Founder Control and Value Creation in Startups don’t seem to be the same thing

TL;DR: This is a blog about value creation and the control founders have over their startup. You need to give away some control to build something valuable. How much is up to you.

Founders and CEOs, Let me ask you a question “Does the degree to which you have founder control of your startup affect your company value?” I am pretty sure your answer is simple and resounding. Yes. I am good for my company. I am what makes it valuable and that will continue to be the case so long as I have breath to run things.

Well, it seems you can’t have your cake and eat it too. That is a question Noam Wasserman, former professor at Harvard Business School asked himself. He has published a paper that finds startups where founders retain control of their startup after 3 years are in fact worth less. It seems founding CEOs are bad news for making big valuable companies.

Well, the headline anyway.

You can read the blog here: https://www.alexanderjarvis.com/2017/...