Welcome everybody to another episode of Antifragile. Joining us today is Brad Feld – author, entrepreneur and investor. Brad is going to share about venture capital investing and entrepreneurship.

I focus my investment approach not on being the boss, but being someone who is of service to the CEO

Being one of the most successful VC investors, Brad has a lot of insights for us on how he was able to attract and work with top entrepreneurs, citing the interesting success story of Harmonix (Guitar Hero).

Together, we discuss both the founder and investor side of venture capital investing. As he says: “Ultimately it is about understanding how you can best work with people (founders/investors) and how that synergy can create success”. Furthermore, Brad shares what makes a durable company and his approach to investment. One exciting thing about this episode is Brad’s opinion about traits of good vs great investors.

Episode Quotes

"We're very focused on being partners with the entrepreneurs and founders of the company rather than control investors"

"Do not be emotionally invested in the outcome to the point where it interferes your ability to be constructive"

"Companies that acknowledge mistakes and make adjustments are much more durable than the ones who does not"

"The best way to fly is to throw yourself off the ground as hard as you can miss"

"As founders don't be insular. Get perspective from people outside your company"

"Ultimately it's about understanding how it is that you can best work with people (founders/investors) and how that synergy can create success."

"I focus my investment approach not on being the boss, but being someone who is of service to the CEO"

"Your goal is to make a return that's above the market return, and there's a lot of different ways to do that"

"I try really hard not to have envy of other investors and not to have remorse for companies that I didn't invest in"

"What attracts me to companies is the utility of what they do rather than the aspirational thing that they are setting up"

Listen to Learn

00:18 Episode intro, getting to know Brad Feld

03:30 What enables Brad to attract and work with top entrepreneurs?

10:29 Untold make-it-or-break it moments

13:45 The Harmonix (Guitar Hero) success story

15:43 The huge failure - "We are losing $5 million a month"

19:48 Change is inevitable - how to have control over your business

25:45 The cryptocurrency phenomena

29:30 Founders: biases vs experiences

34:46 What founders could do to find objectivity?

38:43 Traits of a great vs a good investor

42:54 Brad's approach to investment

45:43 Brad's take on Warren Buffett's investor letter, venture investment

52:24 Rapid Fire Questions

57:49 Investing in companies where the product/product vision is awesome

01:00:45 Rapid Fire Questions (continuation), end notes