When we recorded another episode of “Never Been Promoted,” I was excited to reconnect with Ted Shelton, a partner at Bain & Company. Ted and I had crossed paths before, and I knew he’d bring a wealth of experience, particularly in entrepreneurship and investment.
Our previous conversations had already left a mark on me, but this time was different. Ted’s approach to entrepreneurship and investment was unique. Rather than focusing on the superficial success stories we often hear, he had a way of digging deeper into the challenges that every entrepreneur faces. From the initial idea to building a business that scales, Ted had been there and had the scars to prove it.
As we got into the conversation, Ted’s insights weren’t just theoretical—they were hard-earned lessons. Two points he made struck me deeply, and I think they’re invaluable for anyone navigating the entrepreneurial path.
Your Team Matters More Than Your Idea
We kicked things off by discussing investors: angels, venture capitalists (VCs), and private equity firms. But the most valuable takeaway came when Ted emphasized that investors prioritize strong teams over great ideas.
“Investors would rather back a strong team with a so-so idea than a weak team with a brilliant one,” Ted said.
That made me pause. Like many entrepreneurs, I’ve been so focused on perfecting the idea that I’ve sometimes overlooked the importance of the people around me. Ted’s experience as an entrepreneur-in-residence at a Silicon Valley venture fund showed that VCs invest in people who can execute and pivot, not just in ideas.
Reflecting on my own journey, I realized I’ve tried to shoulder too much alone. Entrepreneurship isn’t a solo endeavor—it’s about surrounding yourself with people who complement your strengths and fill in your weaknesses.
Key Takeaways from Our Discussion:
- Invest in a Strong Team: A solid team can bring a mediocre idea to life, while a weak team can sink even the best concepts.
- Execution Trumps Ideas: Investors focus on people who can pivot, adapt, and bring visions to reality.
- Complementary Skills Matter: Surround yourself with people who fill in your weaknesses.
- Entrepreneurship Is Not a Solo Game: Learn to share the load; your journey will be much smoother.
Letting Go Can Propel Growth
The second point Ted and I explored was just as insightful—if not more so—because it hit a personal nerve for me. We moved on to discussing the emotional challenges that come with letting go for the sake of growth. Ted recounted his experience as the first outside executive brought in for a company called WhoWhere in the late ‘90s. The young founders had poured their hearts and souls into the company, and understandably, they struggled with the idea of handing over some control to scale the business.
Ted described walking laps around the building with the founders, trying to help them come to terms with this necessary transition. They were so emotionally tied to their creation that the idea of someone else steering the ship—even temporarily—was tough to swallow.
I could completely relate to this struggle. When you’ve built something from the ground up, letting go can feel unnatural. As entrepreneurs, we get attached to our creations, and the thought of stepping back or letting someone else lead can be unsettling. But Ted pointed out something critical—sometimes bringing in the right people, even if it means adjusting your own role, is what’s best for the company’s future.
What I Learned from His Experience:
- Growth Requires Sacrifice: Sometimes stepping back allows for new leadership that can better steer the ship.
- Identify Where You Add Value: Know when to lead and when to let someone else take the helm.
- Embrace Change for Success: Be open to shifting roles as your business evolves.
- Emotional Detachment Helps: Letting go isn’t failure—it’s enabling long-term success.
Reflection from the Interview
Ted’s stories resonated deeply. His journey made me question my own approach. Early on, I was so focused on being at the helm that I hadn’t considered how empowering others could drive growth. His experiences reminded me that success often requires stepping back, trusting others, and making tough decisions for the greater good.
Here’s What I’m Taking Away:
- Success Comes from Collaboration: Let go of the ‘solo entrepreneur’ mindset—growth comes from working with the right people.
- Trust Your Team: Find people you trust and give them the freedom to execute.
- Shift Your Role When Needed: You don’t have to be at the helm for every stage of growth.
- Step Back to Move Forward: Don’t let pride or control stop your business from reaching its potential.
Final Thoughts
To all the entrepreneurs out there hustling every day, I encourage you to take a step back and consider these points. Look at your team—are you surrounding yourself with people who challenge and complement you? Do you have a clear plan for how to use investment to grow your business? Are you willing to adapt your role for the sake of progress?
Remember, letting go doesn’t mean losing control—it means enabling growth. As Ted wisely said, when circumstances change, we’ve got to be ready to pivot.
I’m grateful for the chance to reconnect with Ted and absorb his wisdom. His insights have definitely reshaped how I view my own entrepreneurial journey.
CONNECT WITH TED SHELTON:
Website (Company): https://www.bain.com/our-team/ted-shelton/