The Unapologetic Capitalist: Recent Episodes
The Unapologetic Capitalist
Leave your ego and politics at the door, and generate substantial long-term value with The Unapologetic Capitalist.
Conflict arises in any venture. When that conflict escalates or becomes on-going between founders, partners, leaders and managers, it can destroy the value in even the most stalwart companies. In this episode, The UC discusses strategies and tactics to mitigate conflict, retain value, and right the ship towards long term venture value.
There is a ton of advice out there on starting a company. Some of the advice is sage, but much of it is inappropriately projective, often capricious, and even wayward. Starting and growing a company demands diligence, patience and most of all productivity. The Unapologetic Capitalist has an earnest discussion with Bill Aulet, Managing Director of the Martin Trust Center for MIT Entrepreneurship http://entrepreneurship.mit.edu, on following the optimal path for building a venture in the current business environment. Insights from Bill’s new book Disciplined Entrepreneurship (http://www.d-eship.com) are pondered as they relate to today’s entrepreneur.
Everyone is ready to take credit when things go well. Yet, it is all finger pointing at others when things go south. It is much easier to blame someone else. But blame is unproductive and detrimental. It is a post mortem, backwards looking exercise. Being a productive leader means taking responsibility, which is forward looking. This discussion focuses on recognizing the difference between blame or fault and responsibility. Truly taking ownership creates the opportunity to innovate and build value. So don’t take the blame. Take responsibility!
Too many people are boasting that they are 'so busy.' If you are consummately busy, you are either a poor time manager, seriously undervaluing your time, or both. Some say how 'busy' they are to imply that they are important because they are so demanded. So we should feel blessed by their mere presence. Sometimes being 'busy' is the excuse for not having gotten something done in a timely manner. Regardless, being 'super busy' just means you are unproductive. Excellent time managers are optimally productive and add value to their ventures. Strive to be accessible NOT busy!
This show focuses on the long-term partnership that is contemplated when considering acquisition and funding. The transaction is merely the ‘wedding’ for the goal of a lifetime partnership or ‘marriage.’ Too many companies and funds consider the transaction to be the big ‘ta da.’ However, the transaction is just the starting point not the finish line. Resources should be focused on ensuring long term value ensues once the deal is sealed. Unfortunately, too many err on an opulent ‘wedding’ rather than preparing for a valuable ‘marriage.’ This show discusses tools and strategies to create a long term and highly lucrative partnership.
The Unapologetic Capitalist revisits with Jordan Schindler, CEO of Textile Based Delivery and Nufabrx to check in on the growth and progress since originally profiling the venture in June 2014. Jordan talks about the evolution of the company from its inaugural Nufabrx product into developing opportunities for licensing the proprietary technology of Textile Based Delivery. The discussion continues to explore the most appropriate avenues to consider in seeking investment for building the venture.
Building value often requires investment. However, needing cash doesn't mean you are ready to ask for and incorporate investment. Being "funding ready" means knowing how much you need, what those dollars are being optimally used for, and how and when those dollars will convert to a meaningful return. This episode begins the discussion on assessing whether or not you are 'funding ready.'
The same strategies and tactics that can be used to create growth and value in your venture can also be applied to increasing the opportunities for you and your career. In this episode, the Unapologetic Capitalist discusses making decisions that bring supportive growth to your career path.
Companies of all stages struggle to increase revenues. This discussion contemplates an approach that lays out a clear path to imminent, significant, low-risk profit growth that leverages a company’s current customer base and core business.
The top of mind question for businesses is: How can we generate more revenues? This week, The Unapologetic Capitalist relays two simple strategies to plant seeds for quick, low risk and profitable growth in your business and revenues.
Is social media is adding value to your venture? Megalomaniac CEO's overuse their platforms so their addicted egos can garner the continuous adulation they need from many manufactured ‘fans.’ Studies show this sinks the value of the company they are supposed to lead. Others are so private that their scarce presence on social media makes consumers dubious. In times of crisis, these leaders are ineffective because they lack credibility. Is your social media helping or hurting your venture?
Can the media be an effective tool in building value in your company? How does media build your company’s brand and personal reputation? Can the media be used to proactively or even reactively manage your reputation? Special Guest: Davidson Goldin founder of Goldin Solutions specializing in corporate communications, public affairs and crisis based in Manhattan shares his insights on how to make media your friend and not your foe.
You, Your Company, & Social Media: A Tricky Ménage à Trois. There is no doubt that social media has power. As a marketing and distribution tool it is only growing in power. However, most have misunderstood the nuances of social media and fail to leverage it properly. Many have also misunderstood that personal social media does not play well with professional social media marketing. Yet, your personal and professional social media are NOT mutually exclusive. This discussion delves into understanding how to be thoughtful about leveraging social media to create value for your company without your personal media unknowingly thwarting your efforts.
Are you a good CEO? What kind of leader are you? Many CEOs sink the value of their company by getting distracted by their own media. A good leader and CEO will prioritize the needs of the venture over their personal wants. It is important to learn what outlets and assets to properly leverage to build value in the venture rather than unwittingly destroying the company’s value by indulging in their personal megalomania.
A CEO’s job is to build long term value in their company. Yet many CEOs fail. Having the right CEO to lead a company is critical to a venture’s success. The wrong CEO can be disastrous. Learn to spot the red flags, and ask the right questions to understand who the best CEO is to lead your venture towards exceptional long term value.
The Unapologetic Capitalist and CEO John Kawola of Harvest Automation discuss the challenges of bringing innovation to a traditional marketplace that is generally slow to adopt new technologies. CEO John Kawola talks about the need to invest in building face-to-face relationships with the customer and investing in ‘old school’ product education and trials to convert sales and generate long term venture value.
The UC discusses the challenges of building product and brand awareness among multiple customer groups with Stayful.com CEO Cheryl Rosner. The show includes an in-depth conversation exploring the evolution from early adopting customers who are integrally involved in product development to mass market customers who want a perfect product at a low cost.
An excellent product launch is key to business success. Robert Frisch, CEO of Firelight Camps, discusses the key challenges of preparing for a product launch. Firelight is bringing ‘glamping’ (a high end camping experience) to unique hotel properties and vineyards. The UC and Robert discuss the product launch of an innovative product in the traditional hospitality market space. Key product launch challenges include identifying valuable core customers, gaining market traction, and finding economies of scale in a capital intensive product.
CEO Jordan Schindler of Nüfabrx discusses brining his venture to the next major milestone by balancing investment in sales and inventory management. The discussion hits the 3 key impediments towards achieving the critical milestones in a high growth venture and discusses solutions for building a venture of significant value.
Michael O. “Coop” Cooper, one of the world’s top business coaches, facilitators and trainers, is the founder of Innovators and Influencers. Coop and The Unapologetic Capitalist discuss how high growth ventures can best work to achieve their next major milestone.
Attracting new customers and earning their loyalty is hard and getting harder. Customers are fickle and overly informed. In today’s day and age of instant information overload, how can you effectively attract customers and earn loyalty? Technology and social media, have given discerning consumers a lot more to consider when they buy. This makes it very challenging to attract customers and demonstrate the value in paying for your product over the many other substitutes out there. The same goes for earning loyalty. Now with very little time and cost, consumers can get access to a significant amount of information that may too easily lead them to other brands and products. The companies that invest in listening to and understanding their customer’s needs and want will attract customers and earn loyalty.
Customer loyalty will add significant value to your venture. However, creating and cultivating customer loyalty has become more and more difficult in the digital age. Customers are finicky, and the options to use competitive or substitutive products keep growing. Good enough at the right price will win in today’s marketplace. To be successful, you must convert the right customers to ‘stay and pay.’ Properly investing in long term customer loyalty will build significant value in your company.
Everyone loves free stuff. But once you’ve given your product away for free, you’ve just valued it at zero. People clamor to get free stuff like it is the most valuable thing ever, but once they’ve gotten it for free, they will almost never pay for it, because what they really value is the feeling of having ‘won’ something or gotten ‘something for nothing.’ The ‘freemium’ model of giving away your product today in the hopes to earn dollars from them tomorrow has created a lot of problems that aren’t easily solved. So how do you get the right people to try your product so you can convert them to long term, loyal and PROFITABLE customers?
The age old mantra of “buying low and selling high” is the basis for making money on any transaction including an M&A Deal. However, there is a difference in perspective if you are a day trader or a house flipper versus buying something to generate substantial long term value. For instance, sensitivity to purchase price is going to be very different for someone buying an investment property versus a buyer looking for a home to live in for many years. There are a lot of great reasons to build value in your business through an M&A deal. Yet too many get wrapped up the in the M&A transaction and thwart the very value they are trying to build. With excellent decision making, an M&A can be a solid bet to build long term value in your venture as long as you remember that closing an M&A deal gets you to the starting line not the finish line.
Patience is a virtue. However, leaders and entrepreneurs tend to be inherently impatient. No matter what stage your company is in, you will always feel the pressure of time and results. Time and results are like a chicken and egg situation. More time will afford you the chance for results, and results will afford you more time. But usually you have dollars flowing out like sands in an hour glass and you don’t have the luxury of letting things play out. Leaders often unknowingly shoot themselves in the foot by forcing premature results. However, sometimes, the best way to add value is to practice patience to give options the opportunity to play themselves out.
Getting deals done often comes down to business relationships. Sometimes you have to deal with relationships that have gone sour which puts any business in jeopardy. You will have to decide whether or not the value in that relationship is worth saving. There are MANY ways to cross a bridge, but burning that bridge is NEVER going to be an option a smart person will take. But as last episode points out, there are a lot of bad managers and business people that you will have to deal with and they can blow up the bridge from under you. You will have to repair the bridge to maintain the value you’ve created in your venture. When business relationships are precarious, you will constantly flirt with patience versus progress. The key is to know who holds the ‘currency’ in your marketplace. You may not like it, or who has it, but if you don’t have a good understanding of where that currency lies, you won’t be able to gather it up for yourself to fix the bridge to start building value. This episode focuses on repairing business relationships so you can move forward to create options to help you build long term value in your venture.
More often than not, you will have to deal with bad managers. However, business still needs to get done. It is very difficult to be the one who has to point out that the Emperor is naked. So here’s a bit of a conundrum: Are you going to believe in truth above harmony? Or would you prioritize harmony above truth? Both philosophies have intention for long-term value creation. Someone who puts harmony above truth will let slide some bad behavior or some inaccurate facts so as not to offend someone and indulge a relationship they have convinced themselves is necessary to get business done. Be careful in putting harmony above truth. This is where someone is actually putting their want to be liked above the genuine needs of getting business done. In the process they are excusing this behavior by saying they are fostering a long-term relationship. In the same vein, there are times when harmony needs to prevail in getting business done. Relationships matter, and there will be times when you need to align incentives to prioritize long term value. Don’t be a naked emperor. Always do right over being right. It isn’t always easy. The messenger still gets shot, but getting business done means you might have to rock the boat in the short term to ensure smooth sailing for the long term.
Whether you are working on deal, raising money, dealing with a partner, vendor or employee, at some point, the relationship might start to go south. Defeat may be looming, but that doesn’t mean you can’t still salvage victory. What happens when you are crossing a proverbial bridge and see that there might be a crack in the foundation? Do you stop and fix it? Could the bridge come crumbling down? And if that’s the case, do you get off the bridge or ensure you fix it before it gets to that point? There are MANY ways to cross a bridge, and you can even decide that isn’t the bridge you want to use to move forward toward the long-term value you are trying to build. Of all the ways to cross a bridge, burning it is NEVER going to work out well, and it is BAD capitalism! If you believe defeat may be impending, you can seek victory and snatch it from the jaws of defeat. If a bridge is worth saving, make sure you aren’t the one destroying it.
Got Talent? What is nature versus nurture in the business world? What can be learned or taught versus that which is just innate? In our quest for building long term extraordinary value, it is important that we invest in what we can learn or what we can teach. We need to know how to spot and be able to acquire the talent that cannot be learned or taught and stop wasting precious resources fruitlessly teaching that which can never be taught or trying to change that which is hard wired.
An All Star team isn’t necessarily the OPTIMAL team. Team chemistry matters and optimally allocating your resources to germinate good leaders and managers within your company is paramount for success. There is some logic (though often short-sighted) in plucking single players out of another environment and putting them with other “All Star” individuals of excellent talent on to your team. You can even convince yourself that you’ve put together the ‘best team’ possible. However, what is best for the whole venture doesn’t mean maximizing every single piece. You have to be prudent about where you are investing your money and resources. You can very well be dooming your team and/or venture by assembling “All Stars” instead of building a long term value generating team. A team that has cultivated productive chemistry over time will beat out a more talented team of individual ‘All Stars’ every time.
There are times to lead and times to manage. It is important to know the difference between leadership and management. Leaders and managers are distinctly different roles. Many companies err because they don’t understand the difference between a leader and manager. Leaders fail when they manage instead of lead, and managers fail when they lead in situations that demand management. Whether you are a leader or a manager, there is no substitute for experience. Companies both early stage and Fortune 100 have crashed down in flames because they failed at knowing who should be the leader and how projects should be managed. Leaders and managers are distinctly different roles. Great leaders are benevolent dictators. http://unapologeticcapitalist.com/benevolentdictator/ Managers supporting this leader should be a competent lieutenant to implement the vision as it best serves the long term value of the venture.
Building market share and engaging in your marketplace is pivotal for long term success in your business. One of the most effective and valuable ways to build market share is attending conferences and trade shows where your market share is captive and IN PERSON. Don’t think you can hide behind your electronics just be active in your social media to establish relationships to build meaningful market share. You need to get your brand and yourself out there in the real world to be competitive and win new business and gain lasting market share. There are good resources and some really bad ones. Building market share can be expensive, but with diligence, you can mitigate the bad experiences and best leverage the good ones to build market share that creates real value in your venture.
Terminating a relationship of any kind really sucks. There’s just no getting around that. However, so often we find ourselves in situation where we need to cut the fat in our organizations, and sometimes cut out a toxin. So whether you are cutting the fat or creating addition by subtraction, there are many times when you will have to terminate relationships in your company. You may do it in the form of a layoff, a firing for cause, or a resignation. Ideally you will be able to open the barn door and your ‘horse’ will know it is best to trot on out to greener pastures. This can be accomplished with patience, diligence and good preparation. This is the most you can do to mitigate (not alleviate) the chances for a poor outcome that will cost the company value. Remember, you want to create long-term value for your venture. You need to cut the fat while ensuring you don’t harm any of the muscle. Make sure you aren’t sending value out the door with those you need to escort to the door.
Learn the 3 key venture capital investment fallacies and how to avoid them so that you can be successful in fund raising for your venture. Understand the venture capitalist's perspective and priorities so you can get in front of the right investor at the right time with the right opportunity.
Venture capital investing and entrepreneurship one of the riskiest business paths to take. The great irony is that most of the folks involved in venture capital investing are perversely risk adverse. When raising money from venture capital investors, it helps to know what the view is like from their side of the table and what ultimately drives their decision making process.
Making money means taking risks. Venture capital is some of the riskiest dollars to invest, yet venture capitalists are some of the most risk averse people on the planet. Most of us fear losing our jobs or fear being wrong, and sadly too many find comfort in dangerous group think so that if they are wrong, they can point to all the other people who were also wrong. However, fear based or passion driven decisions rarely work out well. This episode discusses making decisions based on sound business and preparation so you can the risks worth taking with your eyes wide open.
Making money depends on getting your product sold to the RIGHT customer at the RIGHT price at the RIGHT time. Business development means developing a pipeline of business so that you can ultimately sell to them. Many business development and sales people think they are good at their jobs, but the proof is found in actual and profitable transactions. Building the most valuable, long-term customer base that generates tangible revenues takes time, persistence, and availability at the right time with the right product at the right price.
As a new leader, you might be tempted to come into your new position and make a big splash to establish your mark and prove your worth to everyone by making some sweeping new measure. However, that’s a lot like going into another country and demanding everything be done the way of your native land. You aren’t being bold. You are just revealing how insecure you are in your leadership. It is important to practice patience in your leadership and management, even if you don’t think you have the luxury of patience. Patience is a critical leadership discipline and skill that demands practice. Patience is HARD, but being caviler and capricious is easy. Be better than that. Be a smart enough leader with the discipline to show deference to the organization you are inheriting. Remember, THE number one cause of conflict in an organization is from PERCEIVED misinformation. So if you come in and don’t even try to understand the culture and assets of the organization, then you will not only quash the positive aspects that you NEED to cultivate and grow, but you will instantly provoke a divisive organization. You can pretend you are being “bold,” but really you are being a lazy leader and manager. If you don’t understand the culture and people that you are there to lead, you will destroy the value in the company. Be a good leader and learn to leverage the company you are inheriting to add long term value to the venture.
Company culture drives more success or failure of a company than most CEO’s are willing admit. It is important to have an understanding of your company and its culture to be an effective leader. Culture is cultivated not contrived so you can’t simply forge a culture out of thin air, nor can you insert yourself into a culture and feign understanding. Leveraging your company culture is how you can execute effective strategy to keep things productively moving in the right direction to build value in your venture.
You can do everything right, and your business may still kick you in the ass. Marketplaces go down. Customers can screw you. Employees can leave you in the lurch. There are a lot of injustices in the business world, and a lot of moving parts in the marketplace that you can't control. When you are running the show and things aren't going well, you will find yourself painfully alone. This episode discusses how to keep it all together when everything seems to be falling apart.
Being smart is knowing what you don't know and being open minded enough to hire it and learn it. The second you don’t think you have anything more to learn is the instant you become irrelevant to your venture. Put your ego aside and know what's important for you to know to add the most value to your venture.
Every business needs to sell something, whether it is a service, a consumer good, or a technology. This episode focuses on making the right product for your marketplace and customer. In addition, we will discuss the importance of excellent management to mitigate operational risks. It is critical to building value in your venture to make sure that every product you make actually makes money, and that the 100th unit sold makes you more money than your first unit.
It is one thing to get out in the market, and it is another feat altogether to STAY in the market place and grow and thrive. In this episode we discuss optimally investing in growing your business to garnering new customers while making sure you are leveraging your core customers that got you into the marketplace.
Marketing and sales dollars are expensive, and need to be spent wisely and judiciously. There is a lot of literature out there and well intentioned advisers goading entrepreneurs to just get their product out there in a "fire, fire, fire" approach and forget about "aiming" or being "ready." But well intentioned or not, marketing and sales dollars are expensive and throwing everything at the wall to see what sticks is too costly. Depending on your product going "viral" just isn't prudent or realistic. Effective marketing is essential to earn meaningful sales. The discipline to have a "ready, aim, fire" approach is paramount to success.
Putting yourself out there effectively in the business world is essential. Whether you are pitching to investors, selling your product, building a customer base, recruiting, or interviewing, you are at some level selling yourself. Presenting yourself in a successful way is very challenging. Some are 'too slick,' and some are downright squeamish about presenting themselves. This episode discusses the many different audiences that you will need to present yourself while offering tactics for written presentations such as resumes and cover letters as well as communications to investors, customers, and team members.
Leadership and management is HARD, and many unwittingly fail. You can have the greatest product in the world but few things will tank an opportunity faster than poor management. Successful business management and leadership is far more rare than most think. This show discusses effective management and leadership needed to align the incentives throughout your company so you can build and achieve long term value and success for your business.
Getting attention for your business is all about the story you tell. It isn't enough for your product to be excellent. If you can't relay your opportunity in a compelling way, you will not get the investor, customer, or personnel interest that is critical for business success. This episode goes through how to put together a compelling pitch so you can best articulate the value of your venture.
No matter what stage your business is in, the understanding of what your venture is worth will always be important. A venture is worth what someone else is willing to pay for it. However, the market isn't always there to set the price, and CEO's and founders rarely listen to what the marketplace is telling them their company is worth. This episode demystifies valuation, discusses the different methods used to justify valuation, and gives tools and frameworks so you can be more prepared to demonstrate the value of your venture.
Does having a Business Plan really matter? The truth is that you can still get lucky without one, and many are teaching and advising entrepreneurs to just get out there. But it is dangerous and costly to throw a whole bunch of stuff at the wall just to see what sticks if anything sticks at all. It might get you into a market place faster, but it may very well be the wrong one, and all you’ve done is to pave the way for someone else to step over your carcass and garner the value of your opportunity. Building an excellent business plan isn't just to convince others that this is an opportunity worthy of investment and pursuit, but it is to convince YOU that it is worth your blood, sweat and tears along with the monumental opportunity cost to build this venture. An excellent business plan is a dynamic blue print for building and running your company to ensure that you have established the very best plan to achieve the goals that you've set forth to set you up to achieve your desired outcomes.
It is important to set a tangible goal. If you don’t set this stake in the ground, how do you know you are going in the right direction? Don’t worry, the stake can be moved as your opportunity evolves. However, there is an important distinction between a "goal" and a "desired outcome." A well conceived goal that is appropriately ambitious yet potentially attainable will give you your most likely chance at achieving your desired outcome. Setting up a goal that depends largely on 'luck' will most likely set you up for failure. Achieving success requires an alignment of many incentives. You will need the support of other people and you will need to check your ego at the door. Hubris should not be confused with confidence. You will need to rely on a supportive network along the way. Are you building a supportive network or just creating large databases?
I get asked all the time whether or not I think an idea is ‘good,’ and my answer is always the same: "I don’t know & frankly, I don’t care." An idea just doesn’t matter all that much to the financial success of a venture. All things being equal, I’d rather invest in an idea that is ‘good,’ but that is for the market to determine not any one person. A lot of businesses start out with an ‘idea.’ But ideas don’t make money. What matters is an opportunity to potentially earn significant long term value. In this episode, we will discuss how to determine if an idea is a genuine opportunity worthy of pursuit.