Founder Fridays No. 165
Capitalism Over Charity -- Your Deck Is Too Long -- Maintain Your Co-Founder Relationship
Happy Friday.
Capitalism Over Charity
The entire global philanthropy budget wouldn’t solve even 10% of the $20 trillion housing crisis affecting two billion people. The breakthrough insight: use philanthropic capital as risk-taking seed money to prove that market-rate mortgages can work in underserved areas, then let capitalism scale the solution. When you build 20 homes with pure charity, you help 20 families; when you use that same capital to de-risk a mortgage model, you unlock financing for tens of thousands. Self-sustaining towns that no longer need ongoing donations beat perpetual aid dependency every time. Youtube (8 minutes)
Your Deck Is Too Long
Most pitch decks fail because they’re unclear, not because the idea is bad. Guy Kawasaki’s 10-slide formula forces you to answer four critical questions in under 10 minutes: Is the problem real, is your solution credible, is your team capable, and is the business viable? The “Underlying Magic” slide separates pretenders from contenders—it’s where you prove you have proprietary tech, unique data, or founder insight that creates a defensible edge. Investors back clarity and conviction over perfection, so strip out the fluff and show them you’ve thought deeply about unit economics, competition, and why now is your moment. The Founders Corner (6 minutes)
Maintain Your Co-Founder Relationship
Most co-founder breakups aren’t caused by skill gaps or strategic disagreements—they’re caused by neglect. The healthiest founding teams treat their partnership like a product that requires active management, not something that runs on autopilot after initial chemistry. Three areas demand constant attention: 1) alignment on company vision (revisited quarterly, not just at founding),2) each founder’s evolving role as they give away their Legos, and 3) the relationship mechanics themselves—trust, conflict, and communication patterns. Practical rituals matter more than compatibility: weekly 1:1s to surface unsaid tensions, quarterly in-person connection time, annual strategy offsites, and a written “co-founder operating agreement” that gets renewed as the company scales. Firstround Review (12 minutes)
Founder FAQ: How should NDA be used by startups?
Rookie founders who insist investors sign NDAs before first meetings immediately signal inexperience and kill their chances—VCs will simply pass. The startup magic lives in execution, not ideas, so learn to pitch your product’s mechanics and competitive advantages without revealing proprietary secrets until later-stage diligence warrants protection. NDAs matter for trade secrets, customer data, and business negotiations where disclosure could genuinely harm you, but they’re unnecessary (and counterproductive) when information is already public or when you’re simply explaining what you do. Save legal firepower for protecting actual competitive advantages like proprietary technology during serious partnership discussions, not for gatekeeping basic pitch conversations. Westaway (5 minutes)
Startup Funding Guides
I’ve put together a series of guides to equip founders to excel at fundraising. These guides break down the deal term-by-term and give you negotiation tips so that you can speak to investors with confidence.
Convertible Note: Guide / Video
Certainty in an Uncertain World
The startup journey is filled with uncertainty. A fractional General Counsel (GC) provides the certainty of on-call legal expertise. Having an experienced GC gives founders invaluable peace of mind. With a seasoned startup legal expert on demand, founders have a steady guide through uncertain legal terrain. The GC acts as a trusted strategic advisor while handling day-to-day legal tasks. This lifts a huge burden off of startup leaders, allowing them to focus on growth with legal confidence. Rather than getting bogged down in legal details, founders feel empowered delegating tasks to an expert and focusing on their vision. Founders sleep better knowing their GC can swiftly handle any legal issue that arises. If you’re curious how a fractional GC can give you peace of mind, let’s talk.
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