Lessons from Cold Calling 10,000 Companies

Patrick O'Shaughnessy sits down with Mitchell Green, Founder of Lead Edge Capital, to discuss building an investment firm focused on consistency rather than moonshots. Mitchell breaks down Lead Edge’s unique model, which leverages a network of over 800 executive LPs to source and validate deals. They dive into the firm’s “Lead Edge 8” investment criteria, the importance of capital efficiency, and their machine-like process of making thousands of cold calls annually. Mitchell also shares his thoughts on deal structuring, the art of selling, and his skepticism regarding current AI valuations.

Timestamps:

0:00 Intro
1:00 The Hierarchy of BS
2:20 Lessons From 10,000 Cold Calls
9:05 Base Hits vs. Grand Slams
15:24 The 8 Buying Criteria
17:24 Pricing and the AI Exit Multiple Trap
19:24 Software as a Game of Distribution
23:20 Creative Deal Structuring
26:27 The Framework for Focus
29:01 The Art of the Investigative Cold Call
34:24 Culture of Hustle
35:34 The Annual One-on-One Process
37:59 Playing to Strengths
39:43 The Mount Rushmore of Investment Machines
42:05 Fears and Excitement Around AI
48:54 Ski Racing
52:29 Advice for Starting a Firm
54:35 The Kindest Thing

GENERAL DISCLAIMER This podcast is for informational purposes only and does not constitute an offer to sell, a solicitation of an offer to buy, or a recommendation to purchase or sell any security. All performance figures discussed are unaudited and presented for illustrative purposes only. Past performance is not indicative of future results, and actual results may differ materially. Statements about future returns are forward-looking and involve significant risks and uncertainties. Nothing herein should be construed as investment advice. Investments in private funds involve significant risks, including the possible loss of principal. References to specific portfolio companies, pipeline companies, LP executives, investment criteria, return profiles, or historical loss rates are for illustrative purposes only and reflect historical activity. They do not constitute an endorsement of Lead Edge Capital or its investment strategy, a guarantee or prediction of future performance, or disclosure of material non-public information. Financial metrics cited reflect publicly available information or approximations only. Past access to LP networks or investment activity is not indicative of future access or results. Lead Edge Capital and its affiliates may hold positions in securities mentioned. The views expressed are those of the participants as of the date of recording and are subject to change without notice. Lead Edge Capital is a registered investment adviser. Additional information is available on the SEC's Investment Adviser Public Disclosure website at adviserinfo.sec.gov.