#13:The importance of mentorship and networking for start-ups
Hi, I'm Jeppe and welcome to my weekly newsletter on Corporate Venturing, released every Tuesday. My aim is to provide a comprehensive perspective on the latest developments in the field and its related topics, drawing from the insights of top management, venture capitalists, founders, LPs, and family offices. I aim to offer valuable information and thought-provoking content that will aid in understanding the importance of Corporate Venturing in business strategy.
Today's topic is 'The Importance of Mentorship and Networking for Start-ups' in the context of corporate venturing. I decided to cover this topic as it is one of the most interesting discussions I have had with the corporates I interact with. When we discuss value creation in the interaction between corporates and start-ups, I often highlight that corporates can provide start-ups with invaluable insights about products, markets, and advice from their extensive workforce. CB Insights highlights the reasons why so many start-ups fail every year, and many of these reasons could be addressed with the available information in corporates.
The most successfull founders seek to eliminate the risk of failure which are lowered through mentorship and networking. I've seen over and over again how much value start-up founders gain from working with corporates. Mentorship can be structured in many ways and I've previously participated in different programs (Antler, Columbia Business School) as well as roundtable discussions with big corporates where founders have gain significant insights.
Mentorship is the process of receiving guidance and support from an experienced professional who has gone through similar challenges
Here are some ways that start-ups can benefit from mentorship in the world of corporate venturing:
Access to Industry Expertise: Corporate Venturing can provide start-ups with access to experienced professionals who have in-depth knowledge of the industry. This expertise can help start-ups navigate complex challenges and make informed decisions.
Business Growth: Mentors can help start-ups identify growth opportunities and provide guidance on how to scale their businesses. This can include advice on hiring, marketing, and other critical areas of business.
Personal Development: Mentors can also provide support and guidance on personal development, such as leadership skills, time management, and communication. This can help start-up founders become better leaders and build strong, effective teams.
Looking back over the past 5 years of investing as a CVC or an angel in the early stages, I have always searched for individuals with an extensive network. History has taught me that individuals with substantial networks have a high problem-solving pace. Depending on their personality, they are often more comfortable sharing problems, which leads to finding solutions quickly.
Networking is the process of building and maintaining relationships with individuals and organizations that can help you achieve your business goals.
Here are some ways that start-ups can benefit from networking in the world of corporate venturing:
Access to Resources: Corporate Venturing can provide start-ups with access to a broad range of resources, including potential customers, suppliers, partners, and investors. Networking with these individuals and organizations can help start-ups access these resources more easily.
Learning Opportunities: Networking can also provide start-ups with opportunities to learn from other entrepreneurs and industry professionals. This can include attending conferences, joining industry groups, and participating in mentorship programs.
Brand Building: Networking can also help start-ups build their brand and reputation within the industry. By connecting with other professionals and building relationships, start-ups can establish themselves as thought leaders and gain credibility within their field.
Conclusion:
Mentorship and networking are critical for the success of any start-up, and corporate venturing can provide valuable opportunities for both. By accessing the expertise and resources of corporate partners, start-ups can build strong relationships and develop the skills they need to grow and thrive in the competitive world of entrepreneurship.
Articles:
I would very much recommend you to also read:
11 Reasons Why Networking is Essential for Any Startup (universitylabpartners.org)
Thomas Eisenmann's Why Start-ups Fail (hbr.org)
I hope you enjoyed this week's newsletter. If you have any suggestions or contributions that you would like to share with me, please do not hesitate to reach out. I would be delighted to hear from you.
/Jeppe