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The Twenty Minute VCThe Twenty Minute VC

Roundtable #5 with Jack Altman, Auren Hoffman, Jason Lemkin, Harry Stebbings | E1077

Every single 20VC episode is recorded with Riverside.FM. It is the one product that I could not live without. Try it today here (https://creators.riverside.fm/20VC) and use the code 20VC for 15% off. ----------------------------------------------- Jack Altman is the Founder and CEO @ Lattice, the #1 people management platform, last valued at $3BN. Jack is an investor through his founding of Jack Altman Capital where he has invested in WorkOS, NexHealth, Owner.com, Mercury and more. Auren Hoffman is the Founder and CEO @ Safegraph, the most accurate database of global points of interest, last valued at $550M. Auren is an investor through his founding of Flex Capital where he has invested in Chime, Checkr, Coinbase, Flexport, Vercel and more. Jason Lemkin is the Founder and CEO @ SaaStr, the world’s largest SaaS community. Jason is an investor through his founding of The SaaStr Fund. In the past, Jason has invested in Pipedrive, Algolia, Salesloft, Front, GreenHouse, Owner.com, Gorgias and more. ----------------------------------------------- (00:00) Intro (02:15) Founder Dynamics (13:14) Operational Experience and Investment Acumen (23:09) Venture Capital and Investor Roles (34:12) LPs and Investment Innovation (36:14) Side Projects and Team Dynamics (42:39) Retention and Company Culture (44:47) Scaling and Fund Management (58:36) The Bet ----------------------------------------------- In Today’s Episode We Discuss: Why have we seen the rise of “Founder-led Funds”? Are founder-led funds more empathetic to the founders they invest in? How do founder-led funds source and pick investments in a way that traditional VC does not? Will we see founder-led Funds truly compete against the Sequoias of the world? How does being an operator make you a better investor? How does investing help you be a better founder and operator? How do you communicate your investing practice and firm to your company and team? What are the biggest excitements and concerns LPs have for Founder-led Funds? Will we see the face of venture changing much more broadly and structurally? How do founder led funds manage both time and company conflicts? --------------------------------------------- Subscribe on Spotify: https://open.spotify.com/show/3j2KMcZ... Subscribe on Apple Podcasts: https://podcasts.apple.com/us/podcast... Follow Harry Stebbings on Twitter: / harrystebbings Follow Jason Lemkin on Twitter: / jasonlk Follow Jack Altman on Twitter: / jaltma Follow Auren Hoffman on Twitter: / Auren Follow 20VC on Instagram: / 20vc_reels Follow 20VC on TikTok: / 20vc_tok Visit our Website: https://www.20vc.com Subscribe to our Newsletter: https://www.thetwentyminutevc.com/con... ------------------------------------------- #VentureCapital #JasonLemkin, #JackAltman, #AurenHoffman #HarryStebbings

Harry StebbingshostJason LemkinguestAuren HoffmanguestJack Altmanguest
Nov 2, 202357mWatch on YouTube ↗

At a glance

WHAT IT’S REALLY ABOUT

Founder-led funds, dual-role CEOs, and the evolving venture playbook

  1. The roundtable explores why founders increasingly seek founder-led funds, debating whether operating experience and active company building make for better investors or simply different ones. The guests contrast traditional VCs with “dual-threat” CEOs who both run companies and manage funds, discussing brand, tactical value, governance, and how up-to-date operational knowledge matters. They dig into trade-offs: time allocation, whether investing makes you a worse operator, how much founders should work outside their startup, and if founder-CEOs should be replaced more often. The conversation closes on fund scaling limits, LP appetite for differentiated managers, and how founder-led investors tend to give tougher but longer-term helpful feedback than conventional VCs.

IDEAS WORTH REMEMBERING

5 ideas

Founders value founder-investors for current, tactical operating advice.

Operators still in the trenches understand today’s tools, go-to-market motions, and recruiting realities, so their advice is more up-to-date and specific than that of investors who exited a decade ago.

Brand and signal drive demand for founder-led funds as much as experience.

Many founders use brand as a proxy for quality; a well-known operator’s reputation and public work become shorthand for diligence, making “Altman the founder” more compelling than “Altman Capital the firm” alone.

Founder-led capital often comes with tougher, more candid feedback.

Operating founders tend to deliver “kind, not nice” feedback—saying hard things early, similar to demanding customers—because they prioritize long-term outcomes over short-term comfort.

Dual-role operators must time-box investing or risk weakening their company.

Early-stage CEOs generally can’t afford serious investing distractions; only once a company is scaled and marginal CEO hours have diminishing returns does the learning and network from investing justify the time cost.

Extreme founder commitment strongly correlates with at least okay outcomes.

The panelists note that companies where founders remain genuinely at “100%+” effort almost never fully fail; the bigger risk appears when founders mentally check out before the business is truly done.

WORDS WORTH SAVING

5 quotes

Almost everything in running a company has changed over the last seven years.

Auren Hoffman

When I look back at the people who really did me justice in the long term, they told me stuff that sucked to hear on a particular day, but was good over the long term.

Jack Altman

Most good founders have low EQ. I don’t think EQ is one of the highest things on the list.

Auren Hoffman

Eighty-eight percent of SaaS companies that have IPO’d have the founder as CEO at IPO.

Jason Lemkin

We are human, we’re not just a robot. You have other interests…and you have to kind of scratch those itches. The key thing is: are you keeping the main thing the main thing?

Auren Hoffman

Why founders want founder-led funds and founder-investors on their cap tablesOperational recency and how current operators evaluate products, markets, and CEOsFounder-friendliness, ‘tough love,’ and how empathetic founder-investors really areTime allocation trade-offs: does investing make you a worse operator or CEO?Team versus solo models in venture and whether investing is an individual or team sportLP dynamics, differentiation, and the rise of founder-led or brand-led emerging managersGovernance, board seats, and whether founder-led funds scale to Sequoia-sized firms

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