. Ultimately, you have to seek to understand before you can be understood and part of telling the truth is knowing that you’ll never know someone else’s truth until you hear it directly from them rather than assuming you know what someone has experienced or what’s best for them.”
This made me think of a deeply held belief that I hold with my partners at Foundry Group – brutal honesty delivered kindly.
I especially keyed in on Transparent, Authentic, and Empathetic as these three are core personal values of mine. However, these three ideas often come into conflict. It’s hard to be transparent and empathetic at the same time. Consider the situation where you fire a person. Legally, you likely have some constraints on what you say, limiting your transparency. You want to be empathetic to the person you fired, so this again limits your transparency (or, if you are transparent, you likely aren’t being very empathetic.) And then, at a meta-level, you will have some internal struggles with your authenticity around this situation.
The tension between the concepts is helpful as it makes you think harder about how you comport yourself is difficult, challenging, or complex situations.
The solution between me, Seth, Jason, and Ryan is to be brutally honest at all times but deliver feedback kindly.
While I’m sure we hold back on occasion, especially when one of us is unclear on what is going on, we subscribe to the notion of brutal honesty. We try hard to be fair witnesses in the style of my wife Amy, saying what we believe to be the truth. When it’s a hypothesis, we frame it as such. When it’s an assertion, we state that. When it’s something we feel strongly about, we preface it appropriately. And when it’s a fact that we are certain of, we are unambiguous in what we say.
No matter how difficult, sharp, upsetting, or confrontational something is, we always deliver the message kindly. We are not decedents of the Stepford Wives and we each have our own personalities, so “delivered kindly” means something different for each of us. But we never mean malice, harm, or disrespect. We are quick to own our opinions, especially when we are wrong. And when on the receiving end, we listen, and try to understand the other person’s truth, as well as our own, and then reconcile them.
If you sat in a meeting with us, you’d see no yelling. No pounding on the table. No grandstanding. No aggressive body language. No passive aggressive behavior. But you would hear a lot of brutal honesty, And you’ll hear it delivered kindly.
I’ve been thinking about the concept of “the duo” a lot recently.
Many of the companies I’m involved in have either two co-founders or two partners who partner up early in the life of the business. Examples of founding partners including Andrei and Peter (Kato.im), Keith and Jeff (BigDoor), James and Eric (Fitbit), and Matthew and Cashman (Yesware). Of course there are many other famous founding duos like Steve and Steve (Apple), Jerry and Dave (Yahoo!), Larry and Sergey (Google), and Bill and Paul (Microsoft). My first company (Feld Technologies) had a duo (me and Dave) and the company that bought Feld Technologies did also – Jerry and Len (AmeriData).
Now, these duos are not the leadership team. But there is a special magic relationship between the duo. I like to think about it like the final fight scene from Mr. and Mrs. Smith where Brad and Angelina are back to back, spinning around in circles, doing damage to the enemy.
This is not just “I’ve got your back, you’ve got my back.” It’s “we are in this together. All in. For keeps.”
It’s just like my relationship with Amy. We are both all in. It’s so powerful – in good times and in bad times.
I’m on the receiving end of phone calls and video conferences with CEOs all day long. And, at least once a day, I can feel the intense stress on the person I’m talking to oozing through the phone or the screen. The conversation is often calm and rational, but below the surface is a bubbling cauldron of pressure.
Welcome to life as a CEO of a fast growing startup. Every day something new and unexpected comes at you. Often multiple things. Some are awesome. Some are ok. Some are bad. And some are awful.
Ben Horowitz wrote what I think is the best post ever on this called The Struggle. After I read it, I asked him if I could include it in my book Startup Life: Surviving and Thriving in a Relationship with an Entrepreneur. He graciously said yes, so I did.
I felt The Struggle regularly when I was running Feld Technologies in the 1980s. I put myself at a disadvantage – when something went wrong people often called for “Mr. Feld.” My partner Dave carried a lot of the burden as well so I wasn’t alone, but I was on the receiving end of a lot of unhappiness over the years.
While I got better at compartmentalizing it, I never mastered it. I still struggle with it today. I can absorb an enormous amount of stress from the CEOs I work with. But sometimes I get overloaded and end up far out on a deep tree limb trembling with anxiety. I like to refer to this as “inappropriate anxiety” because I know exactly what is at the root cause, but my obsessive mind has a difficult time letting it go.
So I do what I can. I talk to Amy. I walk Brooks the Wonder Dog. I take a bath. I try to sleep a little more. I run more. I let the obsessive thoughts roll around in my head, chasing each other like characters from SpongeBob SquarePants.
And sometimes I just go in a closet and scream for a little while. I let all the bad energy out. I put my all into it – expelling the stress. Trying to reset my mind. Knowing that the inappropriate anxiety will go away and I’ll feel ok again.
When I hear this in the voice of a CEO I’m working with, I offer up myself as a release valve. While I don’t invite it, I want them to know they can vent to me. That they can bare their soul safely to me. That I won’t judge them on the pressure they are under. That I won’t try to solve the problem for them.
But that I’ll be there.
And I let them scream if they want to.
It’s really hard to be a CEO. Becoming a great CEO takes a lot of time, work, focus, coaching, and introspection.
My very close friend Jerry Colonna is hosting his second CEO Bootcamp from April 2 – April 6. Several CEOs from the Foundry Group portfolio went last year and each had an amazing time. This year I’m going to be attending as a special guest and participating throughout the four day program.
I’ve learned an enormous about from Jerry over the past 20 years. We first met in 1994 when I was a chairman of NetGenesis. Jerry had recently invested in a company called eShare, which ended up buying a product called net.Thread (one of the first, if not the first, threaded discussion group system – which was written in Perl) from NetGenesis. I joined the eShare board as part of the deal and a very deep friendship and working relationship ensued.
When Jerry told me about the first CEO Bootcamp a year ago I encouraged a number of CEOs in our portfolio to attend. Each one came back saying some version of “it changed my life”, which wasn’t really a surprise to me knowing Jerry but was a strong positive affirmation of the experience.
This year, when Jerry told me the dates for CEO Bootcamp and asked me to spread the word, I asked if I could come and participate. It’s in Colorado at an awesome place called Devil’s Thumb Ranch so I can drive to it and is a topic that’s front of mind for me given my relationship with the various CEOs in our portfolio.
I try hard to develop a deep personal relationship with the CEOs I work with. I’ve written in the past about Being Vulnerable and think it’s one of the most important qualities of a leader. As Jerry says so well in the overview of the requirements for attendees, “you may be tired, but you must be vulnerable, curious and courageous.” The full list of requirements follows:
You’re the CEO of a tech startup that has employees.
This is the first time you have been a CEO within a company of this scale.
You’ve logged immeasurable hours and have made tremendous sacrifices.
You’ve had success with your company. You realize there is more to this game than “success.”
You may be tired, but you must be vulnerable, curious and courageous.
I’m planning on participating in the entire event. The agenda is still being finalized, but the current plan is for me to do a joint talk with Jerry on Friday, fireside chats with Jerry on Friday and Saturday, and hikes after the main sessions.
I know two of Jerry’s three partners in this endeavor and think Sam Elmore and Ali Schultz are dynamite. To be clear, I’m volunteering my time and participating – this is Jerry, Sam, Ali, and Michael’s gig so I’m going to do whatever they want me to – or not to – do.
Registration is open until 2/9/14 at midnight MST. 20 CEOs will be accepted. I hope to see you there.
At this year’s NVCA meeting, my partner Jason Mendelson (who was the chair of the event) interviewed Dick Costolo, the CEO of Twitter. Dick is an awesome CEO, awesome human, and awesome interviewee. Among other things, he’s hilarious, and PandoDaily wrote a fun summary of the interview in their post What CEOs could learn from comedians.
Dick had many great one liners that fit in 140 characters as you’d expect from someone who is both the CEO of Twitter and was once a standup comedian. But one really stuck in my mind.
It’s not your job to defend your team. It’s your job to improve your team.
Upon reflection, all of the great CEOs and executives that I’ve ever worked with believe this and behave this way.
Every time I make an investment I believe it is going to be an incredible success. I don’t know any VC who invests thinking “eh – this will be mediocre. When you start the relationship you believe it’s going to be massively successful. The same is true of hiring an executive. Dick made the point that the cliche “only hire A players” is completely obvious and banal. CEOs don’t run around saying “hey – let’s hire C players – that’s what we want – C players.” Everyone you hire is someone you think will be an A player, by definition.
But, in the same way that every VC investment doesn’t become a 100x return, every person you hire won’t turn out to be an A player. After a few months, you start to really understand the strengths and weaknesses of the person. And you see how the person interacts with the rest of your team. This is normal – there’s no way you could know any of this during the interview process.
The not so amazing CEO or executive immediately falls into a mode of trying to defend the person, or the team, to the outside world (board, investors, customers) and other members of the team. I’ve heard a remarkable number of different rationalizations over the years about why a person or a team is going to work. And, when I press on this, the underlying response is often simply “give us / me / them more time.”
Instead of defending the team, the amazing CEO will respond with “yup – we need to get better – here’s what we are doing.” And then they’ll add “what else do you think we should do?” and “how can you help us improve?” This type of language – accepting reality and focusing on improving it, rather that defending it, is so much more powerful.
Of course, often the answer is that to improve a team, you have to eliminate a person or move them to a very different role. This is hard, but it’s part of the process, especially in a fast growing company. Someone who was incredible at a job when the company is 50 people might be horrible at the job when the company is 500 people. Nothing is static – including competence.
This is true of CEOs as well. We can all be better at what we do – a lot better. It’s easy to fall into the trap of defending our own behavior when someone offers us feedback or constructive criticism. The walls go up fast when someone attacks us, or we fail. But if you switch immediately from “defend” to “improve”, you can often get extraordinary feedback and help in real time. And sometimes you have to replace yourself, as Jonathan Strauss at Awe.sm did recently and explained in his tremendous post Replacing Oneself as CEO
I loved working with Dick at FeedBurner – I learned an incredible amount from him. I treasure every minute I get with him these days and one of the biggest bummers about not being an investor in Twitter is that I don’t get to work with him on a regular basis. It was joyful to listen to him and realize that there is another wave of people at a rapidly growing and very important company that are learning from him, as he works to improve his team on a continual basis.
I received a bunch of great comments and responses to my post Be Vulnerable. Several people asked if I was inspired by Brené Brown’s TEDxHouston talk in 2010. I hadn’t ever seen it so I watched it last night. After 20 minutes, it’s easy to see how it could have inspired my post – it’s absolutely wonderful. As a bonus, it’s an example of an excellent 20 minute presentation – Brené shows us how a 20 minute high concept talk is done.
I especially loved the thread on numbing vulnerability.
“We are the most in debt, obese, addicted, and medicated cohort in US history. You can not selectively numb emotion – so we numb everything. We numb joy, gratitude, happiness. Then we are miserable. And we feel vulnerable. So then we numb. And create this vicious cycle.”
Another great segment is around making the uncertain, certain.
“I’m right, you are wrong, that’s it. There is no discourse or conversation – just blame.”
Carve out 20 minutes and give yourself the time and space to watch, listen, and think. And let yourself be vulnerable, especially to Brené’s ideas.