Corporate culture does matter...a lot

I had been thinking about writing a post on corporate culture for quite some time. However, I had been postponing it for one reason or another. It was about time.

Yesterday I listened to one of the latest podcasts by K Fund (one the leading VC funds in Spain) - it has lately become a must-listen to me and I very strongly recommend it - featuring David Tomas (founder of online marketing company Cyberclick) and Carina Szpilka (partner at K Fund and former CEO at ING Direct bank in France and Spain). This has definitely pushed me to bring together my thoughts, many of which are in line with theirs.



What is a company's culture? I guess that each one of us will have her own definition. To me, it is the set of values, practices, attitudes and habits that employees embrace and live by. Such a set defines how a company works on a daily basis and, ultimately, what it actually is. One gotta respect and embrace the corporate culture if she wants to succeed. Conversely, the company (ie. founders and/or its management) must make sure that employees honor the culture so the company thrives.

Before joining the startup ecosystem, I worked for approximately 10 years in two of the most reputable law firms in the world. In other words, 100+ years old companies with established cultures that everyone is familiar with, honors and expects others to honor. Service excellence, super high quality standards across the board, teamwork and hard work no matter what are non-negotiable. You may like it or not but, truth be told, the system works and has been working for more than a hundred years. And even if I did not agree with all of it, I do acknowledge that many of those culture attributes were good and have significantly contributed to how I work today.

But building a company's culture is not a piece of cake. And this is particularly relevant when talking about young companies. Plus I would argue that it becomes even more difficult considering that many people disregard this topic to a large extent. As if just having an idea and a great founding team would be enough for long term sustainability...

Hundreds of guides, articles (I like this one by 500 Startups) and books have been written about this topic in the startup ecosystem. I would dare say that there is significant consensus on one thing: the culture is (i.e. should be) a reflection of the company's founders and it is such founders who are responsible - in particular in the early stages of a company's life cycle - for defining, redefining and adjusting it over time. And, maybe more importantly, for spreading it and turning it into the backbone of both the organization and how employees behave and interact towards the company and each other.

Two major points about how not to define a corporate culture:

1. It is not about perks: do not get carried away by casual wear, free food and drinks, unlimited vacation time, fussball...and all kinds of fancy and sometimes crazy perks - seriously, a shooting gallery? - to attract talent and foster work/life balance. Culture goes way deeper.
2. The value shopping-list: who is against teamwork, transparency, customer service and innovation, to name just a few "usual suspects"? Just listing some random values on your website won't do it for your culture. It is something that must be lived by on a daily basis.

I would like to point out three axes that can help founders define a culture, sustain it over time and turn it into a competitive advantage:

1. Know what you want (and don't want) your culture to be: founders should make sure what they want their values and culture to be like. There is not right or wrong answer and everything will depend on the founders' own personality, preferences, working style, etc. Do not let the culture be created "by default". And if at some point you realize the culture is on a slippery slope - tell Uber about it - make sure to address this quickly and thoroughly.
2. Practice what you preach: founders should be the first on the line to make sure that values are respected and desired attitudes and behaviors are honored and promoted - in other words, lead by example. It founders themselves don't do so, nobody will. Do you want people to be responsive and accountable? Well, make sure you reply to your emails and honor your own deadlines. Do not just refer this "culture thing" to your HR team because that will fail.
3. Hire (and fire) according to your values and culture: 

• In order to ensure long-term success to a larger extent, make sure that whoever you hire is a good match with your culture and values - it is better to have a less brilliant newcomer who does fit than a glowing star that does not care about anything other than himself. 
• Should the latter occur, fire quickly - it will definitely send the message that the culture is an essential part of the organization. I love the following representation by Dr. Cameron Sepah - Medium post here) of the renowned performance-values matrix developed by GE's Jack Welch decades ago - fire the "assholes" as fast as you can.

Last but not least, if you want to have a thorough and practical example of what culture is (it goes beyond the points discussed above), invest some time reading the renowned Netflix culture deck. It is from 2009 but it is a must for anyone interested in the topic...or in building her own company.

Happy reading.

Moving to Berlin: my new challenges ahead in fintech

My new challenges in 2017

A lot has happened over the last 16 months. I have gone through a roller coaster-kind of professional experience where I have had the opportunity to experience the good, the bad and the ugly of what working at a young startup means. I will reflect about such an experience in future posts but one thing is clear to me: I have learnt a lot at multiple levels. And now I am confident that such experience - paired up with my existing background which, as unexpected as it may be, is going to prove pretty helpful shortly - will help me succeed in all all my forthcoming challenges.

There is doubt that 2017 will be bringing me new challenges, opportunities and, in short, a new life in Berlin, Germany. As of January 1, I will be joining Crosslend, an innovative debt capital platform, as Country Manager for Spain.

Crosslend: what is it about

Near-zero and even negative interest rates make it increasingly difficult for investors to get higher returns, while increasingly tighter legal requirements make it harder for financial institutions to lend and push money down to the real economy (ie. SMEs). 

By means of an innovative and disruptive cross-border, single-loan securitization structure, Crosslend is creating a marketplace where both investors and debt originators can better achieve some of their goals. On the one hand, the company wants to help investors obtain higher yields by investing in a sort of new asset class, so the former can better meet their mid and long term yield goals. On the other, there is the challenge of becoming an important player in building the European capital markets union that should helps bridge the existing funding shortage between financiers (banks and others) and underfunded borrowers, by given the former a new alternative to free up capital and keep on going with their lending activities.

Co-CEO Dagmar Bottenbruch summarizes some of the key point sin this short interview at the LendIt conference held in last October.

Getting into fintech

Fintech has always been a sub-sector I have been attracted to and that I have had interest in, mainly as a user/consumer of new tools (wealth management robo-advisors, personal finance tools, international wire transfers, etc.), and also as a follower of disruptive B2B trends (crowdfunding, crowdlending, FX, etc.).

Some friends and colleagues have pointed out in the past that it could be a good destination for me. I think I enjoy an above-average understanding of finance as a whole thanks to my education and work experience, plus now I am able to bring in a more compelling tech / startup background (yet from a different industry) to the table. I am very happy to see that both ends are meeting now and excited about this new opportunity.

Berlin: a great place to be

Anyone who follows the European startup scene knows that in recent years Berlin has become - alongside London (even more so post-Brexit) - the European startup hub. A wealth of entrepreneurs and investors, the availability of international talent, a cosmopolitan environment and a reasonable cost of life (in particular when compared to Paris and London) have given rise to a thriving startup ecosystem. 

Plus Berlin is also a key player in the powerful German (and European) fintech ecosystem - see picture below - which spans across multiple sub-sectors and products, in both B2B and B2C segments.

However, I would be lying if I said that the idea of moving to Berlin has not been a surprise to me. I was not counting on starting my life pretty much from scratch...again. New country, new language (even if you can supposedly live off English quite nicely in Berlin), new friends... it gets harder as one grows older, but still... 

After weighing in Crosslend's promising project (backed by reputed VCs such as Lakestar and Northzone) and inspiring vision, a role that offers me a challenging opportunity and everything that Berlin has to offer, I have made up my mind. It will be curious to jump on a plane on January 1 to kick off such a new time for me.

To an exciting and fruitful 2017!!

Reinventing yourself and changing your own market perception

Twenty four months ago I was working in New York and taking the first steps towards what would turn out to be my first job offer at a startup. It was the culmination of a long process - it took me years to get there - that ultimately did not work as planned (after accepting the offer I had received, US immigration authorities ruled out against granting me an O-1 visa that would have replaced my then in force L-1 visa).

Things have evolved substantially since then. Shortly after the disappointment I experienced when my visa got denied, I landed a job at another startup in Spain and, a bit less than 1 1/2 years later, I will be shortly taking a new role at a promising fintech company in Berlin as country manager for Spain.

Even though I cannot say that I have hit a home run yet, I can't help feeling a sense of pride for having accomplished a big transition from professional services - first as an M&A and finance attorney, then in biz dev roles - into the startup space. Little by little, after investing a lot of time and effort, I have been able to change the market perception of my own brand as an employee.

Although certain countries tend to have more flexible recruiting cultures that appreciate transferable skills - e.g. I find the US quite flexible, while Spain is just the opposite - your college degree and work experience will vastly determine how you are perceived in the job market. As you grow older, the "weight" of such background becomes heavier and makes switching industries and functions increasingly harder.

That being said, I thought it would be useful to share my experience and contribute a few thoughts from my own "reinvention" process:

1. Understand your role's and industry's perception: some functions (e.g. financial roles) and sectors (e.g. management consulting) put you in a better place to make a transition, even at a young age. Some others (e.g. law practice - that was my case) are more ring-fenced and harder to leverage outside of their own circle.

Don't get caught for too long in something you know you don't want to do long term, even if it pays well (and assuming you can afford to let it go). You will regret it a few years later.

2. Leverage the master's degree window of opportunity: studying some kind of master's degree can be a good way to change roles and industries (again, I find Anglo-Saxon work cultures more open to change than others). However, bear in mind that the window of opportunity for such a transition is limited: 1 to 1.5 years following graduation, I'd say.

For instance, I completed my MBA from NYU to pursue such change in 2008 when, unfortunately, everything started to fall apart; so my ability to switch was severely compromised.

3. Embrace the two-step transition: you may be able to switch functions and industries at once, but doing so in two separate steps is more realistic and financially rewarding. Leverage what you already know for tour first move; then use what you are learn (and who you know) at your new gig to complete the second step.

I transitioned from being a lawyer to business development roles in professional services. Then, I was able to switch to business-oriented roles in the tech space.

4. Get out of your day-to-day comfort zone: if you want things to change but you keep doing the same things that you typically do in your usual work environment, such change will be much harder. You need to let fresh air into the room. Get out of your comfort zone and find ways to get closer to the industry where you want to be.

I find events and meet-ups particularly useful in this regard. There are plenty of things out there in substantially every industry, so start digging up information and investing time. It is going to be a bit stressful and tiring, but nothing is free, I'm afraid.

Also, network carefully and regularly. Reach out to friends and acquaintances who can make an intro for you. Sometimes it will feel a bit awkward and overwhelming to take the first step but, in my experience, a majority of people are willing to help if they can. Be tactful, thankful and open to return the favor.

5. Show that you really want it: there are many ways these days in which you can show where your interests lie. Start following people and being active (tweet, retweet) on Twitter, start your own blog covering the topics and industries you are targeting, open a Medium profile, be mindful of your Linkedin profile (share your content, tailor your profile), etc.

Again, this will take quite a bit of time but you have an arsenal at your reach.

6. Worship your job hunting: looking for a job is not easy, it is a job in itself, even more so if you are fighting to get to a place where you have never been before.

On the one hand, make sure that you are looking in the right places (it is not the same to look for jobs in, say, startups, than in pharma companies). Once you have spotted those, create customized job search agents to spot openings in a centralized way, search regularly, be methodic and keep track of where and when you are looking.

On the other, make sure that your resume and cover letters convey the messages that you need, both in terms of framing and adapting your background in an appealing way (as you will seldom be as well suited for the roles as others with more specific experience) and highlighting the passion and interest that you have in a specific area.

And if you make it to an interview, research the company as if there was no tomorrow. This is an area where you can beat other candidates who, at first sight, may be better suited for the role.

7. Don't be desperate. It takes time to change jobs. It takes even more time to do so when you are switching drastically. Keep trying, hang in there and cheer yourself for any small accomplishment.

I wish I had been able to transition well before it happened. There were times when I thought about giving up as things were not moving as I would have expected. But I was resilient...and it ultimately paid off.


I hope this helps, until next time!

Tech (and others) talent vs immigration: the ultimate US fight

I am not a big boxing fan. In fact I have only watched one fight in my life (Pacquiao vs Mayweather a few months ago, of course) so I do not understand much about it. However, over the last months I have learnt a lot about fighting and related tactics. So far I have lost, but there are a couple of rounds still left.

A lot - see this article for illustration - has been written about the shortage of talent being a relevant challenge for the tech industry these days in the US. There is a real need to fill thousands of roles and no domestic talent is often available. This obviously harms growth and development, which is critical for startups. In this context, tech companies face a very complex legal environment when trying to fill that gap with qualified foreign workers. Obviously, I am sure that other industries feel similar pain and would also benefit from tapping foreign talent in an easier way.

Shortly after I graduated from b-school in New York in 2008, the Trouble Asset Relief Program (TARP) was passed. Billions of dollars were funneled to troubled US banks (main MBA hirers at the time) which, in practice, were prohibited to hire foreign workers without tapping the American workers' pool first. As much as this hurt back then, I totally understand today that a government wants to be protective of its own citizens and put its domestic labor force to work after pouring so much money in. 

But today the situation is completely different in America. Unemployment in the US is at around 5% (which, once frictional unemployment is subtracted, results in almost "full employment") and lots of companies are unable to find what they need within the domestic labor workforce. A massive legal spider web makes it super hard to hire foreign workers: the universe and variety of visas is crazy, the calendar is crazy (e.g. why an H-1B visa that you get in April is not activated until October?), costs are crazy, etc...In short, regulation acts as a huge deterrent.

It is clear that living in a country that is not your own and where you live and work in a foreign language is tough and requires anyone in such situation to compete with local talent. At the same time, it is obvious that companies themselves want to hire the best and, if that means hiring non-national talent, it should happen at their own risk. Such behavior should not be prevented just because of administrative burdens, in particular at times when there is almost full employment, as I pointed out before.

I am a JD, have an MBA from a top US school, have worked for reputed employers, have lived in the country for almost 5 years during which I have significantly contributed to the US economy on a daily basis, have paid taxes deriving from pretty high salaries, have complied with my social security obligations and kept a clean criminal record. Today, that is not enough to get a work visa. I went one step farther and secured a signed offer with a thriving New York-based startup who was kind enough - I often pinched myself in disbelief for their amazing loyalty and care - to go through the pain of sponsoring me a visa. I quit my job and was ready to join. However, 3 months of paperwork and administrative fighting later, my visa was denied (it is in the appeal phase now) and I left (who knows if it will just be temporary) the country.

There is a lot of discussion these days around immigration in the US thanks in particular to pretty unfortunate comments by characters such as Donald Trump. It is a fact that there is a lot of illegal immigration in the US but it is not less true, in my view, that it would be hard for the economy to work as it does without having such illegal workforce contributing its long hours and effort as it does. But that is a different debate.

It's a bit of a paradox that illegal immigrants are in practice allowed to work in the country and that when you try to play by the book - having, supposedly, all the qualifications and a job offer in place - you face the risk of being kicked out. As I tell my friends, these are the rules of the game and you have to accept them from the outset and regardless of the final outcome. When you go into the ring you are going to be hit, whether you win the fight or not.

I'd advocate for a framework where more flexibility is given for hiring qualified foreign talent. It is bad for US companies trying to grow and thrive; it is bad for foreign companies that want to settle and generate wealth in the US but are not allowed in many cases to hire who they need; it is bad for the international candidates, many of which are US educated and committed to making an impact in the country; and, ultimately, it is bad for the US themselves, in terms of foregone taxes and significant contributions fueling the economy (salaries in tech are traditionally high), among others.

My "round 12" is about to start, let's see what happens - Ding!

A millenial trapped in a Gen Xer?

It is not easy to look back and self-assess one's career and progression. It is even harder - in particular in countries/societies that are rather traditional when it comes to what is considered "right" (college degree - job - wife - mortgage - kids = stability) - to take a detour in your career as you grow older. People, in particular those from older generations than mine, tend not to understand the rationale and motivations to abandon the "right" path.

It is obvious to me that such decisions are, to some extent, driven by your personal circumstances. If you have no financial (mortgage, student loans) and/or personal (spouse, partner, kids, sick relatives, etc.) obligations, there is more room to take chances and risks that otherwise you wouldn't. And a bit of common sense is always appreciated, as in any other area.

I can speak about all this based on my own experience. In my mid-late twenties I left a promising career as an attorney at one of the main global law firms to switch paths and to go on the once-in-a-lifetime experience of studying a top full-time MBA and living in New York. Now in my mid-late thirties I have quit a stable, very well paying job at a top firm, to (at least try to) pursue a career in technology/startups, and to even explore launching my own business. It is that time of my life where I need to feel passionate about what I do, experience a feeling of belonging and enjoy doing whatever it is that I do. For me, now is the right time. It is probably the only time in my life so far where my personal circumstances, my aspirations and my degree of risk aversion (whatever that is) are aligned.

Kleiner Perkins' view on millenials

Call it wishful thinking, call it dissatisfaction, call it not settling for just money... or simply call me a millenial in the body of a (late) Generation X guy. From a values standpoint, I feel much closer to the former than to the later (for whom the future is gloomy, according to Bloomberg), maybe I should have been born just a few years later...

Over the last 4 years I have continued following closely, becoming increasingly acquainted and further embracing my passion for technology and the startup scene (as I predicted in a post in 2011, I have for the most part been monitoring all this activity via Twitter instead of by blogging). All this has led me to work hard - reading, networking, interviewing... - to give one last try at making a professional move into such space.

A few months ago I signed an offer to join a great NY startup. All seemed to be ok until US Immigration Services came my way by denying a work visa - it is no relief (it is actually quite sad), though, to see that a lot of people in the startup world are facing similar issues in the U.S.. This is one for the next president to address.

This is the somewhat uncertain situation where I stand now, yet more energized, committed and optimistic than ever before.

Back to blogging 4 years later

Time does indeed fly. It's been 4 years since my last post and a lot of things have happened since then. I have now decided to resume my blogging activity as a new chapter of my life opens up. Big decisions have been made and I am eager to find out what is coming next.

In the coming months, I am counting on being able to use some time to write and it just feels right to get back to this.

Since 2011, even if my professional activity had little to do with it, I have continued following closely, becoming increasingly acquainted and further embracing my passion for technology and the startup scene. As I predicted in a post in 2011, I have for the most part been monitoring all this via Twitter. All this has led me to work hard - reading, networking, interviewing... - to give one last try at making a professional move into this scene.

Everything was flowing nicely until US Citizenship & Immigration Services (USCIS) came my way by denying a new work visa. I see this as just a hurdle that has given rise to the somewhat uncertain situation where I stand now. However, I am confident to overcome this; in fact I feel more energized, committed and optimistic than ever before.

New stories coming soon. Stay tuned

Algunas conclusiones blogueras durante las navidades

Han pasado 4 meses desde la ultima vez que escribi un post. Cuatro meses de largas horas de trabajo que me han impedido contribuir en este foro como me hubiese gustado. Cuatro meses en los que, por que no decirlo, quizas me he instaurado en la comodidad relativa de no anadir una tarea mas a mi rutina habitual. Es posible que quizas mi objetivo inicial resultaba demasiado ambicioso en cuanto a ser prolifico con asiduidad. Vamos a ver si en 2010  consigo darle la vuelta a la situacion.

Tengo claro que es importante para mi el mantener este blog activo. Al desconectarme del blog me he desconectado igualmente en gran medida del mundillo TMT (el del VC y PE los sigo practicamente a diario) y debo reconocer que lo echo de menos y que incluso debo decir que no puedo permitirmelo. Mantenerse "tuned" lleva considerable trabajo y me da pavor meterme en el Reader para ver que tengo tropecientos posts pendientes de leer en Techcrunch, en el AVC de Fred Wilson o en el feed de The Hollywood Reporter, por decir alguno. No me va a quedar mas remedio que poner el contador a cero porque si no va  a ser demasiado estresante.

Y como este blog es importante, tengo que poner medidas para hacerlo viable. De entrada, he decidido levantarme antes de lo habitual al menos un par de dias a la semana - hoy ha sido el primero - para poder leer con calma e intentar escribir. Pero tampoco quiero convertirme en un esclavo del blog en si mismo. En el termino medio esta la virtud que diria aquel. Igualmente, si hay que ver un poco menos la television de vuelta a casa, asi debera ser. Y claro, habra que buscar un huequito el fin de semana tambien.

Vamos a ver si esto no se queda en un mero intento y persevero y vuelvo a dar motivos para que algunos volvais a pasaros por aqui de vez en cuando.