Are You A Business Builder?
The Entrepreneurs No One Is Talking About
Today, we're excited to share a collaborative post we wrote with Kim Weiss and Vidya Dinamani, two of our close friends, who are co-investors, expert operators, and examples of “Business Builders” as defined below. We all work together to build durable and meaningful companies. They bring decades of early-stage expertise to help our pre-seed companies build stronger foundations and grow with greater clarity from the start.
After a recent session with an entrepreneur in our portfolio, the four of us began discussing the different types of entrepreneurs we've encountered. Kim suggested we write about it, and so here we are! We hope you enjoy our reflections.
Founders vs. Builders: An important distinction
Say the word “entrepreneur,” and most people picture the same cliche: Young, tech-savvy, venture-backed. Scaling fast and aiming to exit big.
Known as the Startup Founder, this is Silicon Valley’s poster child which has been amplified over the years. Up until now it’s been treated as the only legitimate mold. But this profile was built for a particular kind of founder to serve a specific type of capital.
In our experience as investors and entrepreneurs, we’ve seen a different type of entrepreneur that we like to work with. We refer to them as the Business Builder, they are steady and methodical and quietly create companies that last.
While both types are innovative, bold, and vital contributors to the economy, they operate with very different mindsets, intentions, and definitions of success.
Why the difference matters
The terms “Startup Founder”, “Entrepreneur”, and “Business Builder” are often used interchangeably, but they shouldn’t be.
Without differentiation, the high growth playbook is pushed onto every entrepreneur, which turns out to be more systematic than entrepreneurial. We’ve seen this lead to a lot of confusion including Business Builders chasing funding they don’t need, striving for speed over sustainability, and questioning their own instincts.
Startup Founders driven by the “startup model” may achieve rapid growth and secure significant funding, but by follow the system, they stop thinking for themselves. Ironically, the “startup model” can stifle real innovation.
Business Builders, on the other hand, focus on early profitability. This focus often leads to a deeper understanding of the market and a stronger foundation for future expansion. While the returns may not be as explosive at first, this predictability allows for significant long-term value creation.
We need the ecosystem to evolve
Most of the entrepreneurial ecosystem is designed to support Startup Founders. From accelerators to angel investors to funds, the common image of success is a well funded unicorn. That’s clearly not the only path, and often times not the best path either.
At Crescent Ridge, we’ve been asking: What would it look like to create an ecosystem that supports Business Builders?
This doesn’t just require capital, it is also dependent on the right contributors and partners. We have been working with others who share this vision including strategic thinkers (like Vidya), seasoned entrepreneurs (like Kim), and other aligned investors who all bring the grounded expertise Business Builders need.
We believe it’s time to build a new model, one that offers:
Smaller, more flexible, experienced capital (in traditional venture, the early pre-seed stage is mostly dominated by unsophisticated capital)
Mentorship from people who’ve built profitable companies
A bespoke approach based on the entrepreneur’s stage and needs
Support that respects independence, not just scale
That’s exactly how we work with entrepreneurs, and we are slowly assembling an ecosystem of aligned capital, operators, advisors and service providers who think this same way.
Are you a business builder or a founder?
It’s crucial to understand which path you’re on, and more importantly, to make that choice consciously.
Ask yourself:
Do I care more about sustainability than speed?
Would I rather own a business than raise capital endlessly?
Am I solving a real-world problem right now, not just pitching a future vision?
If yes, you might be a Business Builder, not a Startup Founder.
💥 Let’s build something better, together.
Collaboration is essential to fund and create companies led by Business Builders. If you’re looking for help and funding and want to learn more about our unique way to build companies, reach out. We’d love to connect. Fill out Crescent Ridge’s intake form so we can get to know you better
Or just comment below, we’d love to connect.
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