The Twenty Minute VC (20VC): Venture Capital | Startup Funding | The Pitch cover image

20Growth: The Six Channels Startups Need to Dominate to Grow, Why the Best Growth Talent Never Comes from Marketing or Product, Who and How to Hire Growth Leaders and Teams and Why in a World of AI, Growth is More Science than Art with Matt Lerner

The Twenty Minute VC (20VC): Venture Capital | Startup Funding | The Pitch

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Exploring Growth Loops and Team Structure in Startups

A growth loop in startups refers to any positive feedback loop in the business that continues to run itself even when not actively pursued. This loop can be a referral loop, a financial loop like a profitable ad spend, or a network effect loop. Startups should identify and focus on doubling down on these growth loops to drive success. In the early stages, the entire company becomes the growth team, with the founder heavily involved. As the company grows, the growth team should stand outside of core functions but collaborate closely with them, requiring good relationships and cross-functional efforts. When hiring for growth, the key mistake is being overly impressed by impressive CVs, as true growth experts are rare and may not be easily attracted.

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