Articles

The Core of Great Deals: People, Purpose, and Perseverance in PE/VC

Christie Pronto
December 17, 2024

The Core of Great Deals: People, Purpose, and Perseverance in PE/VC

In the world of Private Equity (PE) and Venture Capital (VC), success isn’t about catching lightning in a bottle. It’s about resilience, deliberate action, and unwavering dedication. It’s a world where the stakes are high, the pressure is constant, and hard work is the only sure currency.

This isn’t a flashy tale of unicorns and overnight billionaires. This is a real look at what drives success—the grit, the teamwork, and the lessons learned along the way. More importantly, it’s a dive into actionable insights that anyone navigating high-stakes industries can take to heart.

Forget Overnight Success—It Doesn’t Exist

Every "overnight success" story conveniently skips the years of failure, adjustment, and hard work that made it happen. Instagram didn’t start as the giant it is today—it was a failing app called Burbn. Airbnb’s founders were rejected so many times they sold cereal boxes to keep going.

In PE and VC, this reality is amplified. Investors often demand rapid returns, but the truth is, sustainable growth is rarely fast. Success demands relentless execution, constant pivots, and a willingness to stick it out when the going gets tough.

Building something meaningful isn’t about avoiding setbacks but about using them as stepping stones. The challenge is staying in the game long enough to turn those stepping stones into solid ground. PE firms that support startups often look not for a quick spike in revenue but a foundation that can weather market volatility—something only years of hard work can create.

Success is not about the luck of being in the right place at the right time. It’s about creating opportunity through persistence and seizing it with preparation. Without the hard work to sustain momentum, even the best ideas will falter.

Compound Effort: The Secret Force Behind Hard Work

Hard work has a way of compounding. It’s not about one herculean effort but the accumulation of small, consistent actions over time. In PE and VC, those actions include vetting deals, building relationships, and fostering operational excellence—all of which take time to bear fruit.

Alignment is the multiplier here. If every department in your company pulls in a different direction, all that effort gets diluted. But when aligned, the results are exponential. A SaaS company we worked with discovered this firsthand. For months, departmental silos led to inefficiencies that stifled their growth. A collaborative offsite and shared roadmap realigned their goals, and within a year, they saw a 40% improvement in productivity.

Direction amplifies effort. Misaligned teams waste energy, while cohesive teams compound their results through shared vision and synchronized execution. The compounding effect of alignment can transform steady effort into transformative growth.

It’s All About the Team

People drive outcomes—full stop. The best strategy, the biggest budget, and the smartest tech mean nothing without a strong, aligned team to execute.

In high-pressure environments like PE and VC, trust and collaboration are non-negotiable. It’s not enough to fill your roster with all-stars; those stars have to play well together. Companies that value collective success over individual egos create the kind of synergy that fuels real, lasting growth.

Take the example of a PE-backed retail chain. By bringing store managers into strategy discussions, they tapped into insights that top-down leadership had missed. That shift in perspective didn’t just solve operational issues—it transformed the company’s culture and bottom line.

Strong teams don’t just happen. They are cultivated through shared purpose, open communication, and mutual accountability. The best leaders know that investing in team dynamics pays dividends far greater than any individual effort.

AI generated concept of bio-med technology.



Failure Is a Brutal but Brilliant Teacher

No one gets it right every time—and that’s okay. In fact, failure is one of the most valuable (if painful) tools for growth. The key isn’t avoiding failure but learning how to fail better.

A biotech startup’s first funding round flopped. They could’ve folded, but instead, they regrouped, refined their pitch, and secured double the funding in their next attempt. The difference? They treated failure as feedback, not the final word.

PE firms understand this dynamic all too well. Not every acquisition pans out, and not every startup scales. But the ability to analyze what went wrong, extract the lessons, and pivot effectively is what separates the firms that thrive from those that falter.

Failure reveals weaknesses that success can hide. Companies that embrace failure as an opportunity to improve their foundations emerge stronger, more innovative, and better prepared for the challenges ahead.

Shortcuts Don’t Work, Foundations Do

There’s a relentless focus on speed in PE and VC. But rushing to scale without building strong foundations is like constructing a skyscraper on sand—eventually, it will collapse.

Foundations aren’t just about processes; they’re about culture, people, and values. A company’s culture is its operating system. When that system breaks under pressure, everything else collapses with it. Conversely, when culture is a priority, it reinforces the structure needed for sustainable growth.

Whether it’s setting up robust processes, hiring the right people, or nurturing relationships, the groundwork matters. Great leaders know when to prioritize long-term stability over short-term wins. It’s not about avoiding risk but about managing it wisely.

Short-term gains are tempting, but they rarely last. Sustainable growth comes from building on a foundation of trust, processes, and accountability—elements that are painstaking to construct but priceless in value.

The Long Game: Patience Meets Persistence

PE and VC demand a balance of patience and persistence. Rapid results are great, but sustainable success comes from consistent effort, deliberate strategies, and a willingness to weather the storms.

Consider this: the best-performing firms don’t just chase trends—they anticipate them. They’re willing to invest in unproven but promising ventures, waiting years to see returns others might consider improbable. Why? Because they trust in the power of compounded effort and strong foundations.

Patience isn’t the absence of action. It’s about taking the right action, consistently and deliberately, to achieve results that others might never see coming. It’s the willingness to take calculated risks, absorb the setbacks, and stay focused on the horizon.

PE and VC aren’t about luck or timing—they’re about the grind. It’s the hours spent in diligence, the tough conversations that align a team, and the persistence to learn from failure and keep going. Hard work isn’t glamorous, but it’s the common thread in every success story.

The question isn’t whether you’ll encounter obstacles—it’s how you’ll respond when you do. Because in this space, the climb never ends, but the view from the top is always worth it.

Hard work doesn’t just build companies; it builds resilience, trust, and a foundation that withstands the test of time. It’s a simple principle, but it’s the one that sets the best apart from the rest.

Strategy
Biz
Dev
Christie Pronto
December 17, 2024
Podcasts

The Core of Great Deals: People, Purpose, and Perseverance in PE/VC

Christie Pronto
December 17, 2024

The Core of Great Deals: People, Purpose, and Perseverance in PE/VC

In the world of Private Equity (PE) and Venture Capital (VC), success isn’t about catching lightning in a bottle. It’s about resilience, deliberate action, and unwavering dedication. It’s a world where the stakes are high, the pressure is constant, and hard work is the only sure currency.

This isn’t a flashy tale of unicorns and overnight billionaires. This is a real look at what drives success—the grit, the teamwork, and the lessons learned along the way. More importantly, it’s a dive into actionable insights that anyone navigating high-stakes industries can take to heart.

Forget Overnight Success—It Doesn’t Exist

Every "overnight success" story conveniently skips the years of failure, adjustment, and hard work that made it happen. Instagram didn’t start as the giant it is today—it was a failing app called Burbn. Airbnb’s founders were rejected so many times they sold cereal boxes to keep going.

In PE and VC, this reality is amplified. Investors often demand rapid returns, but the truth is, sustainable growth is rarely fast. Success demands relentless execution, constant pivots, and a willingness to stick it out when the going gets tough.

Building something meaningful isn’t about avoiding setbacks but about using them as stepping stones. The challenge is staying in the game long enough to turn those stepping stones into solid ground. PE firms that support startups often look not for a quick spike in revenue but a foundation that can weather market volatility—something only years of hard work can create.

Success is not about the luck of being in the right place at the right time. It’s about creating opportunity through persistence and seizing it with preparation. Without the hard work to sustain momentum, even the best ideas will falter.

Compound Effort: The Secret Force Behind Hard Work

Hard work has a way of compounding. It’s not about one herculean effort but the accumulation of small, consistent actions over time. In PE and VC, those actions include vetting deals, building relationships, and fostering operational excellence—all of which take time to bear fruit.

Alignment is the multiplier here. If every department in your company pulls in a different direction, all that effort gets diluted. But when aligned, the results are exponential. A SaaS company we worked with discovered this firsthand. For months, departmental silos led to inefficiencies that stifled their growth. A collaborative offsite and shared roadmap realigned their goals, and within a year, they saw a 40% improvement in productivity.

Direction amplifies effort. Misaligned teams waste energy, while cohesive teams compound their results through shared vision and synchronized execution. The compounding effect of alignment can transform steady effort into transformative growth.

It’s All About the Team

People drive outcomes—full stop. The best strategy, the biggest budget, and the smartest tech mean nothing without a strong, aligned team to execute.

In high-pressure environments like PE and VC, trust and collaboration are non-negotiable. It’s not enough to fill your roster with all-stars; those stars have to play well together. Companies that value collective success over individual egos create the kind of synergy that fuels real, lasting growth.

Take the example of a PE-backed retail chain. By bringing store managers into strategy discussions, they tapped into insights that top-down leadership had missed. That shift in perspective didn’t just solve operational issues—it transformed the company’s culture and bottom line.

Strong teams don’t just happen. They are cultivated through shared purpose, open communication, and mutual accountability. The best leaders know that investing in team dynamics pays dividends far greater than any individual effort.

AI generated concept of bio-med technology.



Failure Is a Brutal but Brilliant Teacher

No one gets it right every time—and that’s okay. In fact, failure is one of the most valuable (if painful) tools for growth. The key isn’t avoiding failure but learning how to fail better.

A biotech startup’s first funding round flopped. They could’ve folded, but instead, they regrouped, refined their pitch, and secured double the funding in their next attempt. The difference? They treated failure as feedback, not the final word.

PE firms understand this dynamic all too well. Not every acquisition pans out, and not every startup scales. But the ability to analyze what went wrong, extract the lessons, and pivot effectively is what separates the firms that thrive from those that falter.

Failure reveals weaknesses that success can hide. Companies that embrace failure as an opportunity to improve their foundations emerge stronger, more innovative, and better prepared for the challenges ahead.

Shortcuts Don’t Work, Foundations Do

There’s a relentless focus on speed in PE and VC. But rushing to scale without building strong foundations is like constructing a skyscraper on sand—eventually, it will collapse.

Foundations aren’t just about processes; they’re about culture, people, and values. A company’s culture is its operating system. When that system breaks under pressure, everything else collapses with it. Conversely, when culture is a priority, it reinforces the structure needed for sustainable growth.

Whether it’s setting up robust processes, hiring the right people, or nurturing relationships, the groundwork matters. Great leaders know when to prioritize long-term stability over short-term wins. It’s not about avoiding risk but about managing it wisely.

Short-term gains are tempting, but they rarely last. Sustainable growth comes from building on a foundation of trust, processes, and accountability—elements that are painstaking to construct but priceless in value.

The Long Game: Patience Meets Persistence

PE and VC demand a balance of patience and persistence. Rapid results are great, but sustainable success comes from consistent effort, deliberate strategies, and a willingness to weather the storms.

Consider this: the best-performing firms don’t just chase trends—they anticipate them. They’re willing to invest in unproven but promising ventures, waiting years to see returns others might consider improbable. Why? Because they trust in the power of compounded effort and strong foundations.

Patience isn’t the absence of action. It’s about taking the right action, consistently and deliberately, to achieve results that others might never see coming. It’s the willingness to take calculated risks, absorb the setbacks, and stay focused on the horizon.

PE and VC aren’t about luck or timing—they’re about the grind. It’s the hours spent in diligence, the tough conversations that align a team, and the persistence to learn from failure and keep going. Hard work isn’t glamorous, but it’s the common thread in every success story.

The question isn’t whether you’ll encounter obstacles—it’s how you’ll respond when you do. Because in this space, the climb never ends, but the view from the top is always worth it.

Hard work doesn’t just build companies; it builds resilience, trust, and a foundation that withstands the test of time. It’s a simple principle, but it’s the one that sets the best apart from the rest.

Our superpower is custom software development that gets it done.