{"id":278762,"date":"2025-07-28T17:52:12","date_gmt":"2025-07-29T00:52:12","guid":{"rendered":"https:\/\/jthelander.com\/?p=278762"},"modified":"2025-07-28T17:52:12","modified_gmt":"2025-07-29T00:52:12","slug":"corporate-venture-capital-compensation-cvc-units","status":"publish","type":"post","link":"https:\/\/brightturn.io\/?p=278762","title":{"rendered":"Successful CVCs Stay Ahead of the Innovation Curve"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">&#8220;The average lifespan of a Fortune 500 company has dropped from 61 years in 1958 to less than 18 today.&#8221; This statistic shocked us when our upcoming CapLander podcast guest, Mark S. Brooks shared it with us. But this shorter lifespan doesn&#8217;t mean the end of corporate venture capital firms &#8211; not by a long shot!<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In fact, innovative CVC Units, ones who really &#8220;catalyze transformation,&#8221; as Brooks wrote in a recent&nbsp;<a href=\"https:\/\/globalventuring.com\/corporate\/cvc-advice\/end-corporate-venture-capital\/\" target=\"_blank\" rel=\"noreferrer noopener\">article<\/a>, work with leaders to reshape industries. &#8220;The best CVCs are powered by leaders obsessed with ground truth and curiousity. They meet founders. They explore edges,&#8221; Brooks wrote.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Make sure you&#8217;re&nbsp;<a href=\"https:\/\/open.spotify.com\/show\/5ciSQB3wkQUDCm7Np05Bs3?si=8328764c5bea4f5f\" target=\"_blank\" rel=\"noreferrer noopener\">subscribed<\/a>&nbsp;to the CapLander podcast so you don&#8217;t miss an episode.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Recent data from J.Thelander Consulting shows that start-up CVC Units may have growing pains, but once they pass the seven-year mark, corporate venture capital firms are showing strength.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>How long has your CVC Unit been in business?<\/strong><\/h3>\n\n\n\n<figure class=\"wp-block-image img-border\"><img decoding=\"async\" src=\"https:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/91bff70b-9d52-42d9-dc1b-f839d967c0ad.png\" alt=\"How long has the current CVC unit been in business?\"\/><\/figure>\n\n\n\n<p class=\"has-text-align-left wp-block-paragraph\"><strong>Key takeaways:<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-image alignleft size-full is-resized\"><a href=\"http:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/bullet-swirl.png\"><img decoding=\"async\" src=\"http:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/bullet-swirl.png\" alt=\"bullet\" class=\"wp-image-278614\" style=\"width:28px;height:auto\"\/><\/a><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">CVC Units in business 1 to 3 years have gone slightly down since 2022.<\/p>\n\n\n\n<figure class=\"wp-block-image alignleft size-full is-resized\"><a href=\"http:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/bullet-swirl.png\"><img decoding=\"async\" src=\"http:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/bullet-swirl.png\" alt=\"bullet\" class=\"wp-image-278614\" style=\"width:28px;height:auto\"\/><\/a><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">Around one quarter of CVCs have been in business 4 to 6 years as of 2025, a significant decline since 2022.<\/p>\n\n\n\n<figure class=\"wp-block-image alignleft size-full is-resized\"><a href=\"http:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/bullet-swirl.png\"><img decoding=\"async\" src=\"http:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/bullet-swirl.png\" alt=\"bullet\" class=\"wp-image-278614\" style=\"width:28px;height:auto\"\/><\/a><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">The number of CVCs in business 7 to 9 years and 13+ years has increased, while those in business 10 to 12 years decreased slightly.&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-image alignleft size-full is-resized\"><a href=\"http:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/bullet-swirl.png\"><img decoding=\"async\" src=\"http:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/bullet-swirl.png\" alt=\"bullet\" class=\"wp-image-278614\" style=\"width:28px;height:auto\"\/><\/a><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">Our data suggests that there&#8217;s an increasing amount of closures among younger units while older, more established units are staying afloat.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>One of the ways CVC Units can stay innovative is with their compensation.&nbsp;<\/strong><\/h3>\n\n\n\n<figure class=\"wp-block-image img-border\"><img decoding=\"async\" src=\"https:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/c8cd0a12-d554-e195-94ad-2110ce0f7850.png\" alt=\"What are the other incentives in addition to base pay and cash bonus?\"\/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Key takeaways:<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-image alignleft size-full is-resized\"><a href=\"http:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/bullet-swirl.png\"><img decoding=\"async\" src=\"http:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/bullet-swirl.png\" alt=\"bullet\" class=\"wp-image-278614\" style=\"width:28px;height:auto\"\/><\/a><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">Newer CVC units (6 years or less) use traditional carried interest versus shadow\/phantom\/synthetic carry (SPS).<\/p>\n\n\n\n<figure class=\"wp-block-image alignleft size-full is-resized\"><a href=\"http:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/bullet-swirl.png\"><img decoding=\"async\" src=\"http:\/\/jthelander.com\/wp-content\/uploads\/2025\/09\/bullet-swirl.png\" alt=\"bullet\" class=\"wp-image-278614\" style=\"width:28px;height:auto\"\/><\/a><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">Firms who have been around for more than 7 years tend to use SPS carry more than traditional carry.<\/p>\n\n\n\n<p class=\"has-text-align-center btn-post wp-block-paragraph\"><a href=\"https:\/\/open.spotify.com\/show\/5ciSQB3wkQUDCm7Np05Bs3?si=8328764c5bea4f5f\" target=\"_blank\" rel=\"noreferrer noopener\">Subscribe to the CapLander podcast to hear our upcoming episode<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;The average lifespan of a Fortune 500 company has dropped from 61 years in 1958 to less than 18 today.&#8221; This statistic shocked us when our upcoming CapLander podcast guest, Mark S. Brooks shared it with us. But this shorter lifespan doesn&#8217;t mean the end of corporate venture capital firms &#8211; not by a long [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[6,3],"class_list":["post-278762","post","type-post","status-publish","format-standard","hentry","category-newsletter","tag-cvc","tag-newsletter"],"_links":{"self":[{"href":"https:\/\/brightturn.io\/index.php?rest_route=\/wp\/v2\/posts\/278762","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/brightturn.io\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/brightturn.io\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/brightturn.io\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/brightturn.io\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=278762"}],"version-history":[{"count":0,"href":"https:\/\/brightturn.io\/index.php?rest_route=\/wp\/v2\/posts\/278762\/revisions"}],"wp:attachment":[{"href":"https:\/\/brightturn.io\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=278762"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/brightturn.io\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=278762"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/brightturn.io\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=278762"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}