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In this compelling episode of Raw and Real Entrepreneurship, Susan Sly sits down with Gregory Shepardโ€”founder of BOSS Capital Partners, serial entrepreneur, and author of The Startup Life Cycle. Drawing from his groundbreaking research, which includes interviews with 1,200 founders, Gregory reveals the critical phases where startups are most vulnerable and shares actionable strategies for navigating these challenges to achieve a successful exit.

Together, Susan and Gregory tackle systemic biases impacting women and marginalized founders, discuss the resilience required to overcome these barriers, and highlight the importance of celebrating small wins along the entrepreneurial journey. From marathon swims and shark dives to Gregoryโ€™s upcoming ticket to space, they also reflect on pushing boundaries and embracing fearless leadership. This episode is a must-listen for entrepreneurs looking to grow both personally and professionally.

Topics Discussed In This Episode:

  • Gregory’s Recent Adventures and New Book Focus
  • The Inspiration Behind “The Startup Life Cycle”
  • Challenges Faced by Women and Minority-Led Startups
  • The Role of Validation and Celebrating Small Wins
  • Dealing with Setbacks and Iterations
  • The Importance of Grit and Resourcefulness
  • Gregory’s Future Adventures and Space Travel

About Gregory Shepard:

Gregory Shepard has built and sold 12 businesses in BioTech, TransitTech, AdTech and MarTech. He is a Forbes book author and contributor, and has been featured or quoted in publications like Fortune, Entrepreneur, The New York Observer, The DEAL, and Thrive Global. A recipient of four private equity awards for transactions between $250M to $1B, Greg has appeared on TV, radio, and popular podcasts, and been featured as a TEDx and keynote speaker at multiple universities and conferences worldwide.

Connect with Gregory:

Website: http://www.gregoryshepard.com
LinkedIn: @gregshepard/
Book: https://www.amazon.com/Startup-Lifecycle-Definitive-Guide-Building/dp/1637744323

About Susan Sly:

Susan Sly is the maven behind Raw and Real Entrepreneurship. An award-winning AI entrepreneur and MIT Sloan alumna, Susan has carved out a niche at the forefront of the AI revolution, earning accolades as a top AI innovator in 2023 and a key figure in real-time AI advancements for 2024. With a storied career that blends rigorous academic insight with astute market strategies, Susan has emerged as a formidable founder, a discerning angel investor, a sought-after speaker, and a venerated voice in the business world. Her insights have graced platforms from CNN to CNBC and been quoted in leading publications like Forbes and MarketWatch. At the helm of the Raw and Real Entrepreneurship podcast, Susan delivers unvarnished wisdom and strategies, empowering aspiring entrepreneurs and seasoned business veterans alike to navigate the challenges of the entrepreneurial landscape with confidence.

Connect With Susan:

Website: https://susansly.com
Website: https://thepause.ai/
LinkedIn: @susansly

 

Listen to other great episodes ofย Raw and Real Entrepreneurship.

Read Full Transcript

Susan Sly 00:00
Susan, here. I want to welcome you to Raw and Real Entrepreneurship. This is the show where I cut through the noise for you. I bring you guests with insight, wisdom, and both the founder and funder perspectives. My guest today is someone who has been on the show before, and weโ€™re circling back with him.
He has had 12 successful startup exits, is a lifetime entrepreneur, and a funder who brings both sides to the equation. His most recent book, The Startup Life Cycle, is profound. I love this book. Itโ€™s the best book Iโ€™ve ever read on entrepreneurship and startups. He interviewed 1,200 founders, spent half a million dollars of his own money, and developed the seven phases illustrating where startups are most vulnerableโ€”and what founders can do to refine their work and soar toward the holy grail: the exit.
In addition to his exits, heโ€™s been a TEDx speaker, an amazing and sought-after board member, and an incredible resource. He is proudly neurodivergent. Weโ€™ll discuss what itโ€™s like to be discounted and why founders who were bullied or marginalized may face more challenges. But, as my guest explains, they can adapt and soar.
Without further ado, my guest today is the amazing Gregory Shepard.

Voiceover 01:56
This is Raw and Real Entrepreneurshipโ€”the show that brings you the no-nonsense truth of what it takes to start, grow, and scale your business. I am your host, Susan Sly.

Susan Sly 02:07
Well, Gregory, welcome back to the show. And candidly, for all the listeners around the world, we were having such a great time chatting that Gregory said, โ€œAre we going to do the show?โ€ I was like, โ€œOh my gosh, we need to get started!โ€
Last time you were here, you hadnโ€™t written your new, amazing book that Iโ€™m fangirling overโ€”The Startup Life Cycle. You were already advocating for founders, especially those who may look or think differently. Iโ€™m calling you an angel and a ray of light for people who second-guess themselves in starting companies.
Letโ€™s catch up. What have you been up to in the last year? And I understand this includes diving with sharks without a cage!

Gregory Shepard 03:09
Yeah, yeah. Well, in the book, I talked about the marathon swimโ€”I finished that. Then I thought, since I was already comfortable with the water, Iโ€™d try shark diving. It was an amazing experience that gave me newfound respect for sharks as a species. Theyโ€™re a lot less threatening than I originally thought.
That was fun, and Iโ€™ve also been working on my next book. It focuses on the financial aspects of funding and capital, overlaying them into the founderโ€™s life cycle. After writing the first book, I got feedback from founders, particularly those who are less fortunate or marginalizedโ€”people whoโ€™ve been passed over or stepped on. Their biggest problem, they said, was capital. So I thought, โ€œOkay, Iโ€™ll write a book about funding and capital as it pertains to different stages of the life cycle.โ€

Susan Sly 04:48
I love how your brain worksโ€”always thinking, โ€œWhatโ€™s next?โ€ I resonate with that. But I need to go back for a minute: what kind of sharks were you diving with?

Gregory Shepard 05:08
Blacktip, tiger, and Galapagos sharks. It was crazy. I was swimming down to get closer to a tiger shark, and because of the goggles and water distortion, I didnโ€™t realize how close I was. The shark was swimming up, and we got really close. Tiger sharks are more aggressive, and this big mama looked me in the eye.
At that moment, I realized, โ€œHoly shit, Iโ€™m too close.โ€ But you canโ€™t swim away, or you look like prey. So, I had to back off slowly. My heart was racing, and I thought, โ€œThis shark can probably hear it.โ€ Eventually, I got out of the water and back onto the boat.

Susan Sly 06:10
You know, Gregory, youโ€™re one of the most fearless people I know. The last time you were on the show, you talked about the โ€œLaw of the Rattlesnakeโ€ and selling rattlesnakes. You even realized, โ€œOh, rattlesnakes have babies, so I could sell moreโ€โ€”until your mom shut down that business! But most people arenโ€™t out there free-swimming with sharks or picking up rattlesnakes. Where does your fearlessness come from?

Gregory Shepard 06:46
I think itโ€™s part of my diagnosis. I did this test at a university where they scanned my brain and showed me different pictures. The images that most people found scary didnโ€™t register with me at all. In fact, when others felt fear, I got interested.

Susan Sly 07:16
Wow.

Gregory Shepard 07:18
I think itโ€™s biological. I just donโ€™t have that fear response unless something gets really scary. It has to be pretty extreme. For example, I tried BASE jumpingโ€”it was thrilling for a few seconds, and then it became boring.

Susan Sly 07:37
Thatโ€™s fascinating. It reminds me of my early career. Right out of college, I worked for federal corrections in Canada. I started as a menโ€™s maximum-security prison guard and eventually transitioned to the psych testing unit. My undergrad degree was a Bachelor of Science in Psychology, so I administered tests like the Rorschach inkblot and image association tests.
It was fascinating to observe how differently people thought. Since this is Raw and Real Entrepreneurship, Iโ€™ll share candidly: interviewing men entering the prison system gave me insight into their thinking. Many werenโ€™t diagnosed back thenโ€”this was โ€™92 or โ€™93. With proper support systems in school, their lives could have been different.
I remember one guy saw a carrot and said โ€œdiamond.โ€ Most people would say โ€œrabbit.โ€ It was such a unique way of thinking, and it relates to what youโ€™re saying about thinking differently and applying that to business.
By the way, for anyone listening, Gregory didnโ€™t ask me to say this, but his book is incredible. Iโ€™ve read countless books on startups and entrepreneurship, but The Startup Life Cycle is the most logical, heartfelt recipe for success Iโ€™ve encountered. You spent $500,000 of your own money and interviewed 1,200 founders. What inspired you to take on such a massive project? Most people write a book with minimal researchโ€”this clearly took years.

Gregory Shepard 09:36
Initially, after my last exit, I went into politics. I chaired campaigns for congressional candidates, focusing on getting women and people of color into Congress. I also worked to redirect government funds into startups.
The problem was 90% of startups were failing, and that failure rate had been consistent for 35 years. When I asked about funding startups, I was told, โ€œWe canโ€™t because theyโ€™re too risky.โ€ So, I asked, โ€œWhat if I figure out how to reduce that failure rate?โ€ They agreed to consider it.
I realized I couldnโ€™t help founders from the top down, so I decided to help from the bottom up. I gathered data, conducted research, and wrote the book. Then, I created the Startup Science platformโ€”a free, on-demand resource for founders.
My goal was to make it accessible, especially for people like me who are neurodivergent. I struggle to readโ€”I canโ€™t even read my own book. My wife read it to me over 100 times to help. Between her and text-to-speech software, I got through it.
I thought, โ€œIf I can achieve private equity awards for deals between $250M and $1B despite my challenges, then others can too.โ€ But I also recognized the unique barriers others faceโ€”whether itโ€™s discrimination, lack of resources, or growing up without exposure to entrepreneurship.
For example, kids in professional families hear about business at the dinner table. But what if you donโ€™t even have a dinner table?
I wanted to create a safe, independent learning environment where anyone could access basic, logical, step-by-step guidance. By doing this, I hoped to drive social and environmental change because startupsโ€”not corporationsโ€”create the future.

Susan Sly 11:55
Thatโ€™s such an important point.

Gregory Shepard 11:57
Exactly. Startups innovate. Corporations donโ€™t. They just acquire innovation. Everything from the podcast platform weโ€™re using to your MacBook and phoneโ€”all of it came from startups.
So, I thought, โ€œIf I want to drive social and environmental impact, I need to help startups succeedโ€”and make the knowledge accessible to everyone, regardless of their background or resources.โ€ Thatโ€™s been my mission from day one.

Susan Sly 13:45
When we look at the failure rateโ€”and weโ€™ll get into the data, because I know your love language isnโ€™t just swimming with sharks; itโ€™s data and spreadsheets, like meโ€”something stands out. Women-led startups receive less than 2.5% of funding from traditional Silicon Valley VCs, and that number actually decreased last year. For women like meโ€”brown womenโ€”itโ€™s even lower.
Yet women-led startups are 68% more profitable in their first two years than male-led startups.

Gregory Shepard 14:26
And they fail less, too.

Susan Sly 14:28
Exactly. Letโ€™s dive into that data. One reason you wrote your book was to highlight the potential of overlooked populations. What did the data reveal? Were there any surprisesโ€”or perhaps illuminationsโ€”about women-led or minority-led startups?

Gregory Shepard 14:57
When I conducted the interviews, I spoke with thousands of peopleโ€”4,867 accelerators, 1,100 investors, and at least 1,200 founders, though I lost track of that number. These were recorded sessions that I translated and analyzed using AI to extract sentiment, which helped me understand what people meant, not just what they said.
What stood out was when I asked investors, โ€œHow many women, Black, brown, or Indigenous founders are you funding?โ€ Their response was often, โ€œWe donโ€™t see the deal flow.โ€
But the data contradicted that. It showed the deal flow was there, and in fact, there were more deals coming from non-white men than from white men. So, either they were lying, or they just didnโ€™t realize they were seeing these deals.

Susan Sly 15:47
Thatโ€™s frustrating.

Gregory Shepard 15:48
It was. When I asked, โ€œWhy arenโ€™t you funding these groups?โ€ theyโ€™d repeat, โ€œWeโ€™re not seeing the deal flow.โ€ So I said, โ€œLetโ€™s pretend you are. Say you saw 100 dealsโ€”25 from women, 25 from Black founders, 25 from brown founders, and 25 from other marginalized groups like Indigenous or Asian founders. How many would you fund?โ€
Their response: โ€œItโ€™s about the best deal.โ€ I asked, โ€œHow do you define the best deal?โ€ They said, โ€œIt depends on the founder and the idea.โ€ I followed up: โ€œIf the ideas are equal, why choose a white male founder over a female or minority founder?โ€
At that point, some investors got defensive. I had to turn off the recordings for those conversations because they started making sexist or racist commentsโ€”sometimes without realizing it.

Susan Sly 16:46
Wow.

Gregory Shepard 16:48
It was disheartening. One investor admitted, โ€œI just feel more comfortable working with another white man.โ€ Others doubted womenโ€™s leadership abilities or implied certain groups lacked adequate education. These remarks were blatantly sexist and racist.
The reality is that most investment capital comes from white men, and many of them unconsciously prefer working with people like themselves. They donโ€™t even realize how biased they are. Itโ€™s unacceptable, and it angers me.
Weโ€™re at a point where these attitudes are being exposed more than ever, and itโ€™s clear that many of these individuals have no idea their behavior would be unacceptable in any modern workplace.

Susan Sly 19:34
Gregory, I had a colleague; we were pitching to a VC, and he introduced me to the VC as, โ€œAnd this is Susan. Sheโ€™s a really attractive woman and a great storyteller.โ€ Like, not, โ€œShe went to MIT,โ€ or, โ€œWeโ€™ve won awards,โ€ or, like, and to your point, itโ€™s sometimes, itโ€™s just like, sly, saying something, and youโ€™re not even aware youโ€™re saying it.
And one of the things Iโ€™ve said when Iโ€™mโ€”because Iโ€™m an angel investor tooโ€”thereโ€™s a ton of deal flow. So I love that you said that, because thatโ€™s always the common excuse: โ€œOh, thereโ€™s not enough deal flow.โ€ Okay, well, put on your investment sticker on LinkedIn, and, like mine, your inbox will be full of deal flow, all sorts of deal flow. Thereโ€™s no end of deal flow.
But if we look statistically, right, why do people invest in the stock market? Why do they read the stock charts? Because theyโ€™re betting that that stock, whether itโ€™s Nvidia or Amazon or whatever it is, is going to go up. If we look statistically at the results that female founders produce, right, why wouldnโ€™t you up your ante and up your odds? But the fact that thereโ€™s a lack of awareness of the statistics is mind-blowing to me, considering that now youโ€™re seeing VCs, to your point, using a lot of AI tools. And those AI tools are built on data from past venture deals, which is most based on male-led snow.

Gregory Shepard 21:11
Itโ€™s like driving down the freeway looking behind you.

Susan Sly 21:16
Right? And so, of course, the AI is going to select out female founders and brown founders and black. Like, itโ€™s justโ€”and itโ€™s not funny, but itโ€™s, itโ€™s sad.

Gregory Shepard 21:27
And to what you said earlier is actually something that I ran into a whole bunch of times. So thereโ€™s this term, you know, I donโ€™t know if youโ€™ve heard of it, โ€œpretty privilege,โ€ right? Like a man or a woman has pretty privilege, so they get special benefits because theyโ€™re attractive. That is actually a detriment in our industry.
Itโ€™s your, your pretty privilege is the opposite in our industry. So that person that mentioned that actually proved that point right, because heโ€”he, Iโ€™m assuming itโ€™s a dudeโ€”so he wouldnโ€™t have said that had you not had pretty privilege, right? So itโ€™s actually more difficult for attractive women in our industry because of not this, not just the sexism, but the testosterone thatโ€™s in males, right? You know, itโ€™s justโ€”itโ€™s just there, and itโ€™s just reallyโ€”itโ€™s hard for me to wrap my head around how you canโ€™tโ€”how a man canโ€™t see somebody thatโ€™s attractive and put that aside and then focus on the logic, you know. It just doesnโ€™tโ€”I have a really hard time, like, trying, just trying to understand how that could be the case, you know.
So I think that, you know, the bottom line is, is that if a, if you are bidding out for something, youโ€”you need to be very, very logical and very clear and very powerful. Like, youโ€™re a powerful person. And when you were talking about your previous career in correction, I was just like, yeah, thatโ€”thatโ€”thatโ€™s on brand for you, because you come off as a powerful person.
But I think some women in the interviews that I had with some of the founders that were women were a little bit sheepish, and if theyโ€™re a little bit sheepish, then the investors see that as weakness, and you canโ€™t be weak as a founder. But I think some of those issues were coming from the way that they were talking to the women that made them react that way, right? So because theyโ€™re talking to the investor, right? The investorโ€”and it sort of reminds me of the โ€™50s, when women had to be a certain way, you know, and now thatโ€™s changed. But when theyโ€™re talking to an investor, which are usually old, white dudes, right? And then they have to be a little sheepish because theyโ€™re afraid. But thatโ€™s the wrong choice, like, you know, show your color, spread your wings, and flex, right? Youโ€™re a badass woman, and you should be up there showing these people that youโ€™re a badass woman.
So my advice for women is, go the opposite way, be strong and powerful. And if they thinkโ€”and this is the other thing I heard too, which really pissed me off, actually, to the point where this interview I had to end, this guy was a real piece of work, but it was this guy out of Texas, and he was just as sexist as they get. But he was like, โ€œWell, I donโ€™t want to talk to a bitch,โ€ and Iโ€™m like, โ€œWhat is a bitch to you? Like, are they being mean to you?โ€ โ€œNo, theyโ€™re being disrespectful.โ€ โ€œWhat is disrespectful to you?โ€ Basically, it came to, he wanted people to be sheepish. He wanted them to bow to his investorhood, or whatever this guy had in his head.
And so itโ€™sโ€”itโ€™s a confusing space. To your point on this subject, itโ€™s like a really confusing thing toโ€”toโ€”to catalog. And I did a lot of research on this, and I put it in the book, you know, but Iโ€™m doing the research again now, because Iโ€™m trying to figure out what is preventing them, because this oneโ€™s on funding and capital. So Iโ€™m like, โ€œWhat is preventing these, the same group of people from getting funding?โ€

Susan Sly 25:36
Like, what in the world? The context for the listenersโ€”if youโ€™ve never pitchedโ€”is that Iโ€™ve done probably at least 100 pitches. When youโ€™re pitching, the context is what those investors want to know: do you have the founding team that can execute, and what is their experience?
One of the things I said is, โ€œI have built channel sales teams that have done in excess of $2 billion US in sales.โ€ Now, I am sure if a guy had said that, there would have been check-writing right away, right? And I think, Gregory, to your pointโ€”and I love that weโ€™re having this conversationโ€”one of the things Iโ€™ve been thinking about is writing a book called Raise Money Like a Girl.
For women, raising money often takes a different path. A lot of my friends who are female founders start with angel investors, friends, and family. Women are very resourceful when it comes to finding checks. One of the many things I loved about your book is how you walk through the seven phases.
Before the show, I mentioned that my new startup is on phase three, and I love that youโ€™ve created this recipe. I want to ask youโ€”this question just came to me and wasnโ€™t something I preparedโ€”knowing what you know now, Gregory, with all these seven phases, would you say the phases might be categorically different based on the founder? For example, would a female founder face different phases because she might raise less money, or do you think the phases overlap?

Gregory Shepard 27:23
What Iโ€™m going to introduce in the funding and capital book are these things called gatesโ€”validation gates. What I realized after talking to people who had read the book is that thereโ€™s a big distance between each of the phases. Itโ€™s a long way.
They told me it would be helpful to break it down into shorter sprintsโ€”smaller leaps between pointsโ€”before arriving at a phase. So, I created validation gates to make the process more manageable.
These validation gates will alter the experience depending on the founder. For women, men, or marginalized groups like BIPOC, their gates will often be farther apart because of the discrimination they face.
Some of it is also internal. For example, I interviewed Hispanic and Middle Eastern women who grew up in male-dominated families. It took them time to step out of that and become powerful themselves because they were groomed to be subservient.
The gates allow founders to see progress faster by breaking things down into smaller, confined steps. Validation is core.
I was watching American football, and I noticed how players celebrate every little successโ€”whether they gain or lose yardage. Celebrating small successes is key in startups. You canโ€™t only celebrate big wins because those are the result of smaller victories along the way.
The gates help people stay on track and create predictable patterns, which is what Iโ€™m after. Without predictability, itโ€™s hard to identify whatโ€™s going wrong because the data is all over the place. By confining it to smaller capsules, I can see whatโ€™s happening in these micro-moments rather than losing clarity in macro data.
To answer your question, I think the phases do vary. They also tend to go backward at times, especially for women or marginalized men. If youโ€™ve been marginalized, your brain is often trained to feel less than, which creates self-doubt. That self-doubt causes you to step back and question yourself.
I know this from personal experience. When I started working on Startup Science, I kept asking, โ€œAm I crazy? How has nobody done this?โ€ I felt like I was standing alone in a desert.
People whoโ€™ve grown up in environments like that need validation. They need to celebrate small wins. I tell my team: if youโ€™re working with a founder, celebrate every single win, no matter how small, because they need to feel like theyโ€™re progressing, even if they havenโ€™t reached the finish line yet.
When I swam the marathon, I had six and a half hours alone in the water, hearing nothing but my breathing and strokes. It became meditative, and I reflected a lot. One thing I realized is that the key to success is feeling successful along the way.
You see this in sports: a team that starts losing often loses more, while a team that starts winning keeps winning. Momentum shifts after halftime because success feeds on itself. Feeling successful is essential to becoming successful, and that starts with celebrating small wins.

Susan Sly 33:25
Yes, and, and those, the early formative years too. We talked about this the last time you were here, and I was shared very openly that I was called the N-word as a child, and I was physically beaten up. School was the, the most awful place for me. And I was a straight-A student, but I would physically get beaten up. And, you know, I think one of the pieces, as youโ€™re saying this, that the constant, like, whatโ€™s the next goal? Whether itโ€™s, you know, Iโ€™ve run the Boston Marathon six times, I want to do it 10 times, right? Like, whatโ€™s that next goal? Next goal? Next goal is because thereโ€™s always that sense of, and I think, that hungry fight or analogy of feeling unworthy. So what is my next accomplishment, to feel worthy?
But I think the healthy founder, because many of us who are founders, especially multiple-time founders, are, are either, you know, we were either, you know, ADD, or weโ€™re, you know, neurodivergent in some way, shape, or form. And I think that as long as that founder brings that culture of celebration to their team and makes the focus, you know, about the wins, not just about them, right? Because weโ€™ve seen founders who are so egomaniacal that it has to be about them, but as opposed to the team.
I want to ask you something that occurred to me as you were sharing, and I love the validation gate, so Iโ€™m super excited about the next book already. I want to ask you, what about when thereโ€™s a setback? Like, as I shared, you know, weโ€™re at the place of our MMPโ€”minimum marketable product, for people who donโ€™t know the termโ€”but what happens when something goes backwards? How? Whatโ€™s the advice you would give to the founder when things are not going to plan, and maybe the user feedback isnโ€™t what they thought it would be?

Gregory Shepard 35:28
I think that you, if you always focus on what the users want, youโ€™re going to benefit right there, right? If you have gone, gone too far without validating that, then you have to set backwards. But thatโ€™s okay, you know, itโ€™s okay to go backwards in order to go forwards. Thatโ€™s totally fine. I think that investors, you know, they get a little work worked up over that kind of stuff. But really, itโ€™s part of the process. Like, what are you going to do? Keep going even though you have it wrong? Like, I mean, it doesnโ€™t make sense, right?
And everybody makes sense. Everybody makes mistakes. And not only that, but if youโ€™re forging a path thatโ€™s never been forged before, youโ€™re definitely going to go backwards before you go forwards. And I always tell myself the same thing: thereโ€™s one thing Iโ€™m willing to bet on, and thatโ€™s myself. Yeah, like people say, do you invest in the stock market? Iโ€™m like, no, because Iโ€™m betting on me. I invest in my own stuff, right? My own companies, or companies that I believe in, founders that I believe in.
And if you feel like youโ€™re going backwards, in order to go forward, you just have to say, I am investing in my own self, and I am something worth investing in, right? Like, I know I can make this happen. That will drive you through those. Itโ€™ll help bridge, you know, those moments where youโ€™re like, and this isโ€”it happens to everybodyโ€”you know, where youโ€™re like, youโ€™re building some software or whatever, and youโ€™re building, and youโ€™re building, and you go out to the market and you go, what do you think, you know? And they go, I donโ€™t think itโ€™s going to work. Or, you know, this is just a bad idea, or whatever, whatever.
You have to remember that thereโ€™s 1,000 businesses, millions of businesses out there that have been really successful, that have heard the same thing, right? Listen to your customers, but realize that your customers may not know if youโ€™re building something that theyโ€™ve never seen before. You know, like Steve Jobs used to say, customers donโ€™t know what they want until you show it to them. Sometimes you have to show them something, and then they go, Oh.
Like, think about this. All of the people did surveys on electric cars, all the automobile companies, and they were like, nobodyโ€™s going to buy electric cars. And then Tesla comes out, and now everybodyโ€™s got electric cars. Changed everything, right? So he knew that what they needed was a fast car that had a long range and was luxurious and comfortable to prove that the Prius wasnโ€™t the electric car. And now everybodyโ€™s got these electric cars, and they all share the same common thing. If you look at Rivian and Lucid and Polaris and all these guys, they all have really fast, good range, and theyโ€™re comfortable and luxurious. Itโ€™s three simple things.
So I think that if you think about this from a perspective of going forwards and then going backwards in order to go forwards, then youโ€™re alright. And think about this too, is that if youโ€™re walking through a jungle with a machete and youโ€™re slashing down a trail, of course, if you go backwards and go forwards, youโ€™re going to get there faster than you did the first time, because you already chopped down the trail. Youโ€™re just going back to clean up stuff. So itโ€™s not really goingโ€”is it really going backwards? Maybe itโ€™s not. Maybe itโ€™s just revising and making better, right?
And the other thing that drives me crazy is people that donโ€™t understand the difference between an iteration and a pivot. And iteration are little changes on the path. A pivot is a complete change in direction. So going backwards is not a pivot. Theyโ€™re just little iterations that are necessary to build a good business. You know, itโ€™s just, thereโ€™s so many things out there that people say that are just like, you know, let go of the old and embrace the new people, you know.

Susan Sly 39:21
The iteration, the pivot. I had two startups that I invested in, and man, oh, man, did they pivot. And itโ€™s so interesting because they both raised at, you know, pre-revenue, $20 million valuationsโ€”wow, hard pivots. And one in particular is something I wouldnโ€™t have invested in because it wasโ€”I wonโ€™t say what it is, or the companyโ€”because I did. I donโ€™t invest in something that I personally donโ€™t understand. Thatโ€™s just me, right? And so I look at it and I love it.

Gregory Shepard 39:58
Yeah? I mean, I think that, like, the building, the business is thousands of iterations, tens of thousands of iterations. You know, you may do 10 in a day. You know, those iterations are learnings. You know, in politics, when I was in politics, they have this thing called, you know, you know youโ€™re slushy, or youโ€™re swinging back and forth, right? You have this thought, and then now youโ€™re swinging, and you have that thought, and they always look down on that, and Iโ€™m like, thatโ€™s the craziest thing Iโ€™ve ever heard of.
So youโ€™re going to learn something and then just ignore it because youโ€™re afraid of your image? Youโ€™re afraid of being seen as being swish-washy? Thatโ€™s ridiculous. So in a startup, youโ€™re learning, and youโ€™re iterating, and even a pivot is because youโ€™re learning. Part of the thing that investors donโ€™t get, which drives me absolutely crazy, is the credit that a founder should deserve for what theyโ€™ve learned to get to where they are. Yeah, if youโ€™re at your product stage, you have learned a lot to get where you are. Thereโ€™s a shadow equity associated with the education of a founder as they become more seasoned in the business, understanding the industry.
There is tangible validation or evaluation shadow credit that should be attached to a founder. Because thereโ€™s something to be said for what youโ€™ve learned. You know, you got to a certain point, like, to your point earlier, you have a founder that gets to a point, they talk to the customers, and the customers are like, โ€œI donโ€™t like this so far,โ€ right? Thatโ€™s credit. Thereโ€™s some value to that, right? You now know that the customers donโ€™t like thisโ€”they like this. Thatโ€™s worth something, right?
So, you know, there is a huge amount of credit that needs to be given. Think about how long it took Tesla to get to the point where they started making all these cars, and how many lessons they learned, and then how the other electric car companies just picked up where they left off, right? Thereโ€™s credit in that, and it should be given to valuation just for that period of time that youโ€™re learning, right? As long as you stay with it, you deserve credit for that. And I mean financial credit, like capital credit.

Susan Sly 42:21
Yes, and quantifying it. Look at Canva, right?

Gregory Shepard 42:25
Seriously, 200โ€”

Susan Sly 42:28
She pitched 200 times and was rejected. And I know a lot of VCs kicked themselves because they didnโ€™t invest. And you know that what she learned in 200 pitches, right? And I am, to your point, Iโ€™m so grateful for the things Iโ€™ve learned in over 100 pitches and thatโ€”and Iโ€™ll probably pitch hundreds of times more. And itโ€™s really around knowing, if we could quantify grit, Gregory, right, like that gritty founder whoโ€™s able to be resourceful.
Like, look at your mom, and when your family was living essentially on a dirt pad, right? Like, yeah, gritty and resourceful. She was. Like how gritty and resourceful you were selling the rattlesnakes. And I think about, you know, how do we quantify grit? Because when I, right now, Iโ€™m investing, to your point, in myself, investing in my own startup, and bootstrapping, as well as Angel, which we closed our round. But looking at it and going, how can we quantify that? And if we could quantify it, Iโ€™d be very interested to look at the three- and five-year turnaround of those companies, right?
Thereโ€™s so many things to think about, but I know if anyoneโ€™s going to unpack that and quantify it, itโ€™s you.

Gregory Shepard 43:52
Oh, thank you so much.

Susan Sly 43:56
I have one more question for you. I mean, I could ask you so many, but okay, so marathon swimming, sharksโ€”before we went into the show, you were showing me what was behind you. Because, like, oh,

Gregory Shepard 44:18
Yeah, I have a ticket to space. Itโ€™s behind me there. Itโ€™s displayed. Because, I mean, Iโ€™m, Iโ€™m supposed to go in 20โ€”next year, but I donโ€™t know, because they have, you know, theyโ€™ll do a launch, and then theyโ€™ll have some stuff that they have to fix, or whatever, and then I have to wait six months.
So hopefully, I go next year. It goes outside of the different stratosphere, the different spheres: the Bose sphere, stratosphere, ionosphere. And it goes into right before deep space, so that Earth is still pulling; otherwise, we would float off into space.
And itโ€™s a capsule attached to a gigantic balloon the size of a football field. And you float up, and you get to see the view, and then you get to see the curvature of the Earth. You get to see the ball, you know, the Earth as a round thing. And then you kind ofโ€”I think itโ€™s kind of like a controlled crash, I guess, because itโ€™s just a bunch of parachutes that open as you fall, you know, back to Earth, and then a bunch of balloons open around it, and you kind of like, bounce around, I guess.
But Iโ€™m very excited about that. I really want to see the ultimate female, our mother, the Mother Earth, you know, from space, you know, see this beautiful goddess that is our home, you know, floating around in this void. You know, I just think itโ€™s going to be so cool.

Susan Sly 45:48
I have to ask a fast follow-up question, because now with your answerโ€”so my friend James suggests I read A Case for Mars, and so Iโ€™m audio reading it while I run. And James is, you know, heโ€™s very friendly with some of the folks who are working on this concept of colonizing Mars. So, would you go live on Mars?

Gregory Shepard 46:13
Hell no. I mean, I think, like, hereโ€™s how I feel about it: we should be taking care of our own planet. If Mars was a state, nobody would live there, you know? There are some states that look like that, and nobody lives there, right? Itโ€™s like, you know, I mean, itโ€™s, itโ€™s a prettyโ€”you, you would have to be okay with being indoors all the time, you know?
Like, if youโ€™re somebody that lives in malls, or maybe somebody that lives in a super cold place in the winterโ€”well, even those people, like in Canada, they have all these tunnelsโ€”even that, you know, when the summer comes and the spring comes, theyโ€™re outside. So youโ€™d have to really like to live indoors to live there, and I like to be outside. So no way.

Susan Sly 47:05
Well, yeah, so if, if thereโ€™s ever an algorithm to be built on the deterministic possibilities, and I will, Iโ€™ll reach out to you, because we need to have the counterargument. I personally, I would go if it somehow benefited the people that were going in service. If thereโ€™s one of the things I said is whoever goes to Mars, letโ€™s not just think of it like a legion of young people to go colonize the planet, like bringing people who have wisdom, to your point, like founders, who have lived through, yeah?

Gregory Shepard 47:44
Founders, scientists, doctors, youโ€”

Susan Sly 47:48
Know, yes, philosophers, right, yeah. Philosophers,

Gregory Shepard 47:51
Definitely.

Susan Sly 47:52
Yeah. So, so you heard it here first. Gregory is Mars. Is not the next frontier. This is not an episode of Star Trek, and weโ€™re not going frontier, but space is the next frontier. And unfortunately, James T. Kirk couldnโ€™t be here today, but Gregory, I love you so much, and I mean that sincerely with all my heart. Thank you for the gift that you continue to give. And Iโ€”I rarely ever say this, because itโ€”it has to be true if Iโ€™m going to say it. I love this book, and I think everyone needs to read this book. And I am so grateful forโ€”for just knowing you and having you in my life. So thank you.

Gregory Shepard 48:40
That is so sweet. And same, same. And I really, really mean that. And I donโ€™t know, I donโ€™t know how to say thank you for so much kindness outside of that. Itโ€™s, I canโ€™t find the right words, but thank you so much, and Namaste, youโ€™re the same.

Susan Sly 49:00
Namaste. Iโ€™ll share with you in French a good parting is je resume.com. Means I like you. I love you. What more do you want?

Gregory Shepard 49:12
Ah, I want to learn that. Youโ€™ll have to send me that. Iโ€”you said it so fast that Iโ€”you know, Iโ€™m not as smart as you, I guess, but thank you so much.

Susan Sly 49:23
Oh, youโ€™re way smarter, my friend. Well, everyone, first and foremost, wherever you are in the world, on behalf of Gregory and myself, I hope that todayโ€™s show has been impactful. We would love a five-star review. Share the show. Tag the show. Buy Gregoryโ€™s book, The Startup Life Cycle. Go buy it if you already have it. We want a great review on Amazon. Do a video review, because those get more impact. And thank you again for being a listener of the show. God bless, and I will see you in the next episode.
Hey everyone. I hope you loved that episode with Gregory Shepard. And if you did, please share it on social. Tag me. Give us a five-star review. I would love that. I am back at the podcast after losing my dad.
And I also wanted to invite you to check out my latest venture, thePauseโ„ข (www.thepause.ai). Who is this for? Itโ€™s for any woman navigating perimenopause and menopause, whether she got there because of surgery or natural menopause. Whatever it is, when you download the app, you will be able to gauge your stage. Answer a few questions, and you will know what stage of perimenopause or menopause you are in.
We have an AI, 24-hour coach. Her name is Harmony. Sheโ€™s there to ask questions, answer questions, give you meal plans, um, help you through some challenging timesโ€”whatever it is you need, 24/7. Our app is gamified. It is fun. And on top of everything, we are wearable-enabled. So if you connect your wearable device, we will be able to give you your daily resilience score. So youโ€™re gonna know, should I push it today? Should I not push it today? We are getting rave reviews, and we are just getting started, so check it out in the App Store. Just search thePauseโ„ข Menopause App, and you will find us.
So with that, thanks for listening to the show, and I will see you in the next episode.

This transcript has been generated using AI technology. There may be minor errors or discrepancies in the text.
The opinions expressed by the guests on this podcast are their own and do not necessarily reflect the views of the show or its hosts.

Susan Sly

Author Susan Sly

Susan Sly is considered a thought leader in AI, award winning entrepreneur, keynote speaker, best-selling author, and tech investor. Susan has been featured on CNN, CNBC, Fox, Lifetime, ABC Family, and quoted in Forbes Online, Marketwatch, Yahoo Finance, and more. She is the mother of four and has been working in human potential for over two decades.

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