Bengaluru: The Shift Towards Hiring Experienced Professionals in Startups
In the fast-paced world of startups, a noticeable shift is occurring as more and more companies move away from the “growth at all costs” mentality to focus on building sustainable and profitable businesses. This change in mindset has led to a growing trend of startups hiring older, more experienced professionals for key leadership positions.
Empowering Corporate Success with Experienced Leaders
This shift towards hiring experienced professionals is not just a mere trend but a strategic move that instills confidence in investors and markets. Having experienced leaders on board is seen as a sign of stability and potential success, which can be crucial for startups gearing up for public listings.
Anuj Roy, managing partner of Fidius Advisory, highlighted the increased demand for senior professionals in functions such as finance, compliance, legal, and marketing. These individuals bring a level of discipline and a structured approach that can be invaluable as startups mature and face new challenges.
The Role of Emotional Maturity in Leadership
Startups are now recognizing the importance of emotional maturity and experience in leadership roles. While tech and product roles still tend to skew towards younger professionals, there is a growing acceptance of hiring older individuals for CXO positions. This shift is driven by the need for seasoned professionals who can navigate longer business cycles and bring a level of maturity to the table.
Venture Capital Backing Experienced Talent
Padmaja Ruparel of Indian Angel Network pointed out that VC funds investing in early-stage startups understand the importance of experienced talent in filling leadership gaps. While young founders may have innovative tech solutions, they often lack the business acumen needed to scale effectively. Bringing in experienced executives can help build a strong foundation, mentor the team, and guide founders through challenging situations.
Business Benefits of Hiring Experienced Executives
Varun Chopra, cofounder of Eduvanz, emphasized the value of experienced executives in regulatory and compliance functions. These senior hires may come at a higher cost but bring invaluable skills in implementing strategic vision and driving operational efficiencies. Additionally, their industry knowledge and crisis management capabilities can be crucial for a startup’s success.
Preparing for Greater Market Exposure
As startups mature and consider expanding their shareholder base, the need for experienced professionals becomes even more apparent. Utham Gowda, CEO of Captain Fresh, highlighted the importance of hiring seasoned professionals like Mathew George to ensure compliance and financial strategy are in place as the company prepares for increased market scrutiny.
The Changing Landscape of Startup Leadership
Even startups promoting internal hires to top roles are opting for more experienced professionals. Nalin Negi, CEO of BharatPe, and Kamaldeep Singh, CEO of DealShare, are examples of this shift towards hiring seasoned executives. This change in hiring practices reflects a broader recognition within the startup ecosystem of the value that experienced professionals bring to the table.
