Rajesh Babu

Boards of Directors – How Relevant To The Business Is The Board? In 2014, activist investor Starboard Value successfully replaced all 12 directors on the board of Darden Restaurants. The following shows the Darden incumbent board at the time of Starboard's proxy fight, Starboard’s value creation plan initiatives, the Starboard director nominees and the before and after performance (revenue, EBITDA, EBITDA margin and stock price). Note especially the direct relevance of each Starboard nominee to the industry or some aspect of the value creation plan. How often do you see this level of relevance on public company boards?

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Read our latest article on Creating an Ownership Culture. This piece dives into how fostering a sense of ownership among employees can lead to remarkable outcomes for both the team and the organization. Here at KKR we are committed to providing ownership to all employees in all new controlled deals, building on recent successes of our Broad-Based Ownership Program. Whether you're a leader seeking to enhance your company's culture or an employee interested in the dynamics of workplace engagement, this article offers valuable perspectives. 👉 Read article here: https://lnkd.in/ejVc2ffd You can download the full report here: https://lnkd.in/ee_vT2rs #Leadership #BusinessCulture #EmployeeEngagement #KKR

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Why is leadership diligence pre-deal not a norm given the importance of key talent in delivering the thesis? With the acquirer and target wooing each other at this stage, conventional "assessment" is too heavy, feels risky for the acquirer, and is a tense subject for the target's leadership team. But done sensitively, this can provide critical additional pixels on human capital risks in transition; and talent, teams and org. risks to the emerging thesis. AND this can be done quickly, with limited or even no access to the target's leadership team. Ultimately this can help the deal team to underwrite risks better, and if the acquirer chooses to go ahead with deal, provides a starting point to proactively and precisely mitigate human capital risks in the first 100 & 300 days. Sandy Ogg Sumeet Salwan Shefali Salwan Chris Gagnon Alex Kopitsas Pradeep Nambiar Sudhir Variyar Renuka Ramnath Richard Cleverly James Carolin Sanjay Kukreja Sunil Mishra

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The face you make when you realize that you have become pretty good at sourcing off-market opportunities and have private equity and family office investors ready to back you, but you don’t have enough talent to take advantage of those opportunities. With that said, if you know of anyone in the commercial bakery, dry cleaning, food distribution, or commercial laundry space who is looking for board and/or C-level opportunities, please let me know. #boardadvisor #clevel #executives #commercialbakery #commerciallaundry #drycleaning #fooddistribution #privateequity #investmentbanking

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🌟Passive Investing in Bourbon & Craft Spirits🌟 🎤 I’m speaking at the upcoming Alternative Investments Series virtual summit on Wednesday, July 17th at 4 PM PST, hosted by @Patrick Grimes. 🎫 Reserve your spot now 👉 https://lnkd.in/gEj5YgbQ 🔥 Don't Miss Out On: How to Get Started Investing in Bourbon and Craft Spirits Passively Investing in Barrels vs Investing in Brands How the Crafting Process Affects Value and Investment Potential Growth Potential as the Beverages Industry Matures Risks and Benefits Live Q&A to Give You the Answers You Need 📅 Can’t attend? Register anyway, and we’ll send you the replay. #PassiveInvesting #WealthBuilding #InvestmentStrategy #AlternativeInvestments #AlternativeAssets #BourbonInvesting #CraftSpirits #AlternativeInvesting #InvestmentStrategy #PassiveIncome #WealthBuilding #FinancialFreedom #InvestorEducation #PortfolioDiversification #LiveWebinar

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Today, Two Chairs announces $72M of new funding to continue building a world where everyone has access to exceptional mental health care. Since late 2017, when Maveron led the Two Chairs Series A, the need for mental health services has grown considerably as our society has become lonelier and more isolated than ever. At the same time, our culture’s willingness to openly acknowledge these challenges is greater than ever. Sadly, the rapid growth of Two Chairs affirms the fact that our society is in desperate need of better mental health support. Two Chairs has built a business that believes clinical quality is the defining characteristic of success. Alex Katz has always emphasized the paramountcy of measurement-based clinical outcomes, which the team works tirelessly to achieve. In the process, Two Chairs has illustrated that embracing the ‘move fast and break things’ mentality doesn’t always work. Instead, Two Chairs opted for a different approach: they went slow to go fast. They built a proprietary algorithm that matches patients with the perfect therapist at the onset and hired a team of W2 clinicians oriented toward providing the highest quality care available. Even as the Two Chairs team has grown, their culture has remained small. This has enabled more intimate relationships within the team and between clients and clinicians. Reflecting on this milestone brings me back to the founding of Maveron and the values we hold dear. In 1998, my friend Howard Schultz and I founded Maveron to help entrepreneurs build companies that improve the lives of everyday people—their employees and their customers. There is perhaps no better example of this than Two Chairs. *** Thank you to TechCrunch's Marina Temkin, CFA for the great write-up. https://tcrn.ch/4aMt7yG

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Whiskey is emerging as a popular investment class among HNW investors according to a new report by KPMG: 27% said they plan to invest in whiskey within the next 3 years, making it the most popular form of "luxury" assets. Whiskey interest is followed by art (26%), jewelry (20%), wine (15%), and classic cars (14%). While increased capital moving into whiskey investments is likely to drive down returns in the long run, we believe the wholesale bourbon niche is still small enough to capture excess returns for investors who buy barrels in 2024. #bourboninvestments #alternativeassets #familyoffice #investmentideas https://lnkd.in/dgpdGCPd.

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For some insight into what I look for in companies, check out Good Revenue's recent podcast!

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The obesity crisis in the U.S. has become unsustainable. We are broken, and we have to change... The prevalence of obesity in adults has grown from 14.5% in 1975 to 41.9% in 2020, and childhood obesity has more than TRIPPLED since the 1970s. The total annual cost of obesity is at a staggering $1.4 trillion. Treatment options range but the emergence of GLP-1's has taken on a national debate. It is our view at 7wireVentures that the growing obesity crisis requires innovative and personalized solutions and digital health companies are rising to meet this challenge. Our team took a deep dive into the market landscape and came up with key predictions on how the market will evolve. ✨ PREDICTION 1: The emergence of high-cost anti-obesity medications and their growing consumer demand will push employers and payers to seek increasingly creative plan design structures that tackle weight management as a discrete disease category.​ 💉 PREDICTION 2: Greater emphasis will be placed on proactive identification and management of patients with an obesity diagnosis 🔬 PREDICTION 3: Key differentiators of successful solutions will include long-term engagement and the ability to address multiple chronic conditions. 🤝 Innovative companies such as 9amHealth, Parsley Health, Transcarent, Everly Health, Foodsmart, Livongo, Season Health, Iron Health, Cylinder, and more. See our full analysis and perspectives on enabling positive change in weight management. 👇 #digitalhealth #obesity #GLP1 #disease #healthcare https://lnkd.in/gUCttSZj

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I’m about possibility and opportunity. During the time between my last exit and starting Cascade Seed Fund I ran multiple companies through strategy building and execution. People love to plan because it’s about possibility but its just as important to know what you don’t want to happen as it is to know what you do want to happen. Lots of companies fail because of too much offense and not enough defense. What are small actions you can do today to strengthen the safety and well-being of your company. More on offense soon.

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🌟 Looking to secure first-round funding? Check out these essential tips to perfect your pitch from the team at Ascend Venture Capital. From finding the right investor to crafting a compelling story and nailing down financial details, these insights will help you stand out and succeed in your fundraising efforts 🚀 #StartupFunding #InvestorPitch #VentureCapital

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Very similar and a complement to Independent Sponsor led transactions targeting $15 million to $100 million plus EV, search fund deals target acquiring companies for around $15 million EV, priced at approximately seven (7x) times EBITDA or less. Over the years, companies tracked by Stanford have shown annualized equity returns exceeding 30%! The target universe for search funds and Independent Sponsors is substantial, with nearly 200,000 businesses valued between $10 million and $100 million, according to NAICS Association data. Search funds often seek out companies with retiring family founders looking for liquidity. Middle and lower-middle market financial sponsors generally avoid targeting companies worth $15 million due to high overhead costs and the need to deploy significant amounts of capital. However, for individual entrepreneurs, these micro-sized deals are not only accessible but also offer attractive bargains. This has led to the emergence of specialized search PE funds alongside Independent Sponsor transactions. Great article by the FT. #privatecapital #privatemarkets #privateequity #buyouts #growthequity #independentsponsor #searchfund #middlemarket #smallbuyout #sme #institutionalinvestor #alpha #moic #irr #privatecredit #privatedebt #familybusiness #founderowned #fT

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Equity compensation is critical for aligning employees with a company’s long-term goals and fostering a culture of ownership. Yet, data on equity refresh design is scarce. Key questions on eligibility, timing, and grant size persist among founders and Boards. We are excited to share the results of General Catalyst's 2024 Equity Refresh Survey which compiles over 160 data points on key questions including eligibility, timing, and grant size. Huge shoutout to my teammates Guissu Baier and Grant Rivas for their hard work in leading this effort. The findings show that, in this era of capital efficiency, companies are judicious with equity dilution while still rewarding top performers. Highlights: - 87% of companies prioritize individual performance for refresh grants - 25% or fewer of employees receive refresh grants annually - Refresh grants are typically 25% or less of current new hire benchmarks - Nearly half of refresh grants have no vesting cliff Access the full report here → https://lnkd.in/gruPasKh

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https://lnkd.in/gxdaiGaX This is an article about consumer trends in 2024. It discusses shifting consumer behaviors and demographics. Nine important trends are covered. Some of the important changes include a rise in social commerce and a growing preference for wellness products. Consumers are also becoming more price conscious and willing to explore new brands. There is a growing population of older consumers who are willing to spend money on discretionary items. Younger consumers in emerging markets are particularly optimistic about the economy and are willing to spend more. The article also highlights some interesting trends around brand loyalty. In recent years, brand loyalty has weakened across demographic groups. Additionally, economic uncertainty and inflation are causing consumers to explore cheaper alternatives. Interestingly, even older consumers, who were once known for their brand loyalty, are now embracing new brands and retailers.

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Retaining top talent in the competitive business landscape is crucial for sustained growth. While initial stock options are powerful, their allure can diminish as they vest. In my recent post I explain the different strategies, models, and benchmarks for implementing effective equity refreshes. #CenterOfExcellence Evolution Equity Partners https://lnkd.in/eFx-_ERD

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Too many small and mid-sized businesses struggle with capital constraints out of fear and misunderstanding. Sourcing the capital required to remove those constraints is key to unlocking the value creation potential of these companies. https://lnkd.in/gRYTKEmN #smallbusiness #businesstransformation

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Earlier this year, we surveyed our fellow Los Angeles-based GPs to get a pulse check on the LA venture ecosystem. Here’s what we found: 💗 Deal flow is healthy, and most LA venture investors (68%) are seeing the same or more deal flow YoY. ✈ LA investors are spending time in a variety of markets, with NYC, Austin, and SF following closely on LA’s heels. 🔍 Innovation is concentrated in AI and machine learning, space, and commerce. 💸 Funding is happening, but it’s barbell-shaped, with deals concentrated at the early and late stages. Funding post-Series A has been challenging. 🚩 LA is differentiated, but not without its challenges. Key difficulties include not attracting enough AI talent (despite having the largest number of engineers graduating from our region over any other in the United States); talent relocated to more tax-friendly or less expensive locations; and the great SoCal / NoCal divide 🙏 Thank you to all our many respondents! I’m so glad to be part of a venture ecosystem that includes great minds like Anna Barber, Brent Murri, W. Christine Choi, Sarah Tomolonius, Rob Smith, Win Chevapravatdumrong, John Tabis, Jill Royster, Jesse Draper, Ashley Balla, Britt Danneman, Tram Lai, Carmen Palafox, Elaine Russell, Deborah Benton Amanda Schutzbank, Brian Lee, Petra Griffith, Minnie Ingersoll, Shamin Walsh, Gabe Greenbaum...wow, this list could go on forever...plus too many other exceptional humans to name. You know who you are! Explore our findings more deeply with our survey dashboard: https://bit.ly/3JsaLaB

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This week Mikal Ventures brings you a 4-week breakdown of the non-US capital market with an emphasis on the Mikal verticals. Over the 4-week period ending May 29, a total of 1,545 new companies were added, with 101,688 companies included in the non-US Health Tech, Med Tech, Fin Tech, AI Tech, and Ed Tech verticals. The non-US AI Tech saw the greatest percentage growth in new companies for the period, weighing in at a notable 27%, nearly two times the overall vertical average of 15%. The non-US Heath Tech vertical led the group in transactions. Non-US Med Tech vertical lead in both SEC Filings and news articles. Mikal Ventures publishes these stats on a rolling 4-week basis to provide a perspective on how the verticals and new startups move through time. We hope you find them informative and thought-provoking. VC Investors are always adjusting their "Play Book" with a variety of options for investing. Mikal Ventures is one of those alternatives, offering curated solutions to real world problems. Reach out if you have questions on how we can be of assistance and bookmark https://mikalventures.com/ for additional insights and information.

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Awesome to have Dan Park from Clutch back in the Tank for chat # ✌️. This time Dan opens up about the difficult situation his company was facing after seeing the market pull back on funding companies like his and how he was able to quickly adapt to the new market conditions. Dan shares some amazing advice for founders going through similar decisions right now and how best to navigate them. Check out the full episode below 👇

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