This episode, we caught up with Lawrence Greenberg, a Venture Partner at Motley Fool Ventures Management. He dives into the importance of one’s attitude when stepping foot in the entrepreneur world and the future of AI in accounting/bookkeeping. To him, experience is usually more important than investor training for people looking to work successfully in venture. This is because the ability to identify and recognise potentially successful ideas and companies is something that formal training may not be able to impart as successfully as hands-on experience in this work field can.
More than anything else, the best way for aspiring investors to start their journey is through self learning and discipline; be it through extensive reading, videos, networking or studying the history of companies that built themselves into successful entities.
Lawrence discusses the growing convergence between American and global entrepreneurial cultures in terms of risk aversion and general tendencies. Though some countries are still held back in catching up with the likes of Silicon Valley because of how disorganised founders and their systems of working can be. In the world of Venture Capital, one can’t really go it alone. At every step of your business development, it is extremely crucial that consistent feedback is garnered from the target customer base as that will eventually drive the business/project to new successes.
Specifically elaborating upon banking and financial sectors, AI has a tremendous role to play in the future. Lawrence believes such technologies could become sophisticated enough to accurately recognise market patterns and even identify profitable investment opportunities. AI also has applications specifically for the bookkeeping industry. In the years ahead, automation of repetitive tasks will very likely transform traditional bookkeeper roles into those that work exclusively on strategies and in financial analysis for clients.
Bookkeeping holds huge importance in determining whether startups are successful and on the right road or not. Losing track of your money is as damaging as mismanaging it. It is very important that new businesses collaborate with bookkeeping service providers to ensure business money is dealt with in a judicious manner.
Lawrence and his Venture Capital firm are driven by their aim to empower new entrepreneurs and businesses in an exceedingly competitive arena. Entrepreneurs don’t lead easy professional lives. They take up the task of creating something that needs to satisfy a variety of stakeholders (customers, investors, employees etc.). This line of work requires one to be headstrong but also open-minded in the face of all the criticism, advice (good or bad) and afflictions they will be subject to.
When deciding the right time to raise capital funding, it is very crucial to do it well before you are actually desperate for it. You, your employees and your business need to finances to survive. Too often, entrepreneurs start to consider venture capital funding and other investment sources when they are close to running out of money. Keep in touch with your financial advisor, bookkeeper, fellow entrepreneurs, investors and VCs. No one has perfect foresight but some smart decision making and prudent advice go a long way in keeping your business and its stakeholders secure.