Waleed A. Alballaa’s Post

On VC board member archetypes... I caught up with a founder about board members, and as we talked about pros/cons of different folks and firms, we came up with this rubric. ❓ What do you think? 🤔 Are any archetypes missing? Ranked Best to Worst: 1. The GOAT -- Active, strategic, and operationally supportive helping with feedback on business direction, goals, hiring, GTM, fundraising, and more. Unfortunately these folks are rare! 2. The Quiet Killer -- Mainly quiet, but pithy when they speak and usually killers who are spot on in their business assessments that end up highly impactful 3. The Shy One -- Almost completely quiet in board meetings but reads every line of prep material and behind the scenes emails relevant thoughts or questions in advance 1:1 to the founder 4. The Tech Debater -- Usually a former founder or SV exec turned VC; they tend to overindex on debating tech stack choices and product roadmaps without spending enough time on the broader points around company milestones, hiring needs, GTM strategy, operational issues, etc 5. The Checked Out -- Shows up to meetings (usually) but doesn't contribute anything to the convo. Not involved with the founder outside of board meetings either. So basically just along for the ride 6. The Replacement -- When a Partner leaves a firm, the replacement gets assigned to this orphaned company. Since they didn't lead the deal initially or track its progress closely, they often play a role similar to the checked out board member above. This is especially tough for a founder when an orphaned company has a difficult fundraise ahead or needs a bridge 7. The Meddler -- this is the absolute worst archetype and needs to be avoided at all costs. This board member constantly bothers the CEO and Finance lead with assignments that are not strategic and end up being complete time sucks. The cycle continues in a horrible feedback loop of constant meddling and new assignments given, with no strategic guidance or actual support ever provided. The founders and execs get distracted from actually running the business and new investors don't want to deal with them on the board.

Your breakdown of VC board member archetypes is insightful and covers a range of crucial roles. It’s clear that "The GOAT" is the ideal but rare, providing hands-on strategic support, while "The Quiet Killer" offers impactful yet minimal verbal input. "The Shy One" prepares thoroughly but may lack influence in group discussions. "The Tech Debater" might excel in technical discussions but often misses broader strategic concerns. "The Checked Out" and "The Replacement" can be problematic, as they may not engage meaningfully, potentially affecting the startup's progress. "The Meddler" is particularly detrimental, distracting the team with non-strategic tasks. Consider adding archetypes like "The Networker," who brings valuable connections, or "The Mentor," who offers guidance without deep involvement. Balancing these types can really shape a board’s effectiveness #VCBoardMembers #StartupAdvice #BoardDynamics #Leadership #Investing #TechStrategy #StartupGrowth #VC #VentureCapital #Business #Entrepreneurship

Many VCs get a board seat when they invest. But most of the people that take that seat, have never been founders themselves. It can often be their 1st time on a board. Having now set up a myself business, I've seen first hand that it’s completely different to being an employee. Night and day. And it made me think. A board seat is a big role. Literally helping to shape the future of a company. In VCs, often the Managing Partner of the firm has been a founder before. But many of the employees haven’t. And a lot of the time the board seats go to those who have never been founders. Personally, if I was running a SaaS business (and had taken investment) I’d be looking for a board that I could spar. People who had been there and done it themselves. How important would that be for you? #vc #founders

My biggest mistake as CEO almost killed my company. Don’t fall for the same trap. During our Series C at Classy, we had multiple interested investors. But only one offered a valuation that was 20% higher than the others. Like most founders, we went with the highest valuation. Big mistake. The next 3 years were hell: - He tried to push the founding team out - The culture tanked - Performance dropped - Everyone was miserable It was like having a cancer we couldn't get rid of. Eventually, I rallied our existing investors to buy him out. The company rebounded almost immediately and later hit $1B. But I learned a brutal lesson: The right investor at a lower valuation is infinitely better than the wrong investor at a higher one. When raising capital, don’t judge investors by the size of the checks they can write. Instead, evaluate them based on: - Strong culture fit - Aligned vision for the future - Track record of supporting founders Whatever you do, don’t get caught up in the valuation game. The wrong investor is never worth those few extra zeros. ____ 📌 PS. Join our free newsletter & community of 100,000+ https://lnkd.in/gRxdayew 📌📌 PSS. If you're a founder or CEO, you should check out Highland , my community + accelerator to help scale you & your teams. Apply here: https://lnkd.in/gWqNamTw

02 benefits listed for CEOs who learn by serving on the boards of other startups? 2) Building Empathy with Your Own Board of Directors (BOD): ✨ When you're a CEO, you'll naturally develop empathy for other CEOs. 🫱 Similarly, when you're on a board, you'll better understand and empathize with your own board members. 💡 This helps you appreciate their abilities and be more open to their strategic suggestions aimed at helping the startup and its CEO succeed. 🚩 You’ll also be able to identify which board members may no longer be a good fit, so you can suggest replacements to the board. 3) Gaining a Clearer Understanding of the BOD's Responsibilities to Shareholders: 💼 By being on the board of another company, you'll experience financial discussions from the board's side, rather than as a CEO. 🔍 This helps you gain a more precise understanding of fiduciary duties. 🔄 Seeing board duties from multiple angles will improve how you present information to your own board and understand how they’ll receive it. 📈 Plus, you’ll better grasp the pressures that boards face from shareholders, helping you navigate these responsibilities more effectively. If you need to build a roadmap for raising capital and growing your business from $1M -> $25M revenue in 03 years, you can check out this solution: https://lnkd.in/gu_ET-WY 

Why having a board advisor on hand is a game-changer for founders… I’m genuinely passionate about helping businesses find their success, especially after a tough few years for start-up founders. Here’s five reasons inviting an advisor to the table might be a useful step for you 👉 #NED #BoardAdvisor

From Dreams to Market... An Initial Public Offering (IPO) is not just a financial milestone; it is the convergence of audacious dreams and relentless discipline, where passion and strategy intertwine to define a legacy... Here’s a blueprint for navigating this transformative journey: 1. Inception: Planting the Seed of Greatness Every groundbreaking venture begins as a spark—a vision that defies convention. But dreams alone are insufficient; they demand execution fortified by market validation and an unyielding will... "The heart conceives greatness; the mind forges its path."... 2. Ascent: Fueling Growth with Precision The funding stages—from seed to Series C—are akin to assembling the scaffolding of an enduring monument. Balancing equity dilution and strategic capital raises becomes the cornerstone of progress... Are your partnerships adding value beyond money?... Is each funding round accelerating your trajectory toward scalability?... 3. Mastery: Sculpting an Organization Built to Endure Scaling is where heart meets intellect... Efficient operations, strategic technology adoption, and meticulous financial management create the backbone for a future-ready enterprise... “The summit is conquered by those who dare to design their ascent with purpose.” 4. Transition: Preparing for Public Life... The IPO phase demands absolute clarity. With precise financial audits, rigorous compliance, and investor-ready narratives, the mind must now steer the ship. Transparency is not optional—it is your greatest asset... 5. Emergence: Triumph on the Public Stage The IPO day marks the realization of collective effort, a testament to the alignment of visionaries, investors, and teams. As your company’s ticker symbol lights up, the odyssey transforms into a new beginning... Reflective Questions for Visionaries☕️ 🤔 💭... : 1️⃣ How does your heart ensure your vision resonates with purpose and impact? 2️⃣ How is your mind architecting the processes that ensure scalability and transparency? 3️⃣ What is the unique legacy your journey aims to leave behind? "The valor to lead is born in the heart; the wisdom to sustain it resides in the mind."... #ipoblueprint #startupleadership #legacyinthemaking

Exiting a Start-up: The Decision Dilemma Some days, I feel confident we made the right call exiting the business. The investors gained, the team was rewarded, and my family now enjoys a better life at the right time. Sure, we could have stayed for another 10 years and maybe seen 10x growth, but who can truly predict the future? Sometimes, it’s about making the most of the present. But then there are tougher days. As a founder deeply invested in the mission, I miss my team, there is a void, and I can’t help but wonder—did we exit too soon? Could we have scaled further and made an even bigger impact ourselves? In the end, I trust it was the right move at the time. Hindsight is always 20-20, and while those “what if” moments linger, I hope the future will prove the decision right. Maybe it’s time for ‘when god closes one door, he opens 2 more’ :) For fellow founders who have exited and even those who are still building: what’s your view on this ?

I sold my previous startup in 2021 for millions of dollars to a large cloud-telephony provider. Here’s what I learned from that experience. If the acquisition helps you become financially free, go for it. There is no better feeling in life than not having to worry about money anymore. With money, you can offer a much better life to your parents and family. You can fulfil all your childhood dreams and help your parents fulfil their dreams which they sacrificed because they wanted to offer you a good life and education. When you’re no longer worried about money, your perspective grows. You start to think bigger and more ambitiously. You can look beyond immediate gains and aim to build something lasting, impactful, and meaningful. At the same time, I would like to add that if you are already financially well-off, an acquisition may not make sense because an acquisition really has nothing good to offer except more money. This is why, this time, I am building GreyLabs AI not for more money, but to create a legacy. This time, I’m not here to just add another chapter; I want to write a whole new story. #startups #business #entrepreneurship

Who Was the First to Believe in You? 🤔 Often, we hear about the lead investor But rarely does anyone mention the very first person who believed in you—and it’s usually not an investor. I like to call them the “domino starter.” 🟢 This person might be the first to contribute a small amount of capital, effort, or expertise to support your vision. They’re the ones cheering for your journey from the beginning. Once you have this initial believer, it creates a ripple effect 🚀 Your fundraising journey gets a major boost: Connections with potential investors become easier. Convincing others to join in becomes more achievable. Example: I joined the board of directors for a startup at a critical moment It had just one founder left after parting ways with the CTO. I helped the founder with: Long-term strategic planning Building a potential team Financial management The result? They rebuilt their team, launched a product with real users, and aligned with the criteria of investment funds. Eventually, two investors approached, interested in acquiring the startup simply because of my involvement. 💡 If you need to build a roadmap for raising capital and growing your business from $1M -> $25M revenue in 03 years, you can check out this solution: https://lnkd.in/gu_ET-WY