Want to Break Into VC? Try CVC!

Why corporate venture capital offers an accessible career path

There are three compelling career reasons for job seekers to consider opportunities in corporate venture: 1) there are a large number of jobs being created in the field, 2) exposure to corporate leadership that improves your value as a venture capitalist, and 3) acquisition of multiple skills that can create attractive options for career advancement in venture capital and in other roles, too.

One of the main roles of a venture capitalist is to help startups develop strategic relationships that create distribution, positive press, follow-on financing, and ultimately liquidity options. Where do these strategic relationships come from? Many times, VCs must take years to build relationships with executives at large corporations.

So it stands to reason that working inside a corporate VC, where you will build hands-on relationships with senior executives in your industry, can make you a better investor.

As a result, when you’re on a CVC team you’re also in the position to offer startups more than just capital. A corporate investor can bring:

Corporate VCs may also able to use in-house resources to diligence investment opportunities. Corporate investors tend to be industry-focused, and domain experience can lead to better investment decisions. As our colleague Eric Budin recently wrote in our Risky Business blog “It’s Never Too Early,” a corporation’s ability to run a commercial pilot with a potential investment can be one of the best forms of diligence. These relationships can pay off throughout your career as a venture capitalist.

Many junior roles in the financial world are designed to be “two-year-and-out” programs, but this isn’t necessarily true in corporate venture capital. A corporate environment can provide more opportunities for training, with established systems to develop and retain talent. CVC may offer more room for promotion and job exploration because in addition to the team that directly manages the venture fund, there are usually multiple business units and other departments that are deeply involved in the program. For someone considering career progression, a corporate fund can be a great springboard to explore different parts of the venture world.

Another draw of working in CVC is the opportunity to advise senior executives on corporate strategy and overall digital transformation. The strategy of a corporate venture arm typically intertwines with the company’s overall roadmap, so CVC investors must develop a deep understanding of the broader needs and priorities of the organization. At Touchdown, for example, we frequently speak to dozens of operating executives and company leaders to develop an investment thesis for our corporate partners. It’s an exciting opportunity to help drive a company’s innovation strategy while serving the company’s broader needs, and may present additional opportunities for career advancement.

Unless otherwise indicated, commentary on this site reflects the personal opinions, viewpoints and analyses of the author and should not be regarded as a description of services provided by Touchdown or its affiliates. The opinions expressed here are for general informational purposes only and are not intended to provide specific advice or recommendations for any individual on any security or advisory service. It is only intended to provide education about the financial industry. The views reflected in the commentary are subject to change at any time without notice. While all information presented, including from independent sources, is believed to be accurate, we make no representation or warranty as to accuracy or completeness. We reserve the right to change any part of these materials without notice and assume no obligation to provide updates. Nothing on this site constitutes investment advice, performance data or a recommendation that any particular security, portfolio of securities, transaction or investment strategy is suitable for any specific person. Investing involves the risk of loss of some or all of an investment. Past performance is no guarantee of future results.

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