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Originally released on October 4th 2023, this episode of The CIBC Innovation Banking Podcast is part of our renewed focus on highlighting exceptional conversations within the American Innovation Economy. Join us as we revisit these insightful discussions and shine a light on the ongoing innovation that shapes our industry.
Angela Tran didnât set out to be a venture capitalist; she wanted to be an engineer. However, she's leveraged the skills she learned as an engineer to help build Version One Ventures with partner Boris Wertz, a venture capital firm that has invested in some of today's biggest start-ups. Angela uses her background to approach problems from a unique perspective to find and invest in companies in their very earliest stages. She looks for founders who are driven by problems they themselves have experienced- and who will stop at nothing to solve them.
Open to Opportunities
Angela's journey toward her current role involved embracing every opportunity that came her way. She never turned down meetings, believing that each encounter could lead to valuable connections. Angela emphasizes the significance of the people she has met along the way and the pivotal role they have had in shaping her career.
Know Your Mission
Angela and Boris share a strong inclination toward mission-driven founders who strive to address immediate problems. d She observes that many founders tend to focus on macro trends and problems that lack the imperative for change. In the absence of reliable metrics during early-stage investments, Angela and Boris instead concentrate on assessing the potential impact a company can have on the world. They focus on âwhoâ and âwhy nowâ principles.
Think outside the box
When she first met Boris, Angela created a dataset to try to uncover what startups would be successful. While it didnât work- Boris appreciated her out-of-the-box thinking.. When approached by entrepreneurs, Angela is drawn to individuals who exhibit that same determined drive to solve problems in innovative and captivating ways.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking
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Originally released on January 10th 2024, this episode of The CIBC Innovation Banking Podcast is part of our renewed focus on highlighting exceptional conversations within the American Innovation Economy. Join us as we revisit these insightful discussions and shine a light on the ongoing innovation that shapes our industry.
In this episode, Krishna Srinivasan, the founding partner at LiveOak Venture Partners, and Jonathan Schupack, executive director and market lead for CIBC Innovation Banking in Texas, share their insights and experiences about the challenges and triumphs faced by startup entrepreneurs in the lone star state. Join us as we uncover the secrets of successful entrepreneurship. Drawing parallels between climbing mighty mountains and building ground breaking businesses, discover the resilience, innovation and collaborative spirit that define the Texan startup scene.
The power of cross-pollination
Krishna sees parallels between mountain climbing and entrepreneurship. Taking that first step, whether on a mountain or in a business, is crucial. The challenges faced by startup entrepreneurs to climb a virtual mountain require us to break down the journey into smaller, manageable steps, celebrating every little victory and constantly striving to improve. Reflecting on what works and what doesn't is key to not giving up before the peak. That's reflected in the startup community in Texas. It's a diverse economy and there is a supportive ecosystem. There's a combination of deep industry knowledge and technology talent that makes Texas a thriving hub for startups and innovation.
Sustainability is key
Krishna stresses the importance of building sustainable businesses, pointing out how excessive capital can mask underlying issues. He advises entrepreneurs to focus on product market fit before expanding into sales and marketing efforts, advocating for a sequential approach, the need for flexibility in adapting to changing market conditions and being prepared for shifting goalposts and fundraising efforts is critical for success
There is a need for native later-stage capital
Jonathan says that while there is a bit of a slowdown in VC funding, the Texas innovation economy remains resilient, with a diverse ecosystem and opportunities for growth. However, he notes a gap in native later stage capital, suggesting that while the state attracts attention, there's room for increased investment from within Texas.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
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Originally released on January 24th 2024, this episode of The CIBC Innovation Banking Podcast is part of our renewed focus on highlighting exceptional conversations within the American Innovation Economy. Join us as we revisit these insightful discussions and shine a light on the ongoing innovation that shapes our industry.
Morad Elhafed and the rest of the team at Battery Ventures in Boston believe that it's time to get back to fundamentals and build durable and scalable businesses. He is joined by Andrew Phillips, managing director in Boston of CIBC Innovation Banking. Morad and Andrew share their insights into the current investment landscape, how investors identify high-quality companies, and why Boston has become a hub of talent and investment.
Every dollar needs justification
In todayâs investment landscape, investors and founders need to justify every dollar. Investors are looking for scalable and durable investments, and founders need to be able to prove that they are using funding wisely.
Innovation comes from everywhere
Traditionally, most tech innovation was coming out of Silicon Valley, but today, it's coming from around the world.
Looking for leaders in the market
Morad says he and his team search for leaders in their markets, whether they are small or niche. Leaders often have strong leadership and a clear path to profitability.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
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Originally released on May 4 2022, this episode of The CIBC Innovation Banking Podcast is part of our ongoing celebration of meaningful dialogues with our listeners. As we highlight some of our standout episodes featuring trailblazers and icons in the Innovation Economy, we recognize the enduring relevance and value of the insights shared. Join us as we revisit these dynamic discussions and showcase the innovation that continues to define and drive our industry.
As every startup entrepreneur and enterprise CEO knows, the growth stage is all about scaling up the company, which typically requires a cash infusion. That's where investment gurus like Deven Parekh come in. As a Managing Director at Insight Partners who has been with the firm for more than 22 years, Deven has some insightful advice to share for entrepreneurs hoping to secure funding to fuel their business. Over the course of his career, the companies heâs invested in have all had major payoutsâBuddy Media was acquired by Salesforce, Football Fanatics was bought by GSI Commerce, and eventually eBay, and Media Mind was sold to DG Fast Channel after the IPO. During this episode, the global investor shares the top qualities he and his team are looking for in software companies worldwide.
On the lookout for large markets
Deven shared a few of the main characteristics he and his team are looking for when it comes to finding businesses to invest in. First, he said theyâre most interested in targeting large markets to maximize growth opportunities. In addition, they look for businesses with a technology product thatâs not easy to replicate so they can keep competition at bay, and an exponential increase in momentum in terms of buyer interest. And last but not least, Deven noted they typically look for solid teams with great management leaders who truly feel passionate about the problem theyâre helping to solve.
In-person interactions minimize risk
As the pandemic continues to subside over time, more of its long-term impacts on the business world will be revealed. Deven commented that for investors, arranging in-person meetings followed by dinner or drinks isnât just a nicetyâit can actually help to minimize risks by building trust on a personal level. Although many companies will continue to use tools like Zoom and a hybrid working environment for the sake of convenience, meeting in person will continue to play an important role in creating a foundation of trust and collaboration among teams.
Invest in your passions
Devenâs overall advice to entrepreneurs was to choose a problem that youâre passionate about solving and make it the main focus of your business. While it can be tempting to dive into hot new trends in the market, he recommends following your passion instead because youâll be more likely to actually find a solution to the problem youâre trying to solve. Deven commented that people tend to complicate the road to success, but itâs really quite simple: identify a pain point, work on solving it, and convince customers to buy your product.
CIBC Innovation Banking delivers strategic advice, cash management and funding to innovation companies across North America, the UK, and select European countries at each stage of their business cycle, from start up to IPO and beyond. Get in touch with our team at cibc.com/innovationbanking.
This episode of The CIBC Innovation Banking Podcast was produced by Quill.
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Originally released on November 20th 2020, this episode of The CIBC Innovation Banking Podcast is part of our ongoing celebration of meaningful dialogues with our listeners. As we highlight some of our standout episodes featuring trailblazers and icons in the Innovation Economy, we recognize the enduring relevance and value of the insights shared. Join us as we revisit these dynamic discussions and showcase the innovation that continues to define and drive our industry.
The Four Pillars of Unseparation
Leadership, culture, spirituality, and nature. Dax Dasilva is a Philosopher CEO, and his latest book âAge of Union: Igniting the Changemakerâ and sees these four qualities as essential for corporate growth. âThe idea behind that is, how do you make change in the world? What are the things that you have to think about together holistically in order for us to make impact?â he says.
Leadership is more than a Type-A personality
Dasilva is a quiet force to be reckoned with, and admits heâs not a Type-A personality common in the corner office. Lightspeed is home to a variety of leadership types, offering a variety of voices and perspectives. He says, âWe really believe that having many kinds of different kinds of people around the table and different kinds of leaders adds a richness and a wisdom and knowledge to the solutions that we come up with.â
Never Apart
As Lightspeed outgrew its offices, it didnât abandon the venue that hosted its early success. Dasilva turned it into a venue for hosting LGBTQ artists and speakers. âIt's not just an art gallery. There's sort of a spiritual calling and trying to bring people together. And for the LGBTQ community, who's often by many communities been told we're not a part of spirituality, it's a kind of a vow for us to never be apart from that mission that we, I think, have as well.â
Join Dax Dasliva as we explore Never Apart and Lightspeedâs corporate offices â and attitudes â with our #CIBCInnovationEconomy series, then listen to Dasilva discuss how diversity is the key to success on the CIBC Innovation Banking Podcast.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
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Originally released on June 1st 2022, this episode of The CIBC Innovation Banking Podcast is part of our ongoing celebration of meaningful dialogues with our listeners. As we highlight some of our standout episodes featuring trailblazers and icons in the Innovation Economy, we recognize the enduring relevance and value of the insights shared. Join us as we revisit these dynamic discussions and showcase the innovation that continues to define and drive our industry.
Often, the most valuable insights into startup strategy and execution come from early-stage investors. For burgeoning entrepreneurs, having a chance to learn the ropes from a seasoned founder can be invaluable when it comes to guiding the company towards sustainable growth and longevity. In this episode, Michael sits down with someone who knows all about this. As the Head of Operating Platform at Jump Capital, Jason and his team work closely with founders to help them build and scale effectively in their formative years. During the episode, Jason explains how the firmâs overall mission is to invest in early stage companies, partnering with the founders early on in their journey of building the company so they can be with them throughout the entire lifecycle of the business. Jason shares some of the most common mistakes made by new entrepreneurs, how to establish effective growth expectations, and more key insights about startup life.
Make the most of mistakes
When it comes to building a new company from the ground up, mistakes are inevitable. Instead of aiming to achieve the impossible task of avoiding mistakes altogether, Jason suggests learning to quickly pivot and learn from any missteps along the way. Having someone on your side who has been through the founderâs journey can also help you make fewer mistakes overall, while minimizing the impact of those you canât avoid.
Opt for sustainable growth
In the early stages of a companyâs development, focusing on growth should be a key priority. However, Jason reminds us that prioritizing growth at all costs can lead to some pretty detrimental consequences in the long run. For new founders, Jason recommends avoiding unrealistic goals and instead focusing on smart, sustainable growth to ensure the company has longevity into the future.
Focus on people
Jasonâs number one tip for entrepreneurs and early stage CEOs is to make people your top priority. In other words, if you hope to see your company flourish and succeed in the long run, itâs important to dedicate a significant chunk of your time to hiring and retaining top talent. Spending the extra time it takes to motivate, guide and communicate with your team to help them bring your vision to life will ultimately pay dividends for years to come.
CIBC Innovation Banking delivers strategic advice, cash management and funding to innovation companies across North America, the UK, and select European countries at each stage of their business cycle, from startup to IPO and beyond. Get in touch with our team at cibc.com/innovationbanking.
This episode of The CIBC Innovation Banking Podcast was produced by Quill.
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Originally released on June 2 2021, this episode of The CIBC Innovation Banking Podcast is part of our ongoing celebration of meaningful dialogues with our listeners. As we highlight some of our standout episodes featuring trailblazers and icons in the Innovation Economy, we recognize the enduring relevance and value of the insights shared. Join us as we revisit these dynamic discussions and showcase the innovation that continues to define and drive our industry.
Bob Nye is a General Partner at JMI Equity. He joined JMI in 2005 and is based in Baltimore, Maryland. Nyeâs primary areas of investment focus are internet and enterprise software companies, and he specializes in helping growth companies build value. Nye has helped many companies overcome their hurdles and grow into unicorns with a valuation over $1 billion. In this episode, we look at the unique challenges in scaling and funding Canadian start-ups.
Investment strategies have evolved over three decades
In the early days, you were investing in an idea. The entrepreneur would typically have experience within that industry, understand the pain points of that business, and what the customers would need. This is what investing looked like 30 years ago, but if we fast forward to today, businesses need to be much bigger if theyâre looking for a sizeable investment. On average, when JMI Equity invests in a company, they have $35 million in revenue, revenue growth of 35% year over year, along with an established product market fit. Because companies have established product market fit, there is primarily âexecution riskâ which is very different from early stage ventures when investors are taking on all the risk.
How do you get from $1M to $50M in revenue?
The traits, skills and characteristics of an entrepreneur that make them successful early on are often the polar opposite of what will make them successful as their company evolves, says Nye. The key to scale is to have incredible customer centricity, and maniacally focus on your customer experience. The second factor is to ensure that you have great functional leaders. A great entrepreneur knows exactly when itâs time to step aside and let somebody else manage the day-to-day so that they can focus on the company's larger vision and strategy.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
This episode of The CIBC Innovation Banking Podcast was produced by Quill.
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Originally released on October 19th 2022, this episode of The CIBC Innovation Banking Podcast is part of our renewed focus on highlighting exceptional conversations within the American Innovation Economy. Join us as we revisit these insightful discussions and shine a light on the ongoing innovation that shapes our industry.
In this episode, Michael Hainsworth sits down with Tom Dretler, the co-founder and CEO of Shorelight. Founded nearly a decade ago, the company matches international students with universities in the United States, and helps them succeed socially and academically. During the episode, Tom shares how he had to go back to schoolâmetaphorically speakingâwhen the pandemic collapsed demand for international education opportunities in 2020. He also explains why the economic downturn that followed has led Shorelight to revisit the way it plans on funding its future.
Tie profitability to your mission
When Tom and the team were first conceptualizing the idea for Shorelight, they knew they wanted their goal to ultimately be helping students successfully graduate and begin their careers. As a result, when they began designing their business model, they decided to walk their talk by tying their profitability directly to student outcomes. That way, they were constantly measuring themselves as a business driven equally by mission and profit.
What you do is important, but who you do it with is more important
Understanding the value of building the right company culture is crucial for any business leader. Tom mentioned that while he was a student at Harvard Business School, the Dean of the school took the time to have a coffee with him and he told him something heâll never forget: what you do is important, but who you do it with is more important. With a 91% Glassdoor rating, itâs clear that Shorelight lives by this maxim on a daily basis.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
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Originally released on November 2nd 2022, this episode of The CIBC Innovation Banking Podcast is part of our ongoing celebration of meaningful dialogues with our listeners. As we highlight some of our standout episodes featuring trailblazers and icons in the Innovation Economy, we recognize the enduring relevance and value of the insights shared. Join us as we revisit these dynamic discussions and showcase the innovation that continues to define and drive our industry.
The pandemicâs impact on startups, growth-stage companies and late-stage organizations continues, and geopolitical issues have also had a dramatic impact on the private equity markets. No one knows this better than Ran Ding. Ran co-leads B2B growth equity investments at Norwest, where he focuses on partnering with founder managed or capital efficient businesses looking to scale from double digit revenues to triple digit revenues. Norwest is a multi-stage investment firm that has delivered top quartile returns over the past 60 years, and seen its fair share of economic cycles. Ran cut his teeth more than a decade ago during the last financial crisis, and shares his perspective on the similarities he sees today.
COVID-19âs impact continues
As a result of the worldwide societal changes brought about by the pandemic, the timeline to build a relationship has accelerated as companies become more comfortable meeting over video conferencing platforms. While this has led to a more fluid exchange, it's also led to an increased focus on finding mission-driven career paths for employees, with the pandemic creating more remote work opportunities than before.
Play the offensive
With a long history under its belt, Norwest has seen plenty of ups and downs in the market along the way. During times of turmoil, Ran says their team has found itâs best to remain in constant communication with clients to help them stay prepared. And in some cases, thereâs also the opportunity to selectively play offense in a very disciplined way to keep an edge against the competition.
Build a foundation of trust
When it comes to scaling a company and encouraging leaders to delegate responsibility, Ran believes that first and foremost, it comes down to building a strong foundation of trust. At Norwest, the team spends a lot of time building relationships with people before they even make an investmentâin some cases for many yearsâto ensure they understand each other culturally, interpersonally, and are aligned in terms of their operating philosophy.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
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Originally released on November 24th 2021, this episode of The CIBC Innovation Banking Podcast is part of our renewed focus on highlighting exceptional conversations within the American Innovation Economy. Join us as we revisit these insightful discussions and shine a light on the ongoing innovation that shapes our industry.
Financial planning startup Vena Solutions has raised more than $400 million to fuel its growth. When you've got that kind of walking around money, you need to have a plan to turn that capital into new customers, enhanced products, and recurring revenue. In this episode, we hear from Vena Solutionsâ Chief Operating Officer, Tina Goulbourne, on the key priorities required for startup success. Tina has held key roles during her career at companies like Xerox, Hewlett-Packard, and Apple, and she leans on those experiences to help guide her in her current role at Vena Solutions. During our discussion, Tina shares the story of how she ended up in her current role at Vena Solutions as well as some of the key lessons sheâs learned about the startup mentality over the course of her career.
Turn towards, instead of away
Although Tina was happy in her previous role at Apple, she was intrigued by the opportunity to join Vena Solutions for a variety of reasons. First, she knew the companyâs CEO and entire leadership team would be excellent to work with given their humble, grounded, yet committed approach. In addition, Tina was interested in the opportunity to learn more about the product and build something new from scratch. Ultimately, these positive qualities stood out to her and she allowed them to serve as the guiding force in her next career move.
Take notes from Apple
During her time as Appleâs Sales Planning and Operations Leader, Tina learned a few tricks of the startup trade. First, she learned the importance of prioritizing data when making decisions and measuring success. She was also influenced by the companyâs focus on transformational improvement rather than incremental improvementâthat is, rather than making small tweaks to the existing approach, there should always be a willingness to go back to the drawing board if something isnât working. Finally, Tina learned the value of placing a strong emphasis on improving the customer experience, every step of the way.
Focus on sustainable growth
Tina noted that at the beginning of the startup journey, the focus is primarily on getting as much business in the door as possible. However, once companies enter the scale-up phase, they need to be strategic about finding ways to grow sustainably. At Vena Solutions, part of the companyâs approach is to determine the biggest growth accelerators and inhibitors so they can zero in on strategies for expansion while removing potential barriers to success.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
This episode of The CIBC Innovation Banking Podcast was produced by Quill.
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Originally released on October 27th 2021, this episode of The CIBC Innovation Banking Podcast is part of our ongoing celebration of meaningful dialogues with our listeners. As we highlight some of our standout episodes featuring trailblazers and icons in the Innovation Economy, we recognize the enduring relevance and value of the insights shared. Join us as we revisit these dynamic discussions and showcase the innovation that continues to define and drive our industry.
Kelly Schmitt successfully guided the CSR platform for charitable donation management, Benevity, throughout her tenure as Chief Financial Officer, and later President. Today, the Canadian company is a billion-dollar organization with more than 650 employees, two million users, and $7 billion in processed donations to 300,000 global charities, and Kelly has transitioned to the role of CEO. In this episode, Kelly shares her story of assuming the coveted C Suite at Benevity, how she overcame self-doubt, and the true meaning of a growth mindset in business.
People and culture trump all
Kelly shared that while working as Benevityâs CFO and President, the companyâs founder approached her about taking over the position of CEO. Initially, she balked at the suggestion, assuming that the role of CEO should be reserved for the best salesperson, thought leader or visionary in the room. However, she quickly realized that being a great CEO goes beyond a solid resumĂ© â itâs about aligning well with the companyâs people and culture, and embodying the organizationâs overall values.
Embrace change
To Kelly, a growth mindset means embracing the idea of constant and never-ending improvement. She believes that to continue being a leader in the market, companies need to constantly be evolving, innovating, and disrupting. This requires a high level of self-reflection but also a willingness to grow, stay humble, and accept feedback. Kelly notes that a growth mindset is really about looking at things through a long-term lens instead of focusing solely on short-term gains.
Diverse teams are more successful
From the outset, Benevityâs founder made it a priority to build a diverse team, not by setting specific targets, but by building a culture of inclusive behaviours and solid values. The companyâs team is now 51% women and 30% BIPOC, which Kelly says has directly translated into a higher performing business. Kelly referenced some of the built-in behaviors that help Benevity maintain this inclusive culture, such as a progressive parental leave program and gender pay equity initiatives.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
This episode of The CIBC Innovation Banking Podcast was produced by Quill.
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Originally released on November 15 2023, this episode of The CIBC Innovation Banking Podcast is part of our renewed focus on highlighting exceptional conversations within the American Innovation Economy. Join us as we revisit these insightful discussions and shine a light on the ongoing innovation that shapes our industry.
According to Marcos Torres, investing is more serious than getting married. The CFO of Huntress, a managed security platform developed by former NSA employees, says that investing just isn't about money. He looks for partners who he can work with long-term, because he knows it can be far more difficult to get someone out of a company than of a marriage. Join him and host Micheal Hainsworth as they delve into what Marcos has learned on his journey from private equity owned business operator turned CFO, raising equity before you need it, and the nonlinear growth of organizations.
You need more than just a plan B
Marcos stresses the significance of having not only plan A and B, but also plan D. Too many entrepreneurs seek cash only when they are in trouble, but Marcos advocates for "digging the well before you're thirsty." By seeking partners, building relationships, and raising equity in advance, you position yourself to find the right investors and partners for your business.
Find the intersection of pain points
Marcos knows that every customer's pain points will be unique to their business. Companies may belong to the same category, but that doesn't mean the issues they need to address are identical. Thatâs why he encourages entrepreneurs to find the intersection of the pain points across the category they are targeting. Huntress focuses on small to medium businesses that live under the âcyber security poverty line,â and by finding commonalities in their security pain points, has built a product that can scale and build a robust customer base.
People are the most expensive part of software
When tackling a problem, Marcos and his team prioritize technology. They first identify the problem and how technology can solve it, then consider the people involved. People are the costliest aspect of technology, so optimizing the process before identifying the required team members helps create a scalable business.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
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In a conversation with host Michael Hainsworth, Andrew Waitman, CEO of Assent, a data management platform that informs and guides ESG strategy, delves into the evolving landscape of ESG (Environmental, Social, and Governance), and the importance of responsible supply chain management. He underscores the growing scrutiny from stakeholders, investors, and the public, who now prioritize ESG and sustainability in their decision-making processes. Andrew warns that organizations failing to adapt will encounter repercussions both in terms of their reputation and financial standing.
Best practice is no incidents
When questioned about the significance of investing in ESG, Andrew draws a parallel with cybersecurity. In the realm of cybersecurity, organizations aim to prevent security breaches through investment in programs and systems. Similarly, in the context of ESG, proactive investment is imperative for uncovering and addressing issues early, and averting potential financial and reputational consequences down the road.
ESG reporting will be the new financial reporting
Andrew highlights the century-long evolution of strictly regulated financial reporting and foresees a similar trajectory for ESG reporting. In the near future, Andrew believes companies are likely to face similar mandates to disclose their sustainability practices.
Founders are responsible for setting their values
Andrew asserts that it falls upon founders to integrate ESG and sustainability into their organizations and disclose these values to stakeholders, employees, and the broader public. He underscores that this integration has become vital for attracting investment and fostering organizational growth.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
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Bow River Capital is an employee-owned diversified investment platform that specializes in the lower middle market. John Raeder, the Vice Chairman and Head of Software Investments, launched the Maiden Fund in 2018, a Software Growth equity fund at Bow River, which was oversubscribed by $160 million dollars. John focuses on what he sees as a capital gap in the lower middle market, helping SaaS companies grow from $5 to $50 million by strategically investing to accelerate their growth. Clearly, his strategy is working, as five of Bow Riverâs seven SaaS companies are growing subscription revenues at 100%, and Bow River is one of the top ten funds in the US.
You can't fix bad industries
John stresses that while you can fix bad companies, you can't fix bad industries. This perspective drives the efforts of John and the Bow River Capital team in rigorously evaluating and scrutinizing industries before investment. He and his team are attracted to companies in human capital management, fintech and construction tech because these technologies help solve operational efficiencies and improve cost structure monitoring. By exercising caution during periods of prosperity, investors can minimize the effects of inevitable downturns.
Founders should lean on the expertise of their investors
John says that founders need to trust and rely on the expertise of their investors. The Bow River team has 80 years of operational experience and puts each company they plan to invest in through a rigorous diligence process. Once theyâve decided to invest, Bow River Capital focuses on building strong relationships with its founders. This approach ensures that, in times of adversity, established relationships serve as valuable resources, offering guidance and specialized knowledge.
You canât brand your way to growth
John believes that branding alone cannot grow a company from $5 to $50 million. When investing, John and his team donât invest in TV commercials or print ads. Instead, they allocate roughly 40% of the capital to sales and marketing acceleration and roughly the same to innovation and product-led growth.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
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Malcolm Locke, CFO of UK-based B2B software service company Egress, sits down to discuss Brexit, expanding to North America and why the UK is still attracting investments. Heâs joined by CIBC Innovation Bankingâs Managing Director for UK & Europe, Sean Duffy, who adds his valuable expertise to the conversation. In a post Brexit and high-inflation environment, how can UK based firms grow and expand? Listen to this episode to find out.
Access to talent is critical
Malcolm says that Brexit has impacted software companies' access to talent. The European job market has traditionally been critical for talent acquisition, so UK based companies are re-evaluating their strategies. And while they canât easily recruit from Europe, they also canât easily send their trained employees to these markets either. Thatâs why many UK based companies are turning their attention across the pond to the North American market.
It's about efficiency, not growth
The era of âfree moneyâ is over, and so is the mentality of growth at all costs. Malcolm and Sean say that investors are looking for efficiency. They will invest in companies that are using their capital wisely and making their cash impactful.
There is still an active funding market
Despite the current market conditions, especially those in the UK, there is still funding to be had. As Sean says, money canât just sit around. Companies need to have high parameters and show investors they arenât cash burners.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
CIBC London Branch (Reg. no. 141285) is authorised by the Prudential Regulation Authority and subject to regulation by the Financial Conduct Authority and limited regulation by the Prudential Regulation Authority. Registered at 150 Cheapside, London EC2V 6ET.
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Maria Pacella has over two decades of experience investing in emerging growth technologies, and thinks that the best venture capitalists have a range of experiences gained through working in different roles. As an investor, Maria looks for three things: people, product and pent-up demand. She would prefer to invest in a strong team and founder with a smaller market than one with a large market and weak team, and brings this people-first approach to everything she does. In this episode, join host Michael Hainsworth as he and Maria dive into the Canadian investment landscape, what the current economic climate means for venture capital, and why now is the best time to start a business.
It's all about the people.
Maria's journey to venture capital was anything but straightforward, but she embraced the learning opportunities along the way. She emphasizes that your career is shaped more by what you gain from the journey, rather than formal education alone. Additionally, she advocates for corporate cultures that prioritize diversity of thought in decision-making, believing that such cultures flourish.
People, product, and pent-up demand.
A mentor once shared valuable advice with Pacella - a good investment comprises three essential elements: people, product, and pent-up demand. Taking this guidance to heart, she seeks out products backed by exceptional teams with smart capital allocation strategies. She also looks for products that offer tangible value propositions and address pressing problems. Especially in the current challenging climate, entrepreneurs and products that meet these criteria are more likely to attract investment and achieve success.
Now is the best time to start a business.
In today's economic climate, the era of "free money" has come to an end. Entrepreneurs now face greater challenges in securing capital, while investors have become more discerning with their investments. Pacella believes that this situation calls for businesses to be capital efficient and deeply focused on their mission and value proposition. Companies that can thrive amidst these conditions are well-positioned for future growth and success.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
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In the business world, itâs never been more important for companies to build a brand thatâs trustworthy, credible and authentic. Considering realness is the basis for her business model, StoryTap co-founder Bernadette Butler lives and breathes by this maxim. StoryTap turns consumers into evangelistsânot by using fancy, high-quality video content, but through videos that consumers submit themselves. Offered now in nine countries, the patented video platform is revolutionizing the online customer journey, bridging the gap between the in-person experience and the online experience. In this episode, Bernadette explains why she believes the secret to StoryTapâs success is applying authenticity to the business model every step of the way.
Harnessing authenticity
One of the major truisms that StoryTap is tapping into (no pun intended) is the fact that consumers today are craving authenticity above all else. Any company can manufacture a highly edited video that conveys a picture-perfect brand identity, but consumers want to truly understand how a product can add value to their life. As Bernadette noted, people want to see real people, telling real stories, and StoryTapâs success is living proof of this.
Learn to love failure
As someone who has been through the experience of launching her own startup, Bernadette is skeptical of any founder who says they found success right out of the gate. A true over-achiever, she initially railed against the notion of failure, but as she gained experience, it became clear that failure was simply an unavoidable part of the process. Now, Bernadette says she loves failing because it serves as the key to unlocking the next level of business growth.
Find the right co-pilot
Since failure is an inevitable aspect of almost any business venture, itâs important to have the right people in your corner. When it comes to weathering the storms of startup life, Bernadette is grateful to have her co-founder Sean Braacx by her side. With an entirely different skill set from Bernadette, Sean brings a new perspective to the table, which can accelerate the brainstorming process.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at
cibc.com/innovationbanking.
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Since it spun out from the wildly popular online media company TechCrunch in 2015, Crunchbase has been blazing its own trail. The company recently raised $50 million in a Series D round, and it comes at a difficult time for raising fundsânot just for B2B software as a service, but for the industry as a whole. Nobody knows that better than Crunchbaseâs CEO, Jager McConnell. In this episode, Michael and Jager explore how he managed to raise the funds, how he managed the uncertainty, and how his experience at Salesforce helped him drive Crunchbase to the level of success it's seen so far. Michael and Jager discuss the companyâs latest funding round, the importance of giving back to the community, and some of the toughest lessons heâs learned while building an enterprise product.
Set realistic business goals
Itâs been a difficult time for growth equity rounds. However, according to Jager, the decimation of multiples is a good thing for the ecosystem. When valuations are hyper inflated, the gap between a companyâs current revenue and where itâs valued forces them to pursue aggressive growth at all costs. Thatâs why Jager believes itâs better for the entire ecosystem to set realistic valuations and achievable goals, rather than chasing unsustainable levels of growth.
Focus on efficiency and measured growth
Jager compares the times we find ourselves in now to the dot-com crash of the early 2000s. Looking back, it was the companies that focused on rebuilding with efficiency and measured growth that came out on top, and he believes the same will be true of today. Ultimately, the great reset will enable us all to build back stronger and take advantage of new, more interesting opportunities in the future.
Give back to the community
During his time at Salesforce, Jager learned about the value of giving back to the community. With its Pledge 1% program and regular charitable giving practices, Crunchbase is taking a similar approach. As someone who considers himself a social-driven individual, Jager has made it part of his mission as CEO to lead by example and champion charitable causes, inclusion and diversity.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
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If you've ever filled out a survey online, thereâs a good chance you've used technology created by MontrĂ©al-based company Potloc. The consumer research company extracts consumer insights by reaching niche audiences through social networks. In this episode, Michael sits down with Potlocâs Co-Founder and CEO Rodolphe Barrere. After co-founding the company in 2014, he and the team raised more than $58 million in capital. Today, Potloc has more than 500 clients served by three offices around the world, and Rodolphe says unicorn status is now on the horizon. During their discussion, Rodolphe dives into some of the secrets to his success including firing himself every six months.
Donât become your own bottleneck
As a leader, Rodolphe is humble enough to recognize that with every next step the company takes, he needs to re-evaluate if heâs still the best person for the job. For example, while the founder of a company may be a great small-size startup leader, they may not be able to apply their skills as effectively to a company of more than 1,000 employees. To avoid becoming the bottleneck of his own creation, Rodolphe consistently âfires himselfâ every six months so he can ensure heâs always innovating, learning and growing.
Establish a network
Another leadership secret Rodolphe shared is to surround yourself with people who are uplifting, positive and curious. He reminds us that you are the sum of the five people you spend the most time with, so itâs important to be selective about who is in your inner circle. Once youâve established a solid network of people you trust, keep the lines of communication open so you can share knowledge, swap tips and trade stories regularly.
Culture is crucial
Rodolpheâs key tip for other entrepreneurs hoping to reach unicorn status? Never underestimate the importance of creating a positive company culture. To do this, he suggests doing some inner reflection in the early growth stages of the company to determine your own personal valuesâfor him and his co-founder, this included learning, transparency and ambition. From there, apply these values to every entrepreneurial decision you make along the way, and you canât go wrong.
CIBC Innovation Banking is a trusted financial partner to entrepreneurs and investors. Get in touch with our team at cibc.com/innovationbanking.
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There comes a time when some startup founders need to turn over the reins of their company to someone new. Some founders may hold on for too long and ultimately fail to accelerate the companyâs growth, and others may move too fast and miss out on a chance to capitalize on the first mover advantage. In this episode, Michael sits down with Hootsuiteâs new CEO, Tom Keiser, to discuss his plans for continuing to grow the company now that heâs at the helm and further build on what founder Ryan Holmes created. During his career, Tom has more than quadrupled the valuation of Zendesk, re-platformed the parent company of Victoria's Secret and The Gap for e-commerce, and most recently, heâs stepped into the role of CEO at Hootsuite to scale up the social media management platform. During the episode, Tom explains how heâs applying lessons from his past career experiences to his current role at Hootsuite, his plans for taking the platform to the next level, and much more.
Keep up a cadence
During his time working in retail, Tom learned the value of maintaining a regular and rigorous cadence when planning for the future. When it comes to taking your businessâs temperature through key metrics and signs of success, itâs not enough to check in once a quarter or even once a month. Tom adheres to a weekly or bi-weekly rhythm of checking in on the core metrics of the business to ensure short-term and long-term goals are on track.
Lose the limits
One major difference Tom noticed when he made the leap from retail to technology was the general lack of constraints in the tech world. While the retail world tends to be limited in a physical sense based on things like geographical space or supply chain issues, technology makes it possible to innovate much more rapidly without being held back by capacity limits. Since the tech world essentially affords infinite possibilities for the future, Tom looks for talent who live according to this limitless mindset.
Skate to the puck
When it comes to Tomâs overall strategy for taking Hootsuite to the next level, he plans on helping the company continue to evolve in tandem with the social media industry. By keeping his finger on the pulse of new and emerging social platforms, Tom and the Hootsuite team are skating where the puck goes to maintain alignment with the major players within the space.
CIBC Innovation Banking delivers strategic advice, cash management and funding to innovation companies across North America, the UK, and select European countries at each stage of their business cycle, from startup to IPO and beyond. Get in touch with our team at cibc.com/innovationbanking.
This episode of The CIBC Innovation Banking Podcast was produced by Quill.
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