Evergreen and Ever You

your Saturday roundup

Professionally, I focus on creating social benefit startups. In my Saturday morning emails I share what I’m learning and thinking. Topics range from better living and parenting to business and philosophy.

1. Another Way. Bo Burlingham has another book out! If you love business and you haven’t read his books, then you’re in for a treat. His book The Great Game of Business inspired me to use open book management concepts in my startups. Small Giants highlights companies that choose to be great instead of big. Finish Big shares case studies of how to pass the baton as a leader or owner. I’m excited that Bo teamed up with Dave Whorton from Tugboat to write about Evergreen Companies in the new book Another Way. Evergreen Companies are “private, profitable, enduring, and market-leading businesses that make a dent in the universe.” These are companies that have a long-term purpose and put people first. To me it’s some of the best of capitalism. A few things to mention:

   1. While the LTSE is promoting long-term thinking in the public market, the Tugboat Institute is bringing together private companies with a long-term orientation.

   2. Evergreen companies can be owned by one individual or widely dispersed ownership to all employees. (For example, employee-owned Empowered, featured on our Startups for Good podcast, probably qualifies as an Evergreen Company.)

   3. They cite Clayton Christensen, saying that if you want innovation that creates new markets sometimes that takes time. An Evergreen Company starts with profits and then moves to scale rather a get-big-fast startup seeking scale then profit. My take is that different situations call for different solutions.

   4. Evergreen companies can but don’t have to be Teal or Everybody Matters businesses.

   5. If a company is looking long-term and wants to stay private, it can limit the potential investors that fit. One company’s solution is to do joint ventures with larger companies with agreed sale provisions. They got to use someone’s capital without giving up ownership of the core company.

   6. The book contains a little known formula for how fast your company can grow without outside capital. Understanding the math behind this can tell you how much improving margins or your cash cycle can help you grow faster.

2. Amazingly Unique. There is no one exactly like you. So there are many ways to identify you. Face, DNA, fingerprints and dental records are probably top of mind. Don’t forget that gait, voice, iris and retinal patterns all work to identify people. Autonomous vehicles filming their surroundings record more than enough information to identify everyone on the street by gait. You can even recognize gait using wifi with no video. Did you know that odor, EEG and typing patterns also work? Now add to the list: your breathing pattern is unique. Although it doesn’t work as well when you’re asleep. Quick hide! Let’s take a nap.

3. Tell Your Kids. I was talking with a friend this week who lost a pregnancy to miscarriage. In addition to mourning the loss, I hate seeing shame and silence piled on top. When my wife’s first pregnancy ended in miscarriage and we started talking to people about it, we were surprised how many people had a similar experience. It reminded me that I want to teach our kids that miscarriage is common and often results from random DNA arrangements that are incompatible with a healthy life. I want them to know they can talk to their loved ones and treat miscarriage as a loss, not a personal failing.

Until next time,

Miles

PS I’m taking a break for a few weeks. Let me know if you have anything for me to read.