The Founder’s CVC Playbook: Maximizing Value From Your Corporate Venture Capital Relationships

Key Report Findings:

• While no two CVCs are alike, there are some commonalities across the range of CVCs and how they operate. It’s important for founders to be aware of the broad patterns so as to understand what motivates CVCs and develop a gameplan for engaging with them.

• CVCs tend to provide the most value to startups that operate close to the CVC parent’s industry and core markets. CVCs can be compelling investors if they bring credibility, expertise, and relationship networks to help accelerate commercialization – but those qualities may not be transferable across industries and markets.

• Founders need to dig deep and identify the key challenges their business will likely face and the gaps within their current team. What are the areas where the startup could use support from a CVC? Examples could include brand credibility, feedback on product development, sharing industry research, introductions to suppliers and potential customers, collaborating on pilots, and access to sales channels.

• The most important considerations are often the “softer” aspects to working with a CVC. As one founder put it, the ideal investor is “proactive but not obstructive.” Successful startup-CVC engagement will rely on engaging with the right stakeholders for each initiative.

Taking Action

In addition to providing insights on how CVCs typically operate, the report provides specific guidance – including a checklist of questions to ask potential partners – for founders looking to be more action-oriented in their CVC relationships.

This report series aims to provide value to founders and investors during challenging times. Keep an eye out for the next report on how CVCs should organize and operate.