The Mindful Investor with Guy Tolhurst
Guy Tolhurst is an accidental entrepreneur, by his own admission. But, his focus on being a mindful investor is helping change the way investors behave. Yes, they want returns, but mindfulness is all about making sure the entrepreneur can cope.
If you are planning to take on external capital, is it going to be debt or equity? With equity you relinquish control and debt you are putting a potential noose around your neck.
Entrepreneurs are everywhere. That’s good. It is precisely these people who will create future prosperity for the people in our economy.
100 Entrepreneurs were interviewed by Guy. The results of these conversations were captured in his book: 100 Stories of Growth
Importantly, these stories delved into the problems not just the successes of these entrepreneurs. How had they grown their businesses? And, how had it impacted their mental health?
Guy discovered that lots of entrepreneurs had been suffering in silence about their mental health. His interviews turned into impromptu therapy sessions. They wanted MORE SUPPORT from the investment community.
The Concentric Circles of Support
Entrepreneurs can become very isolated very quickly. Imagine 3 concentric circles with the entrepreneur sitting right in the middle.
They are looking for buy in from each set of people…
- When they start their business, they may look to their family and friends for support. Am I crazy? Should I be starting this business? How do you feel about me biting my job? Risking our security?
- They also ask their potential employees. Do you want to follow my vision and come and work for me?
- And at some stage, they might go out to speak to investors.
But when things start to go wrong, the support from each of these groups is difficult to get. You don’t want to admit things are going wrong.
You need a support group OUTSIDE those 3 groups. Peer groups.
Guy wants investors to be responsible with their capital. Are they being responsible with their investment?
Mental health is a major issue for entrepreneurs. You cannot just fix it. It is about a cultural change in the investing industry. That’s why Guy developed FVE key principles of what makes a mindful investor.
Bias exists in investing. Female founded teams get less funding. Also, they are more likely NOT to go looking for funds.
Unless you give people a framework and roadmap for change. He will have a Kite mark and accreditation for Mindful Investor. This also the investment industry to measure itself.
These are softer skills.
With lots of capital around, it is getting handed out readily. So if you are not going to be a mindful investor, what kind of investor are you going to be?
Example: Human Capital
One of the stories in Guys book. The entrepreneur who found that it was his team’s fault! They were the wrong team for his business.
A very difficult place to be. Mentally.
Top Tip on Tech for Mindfulness?
- no notifications at all. Turn them all off.
Do You Know Who is in Your Support Network?
- first, second or third removed people
- Supper Club for founders of growth businesses
- Weare360 – circles for founders.
- Online Slack community delivered by Mindful Investor – financial capital and emotional capital.