Code Backed Venture Capital
In high school, I was already out of place because I questioned processes too much and was "rebellious" in my thinking, according to my religious family. I have always tried to look at the bigger picture and improve myself and my beliefs based in truth but this brings consequences in the real world. So I started looking at how to make money in a capitalistic system I don't believe in so I could live the way I wanted to. In 2012, as a self taught jack-of-all-trades engineer, I started a company with the intent to help others by funding them with code, strategy, and ethical branding and marketing.
Previously my first business, which I wasn't passionate about, was poorly run by myself. I learned many painful yet fruitful lessons in following truth and dying to my oversized ego. I focused on helping folks where the leadership was full of people I felt were honest and truthful in their approach to life and business. Not all turned out to be but a large majority were. People told me I was crazy to make convertible notes/investments in entrepreneurs instead of taking their money. However, I made bi-laws that said the company would only take a maximum of a 20% stake in any organization I invested my time into. This allowed me to be paid enough money to live on while trusting and believing for a payout on the other end. It also created sustainability, avoiding the entrepreneurs that wanted to give a majority stake for an idea where I couldn't financially survive.
This concept, as you probably are aware, is now very common. Law firms, incubators, all trying to be everything to everyone. However, you're just a number to most of them. I gave these folks everything I had. Every tool in my arsenal. Spending countless hours and even more of my own money when I felt passionate about an endeavor. And it started to pay off, but only after 3-4 years did I start seeing returns. Every year I get my K1 from the 20+ companies I have equity in and each little or large bit adds up. Some of the companies used the softwarestrategies I gave them for good and have helped thousands of people and others have used the same strategies to con customers into giving them more money because they knew people would connect with an authentic and real marketing approach even though they didn't live it.
It's a catch 22 for me in that I'm proud of most of what I have accomplished, mainly on a personal level with the people I've met and the immense amount of knowledge and wisdom I have learned from those incredible humans, yet painful and somewhat depressing that others will try to take something that is inherently good and twist it for their own benefit at the expense of others.
Even now, I battle with the approach I take that justifies acknowledging and being a part of a system I believe is fundamentally broken. Now I have a business partner and best friend (free spirited former musician) who I trust with my life. It makes business so much more fulfilling and fun. I could start any business with him and have a blast because we don't value money as part of people's success or character. We play the game while staying true to ourselves. We tend to get less deals but the people that accept us and resonate with us tend to be all stars and lifelong friends. My intention in sharing is simply: If anything helps you value others more while staying true to yourself and your creative expression, do it.
Thanks for sharing your experience here! I'd like to see/hear more about entrepreneurial successes that are more than simply maximizing profits for the shareholders and turn into a Goliath.
😎
- 44 Forums
- 3,577 Topics
- 16 K Posts
- 27 Online
- 23 K Members