Leaders Have Been Taking Communication Seriously

Matt Preuss
Marketing Manager
Unlock your investor relationships. Try Visible for free for 14 days.
Start your free trial

Naturally, communicating when times are tough is intimidating. No one likes to share what is potentially bad news. However, when times are tough it is more important than ever for leaders to communicate with their stakeholders.

Loads of VCs and founders have written about the importance of communication during a crisis over the past few weeks:

“First [of six disciplines for challenging times], transparent communication… There is no better example than Winston Churchill. As you articulate communication plans, speak with transparency, candor, and gravity.” — Tomasz Tunguz in Six Startup Disciplines for Challenging Times

“When people get Happy Talk instead of Hard Talk, it doesn’t reassure them. In fact, it does the opposite: It causes them to question the credibility of their leaders, which heightens their anxiety and makes them feel rudderless.” — David Sacks in Happy Talk Versus Hard Talk

“Culture should be a priority. And today it is more important than ever. For the amount of time we spend working it should be positive, enjoyable, challenging in a good way and everyone there should feel connected to the company. Happy people make for happy atmospheres regardless of the hard work being done.” — Joanne Wilson in Culture is Important Now More Than Ever

“Communicate, communicate, communicate. It is even more important in a remote environment.” — Seth Levine in Tips For Working from Home From The Foundry Network

“Regardless of the times, entrepreneurs should send a weekly email update to their constituents — employees, advisors, mentors, and investors. People want to know what’s going on. People want to help. Regular email communication is the most repeatable, and scalable, method.” — David Cummings in Weekly Communication

“Key learnings – a) understand and optimize your cash position b) increase communication with team, investors and customers. More the better. c) organize around your customer – shift resources to help them. d) look for opportunities that others won’t see e) stay optimistic!” — Scott Dorsey on Key Learnings from Leading Through 2008 Crisis

Everyone can come out and say that now is the time to communicate but that does not mean everyone will do so. Communicating when times are tough is easier said than done.

Considering our bread and butter is investor and stakeholder communications, we decided to take a look at our data and see if leaders are in fact stepping up during these tough times. The results? Startups and leaders and taking communication incredibly seriously.

First, we took a look at Update recipients by month:

This chart is simply the total number of Update recipients by month. Clearly March has been our best month to date. It is refreshing to see leaders and founders doubling down on communication. So how are the recipients receiving the Updates?

Very well. The chart below is number of Update Reactions, our version of a thumbs up/like, by month:
The result? Investors, team members, and other stakeholders are trying to be as supportive as possible. It is incredible to see leaders double down on communication and their stakeholders pass along support.

Leaders who can step up now will ensure that their team, investors, and other stakeholders are at ease. Plus, they’ll position themselves for success when we get through the current crisis. As Naval Ravikant wrote, “Leadership in the coming months, at every level, is the audition to lead in the coming years.”

If you are ready to get an Update out to your investors or team, start your Visible trial here.

You may also enjoy:
Product Updates
Product Update: Turn Emails Into Insights With Visible AI Inbox
Structured data. The holy grail of business intelligence. Structured data unlocks a realm of possibilities, from setting benchmarks to enhancing decision-making processes. Yet, in the venture capital landscape, accessing reliable, structured data remains a formidable challenge. This is precisely why we created the Visible AI Inbox. With unique features like automated metric detection and file parsing, the Visible AI Inbox stands out as a pioneering solution for portfolio monitoring. Discover how it can transform your data strategy by meeting with our team. Turning email into insights We believe that investors should spend time sourcing new deals and helping founders, not manually copying and pasting data from email 🙂. The AI Inbox helps aggregate insights that exist siloed in data, files, and updates across a venture firm. Updates from founders often stay stuck in one team member's inbox because it's too time-consuming to extract and enter the data and files into a more centralized repository. Visible AI Inbox makes this possible within seconds. Requests + AI Inbox = A Complete Picture The addition of the AI Inbox continues to advance our market-leading portfolio monitoring solution. The pairing of Requests + the AI Inbox will give investors a holistic view of portfolio company performance across a fund. Visible continues to be the most founder-friendly tool on the market. We’ll continue to build tools in existing workflows where both founders and investors live every day. How Does it Work? Visible AI Inbox works in three simple steps. Forward emails to a custom AI inbox email address Visible AI automatically maps data and files to portfolio companies Investors can review and approve content before it is saved From there, dashboards, tear sheets, and reports are all automatically updated on Visible. Learn more about how Visible AI Inbox can streamline workflows at your firm by meeting with our team. FAQ Will this be available on all plans? Visible AI Inbox is only available on certain plans. Get in touch with your dedicated Investor Success Manager if you want to explore adding this to your account. How is Visible addressing privacy and security with Visible AI Inbox? No data submitted through the OpenAI API is used to train OpenAI models or improve OpenAI’s service offering. Visible AI Inbox leverages OpenAI GPT 4 and proprietary prompts to extract data in a structured way and import it into Visible. If you’re uncomfortable with utilizing OpenAI to optimize your account, you can choose not to utilize this feature. Please feel free to reach out to our team with any further questions. These processes adhere to the guidelines outlined in Visible’s privacy policy and SOC 2 certification. Visible AI Inbox Best Practices We'll be sharing best practices for how investors are leveraging Visible AI Inbox in our bi-weekly newsletter, the Visible Edge. Stay in the loop with best practices and product updates by subscribing below:
Metrics and data
[Webinar] VC Portfolio Data Collection Best Practices
Customer Stories
Case Study: How Moxxie Ventures uses Visible to increase operational efficiency at their VC firm
How to Start and Operate a Successful SaaS Company