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Magazine
IN THE
DRIVER'S SEAT
Kelley Earnhardt Miller, Co-Owner of JR Motorsports, Talks NASCAR and Legacy
Summer 2019
CONTENTS
1 L E T T ER 14 B US INE S S & INV E S T ING
A Letter to Our Readers Diana International Impact Day:
Unlocking the Potential of Women
2 F E AT URE Entrepreneurs
In the Driver's Seat: A Conversation
with Kelley Earnhardt Miller 16 B US INE S S & INV E S T ING
Enhancing Board Effectiveness
8 F AM I LY 18 F IV E QUE S T IONS W IT H...
Angling for Parity in Fly Fishing:
Interview with Jackie Kutzer and Lorrie Gordon
Christine Atkins, Co-Leaders of
20 S POT LIG H T
2
Orvis 50/50 On the Water
Inside BBH
12 B Y T H E NUMB E RS
Scaling the Funding Gap
8 12 16
Magazine
CONTRIBUTORS
Kathryn George
14
Adrienne Penta
Kerri Mast
Beth Milkovits
Anne Warren
Kaitlin Barbour
Ivan Pirzada
Lorrie Gordon
Next Generation EXECUTIVE EDITOR
Summit Adrienne Penta
18 20
EDITOR
Kaitlin Barbour
DESIGN
for college juniors, seniors and recent college graduates
BBH Creative Services
June 3-6, 2019
Brown Brothers Harriman I 140 Broadway, NYC
independence and business acumen in young adults. We will cover topics including
| LETTER
A LETTER TO OUR READERS
In this issue of Women & Wealth Magazine, we focus on women who are pushing for change in some
unexpected places: NASCAR and fly fishing! We also spent time with women and men who are making
great strides in leveling the playing field in technology, entrepreneurship and board leadership. Here’s
to these catalysts in all corners of industry and sports!
In our feature article, we sit down with Kelley Earnhardt Miller, co-owner of JR Motorsports, to discuss
how NASCAR started with local families and evolved into a sport dominated by family businesses.
She spoke to us about her views on succession, legacy and the role of women in racing.
Kathryn George
Chairwoman
The Orvis Company has long been synonymous with high-quality outdoor sporting equipment,
particularly fly fishing gear. In 2017, the 160-year-old family-owned company launched an ambitious
initiative called 50/50 On the Water, which aims to introduce more women to the sport of fly fishing
and to create gender equity on the water. We recently met with Christine Atkins and Jackie Kutzer,
the women leading the 50/50 On the Water initiative at Orvis, to find out more.
This issue’s “By the Numbers: Scaling the Funding Gap” infographic, originally published in 2016, is
updated to illustrate the current state of the funding gap and highlight a few promising signs of change.
On June 5, 2019, Babson College’s Center for Women’s Entrepreneurial Leadership convened more Adrienne Penta
than 250 investors, accelerators, policymakers, researchers, founders and other disrupters dedicated Executive Director
to changing the landscape of financing women entrepreneurs. In “Diana International Impact Day:
Unlocking the Potential of Women Entrepreneurs,” we report on some key takeaways from the day.
What does it take to get on a board? The Center for Women & Wealth (CW&W) attended the Harvard
T.H. Chan School of Public Health’s two-day “Women on Boards: Getting on and Adding Value” program
to find answers to this question. One of the sessions, a panel moderated by Ellen Zane, CEO emeritus
of Tufts Medical Center, gave attendees the opportunity to learn from public and nonprofit company
CEOs and a private equity investor about what makes an effective board. The CW&W supports women
in the creation and manage-
Finally, in “Five Questions,” Lorrie Gordon, BBH Partner and head of technology, discusses the need ment of wealth. We seek to
for business leaders to be more fluent with technology, why the BBH Women’s Network is important create a dynamic and inclusive
to her and how BBH has changed during her tenure spanning the last quarter century. environment where women
can engage in conversations
We hope you enjoy this summertime edition of the magazine. If you would like to be more involved about wealth, family and
with the CW&W, please do not hesitate to contact us at cw&w@bbh.com. values.
We are committed to helping
Kathryn George Adrienne M. Penta women business owners
Chairwoman Executive Director and those with substantial
wealth achieve their financial
goals throughout the cycle
of wealth creation, transition
and preservation. BBH Private
Banking serves female clients
and their families through
three integrated products
and services: Private Wealth
Management, Corporate
Advisory & Banking and
Private Equity.
Summer 2019 | 1
| FEATURE
IN THE
DRIVER'S
DRIVER'S S
DRIVER'S SEA Kelley Earnhardt Miller, Co-Owner of JR Motorsports, Talks NASCAR and Legacy
By Kerri Mast
2 | Women & Wealth Magazine
SEAT
SEAT
AT
Located in a 66,000-square-foot facility in Mooresville,
North Carolina, also known as “Race City USA,” is the
home of JR Motorsports. For 18 years, this professional
racing company has been responsible for the business,
marketing and racing of Dale Earnhardt Jr. – one of
NASCAR’s most popular racers.
At the heart of the business is Kelley Earnhardt Miller,
co-owner of JR Motorsports. Under her leadership, the
company has won 44 series victories and had three
rookie drivers win five championships in the past five
years. She recently spoke with us about how NASCAR
started with local families and evolved into a sport
dominated by family businesses and shared her views
on succession, legacy and the role of women in racing.
Summer 2019 | 3
| FEATURE
To what do you attribute the signifi-
cant percentage of family businesses
in NASCAR?
Our sport is relatively young. It started
in the late 1940s with the moonshine
runners and evolved from there. A lot of
those racers had local roots in North Car-
olina, and their families started the sport
– the Allisons, the Pettys, the Earnhardts.
The teams are still family-oriented, but
What factors associated with the
there are kids in NASCAR families that
family ownership model promote
have not stayed in the business. For the
growth?
sport to evolve and grow, things need
JR Motorsports is a family business. The family environment promotes to change because team owners are
Tell us what it’s like to run a family growth because people want to carry aging out. We’re one of the younger
business. on the legacy of those that came before generations in the ownership model in
them. That’s one of the reasons Dale Jr. our series, but there are a lot of barriers to
Our family-owned business is a little dif-
and I wanted to have team ownership entry to get on the Cup side that prevent
ferent than others because Dale Jr. and
because there is the legacy of our family us from taking that leap.
I were thrust together at an early age
that we carry forth.
due to our parents’ divorce and my dad’s
Have you thought about succession?
career. We spent so much time together
What are some of the challenges
as siblings, with me being the mother We have thought about succession. Our
associated with the family ownership
hen. When we lost our dad in 2001, I business has been changing in the past
model?
came to work for Dale Jr. to help him with five years, but prior to that, our business
his career and start JR Motorsports. He Trying to balance the dynamic of being was built around Dale Jr. In the begin-
let me lead the business from behind the family-oriented versus business-focused ning, there wasn’t a lot of thought into
scenes, while he was the NASCAR athlete can be challenging. Sometimes family how we can keep this going if Dale Jr. is
and the face of the brand. members think that they should be not here because he is a necessary piece
treated differently or special. Having of it, being the athlete.
It was the natural progression of all the conversations, especially business con-
caretaking that I did for both of us during versations, that everybody may not be However, our business model has been
our childhood. It’s what I’ve been doing able to handle is another challenge. changing as the race team has taken
since I was a kid, so it doesn’t feel like I’m on a life of its own. It is important that
running a family business. JR Motorsports stands alone without
having to rely so heavily on Dale Jr., and
we need to start thinking that way.
4 | Women & Wealth Magazine
It has been reported that you were a great driver. What led
you to follow a different path?
My father founded a merchandising company in 1995, when I
was finishing my last year of school. I would work at the company,
go to class, get off on Fridays at 2 p.m. and race. Sometimes, I
would even race on Saturdays. Eventually, I had to make a choice
– was I going to race or work? It was different for my brothers,
“
The sport has changed, and
it’s more open to women.
Throughout my career, many
women have worked in racing,
especially in public relations and
Dale Jr. and Kerry, because they worked in the shops, so they
were able to work on their cars and take their cars racing, while
marketing roles, but not on the
I had a regular day job.
competition side of the business.
I often heard, “Kelley, the shop isn’t a place for girls.” Even while
I was racing, I was one of two girls who raced against all the
men. They didn’t treat you differently because you were a girl.
They didn’t give you breaks or anything like that, not that it was
necessary. It was just hard. You felt that you weren’t strong
”
enough, fast enough or good enough because you were a girl.
I wish I would have been able to drop everything for my racing
career, but it wasn’t set up to be that way. Looking back, know-
ing that we lost our dad and that I’ve done all these things with
Dale Jr. and run a business, I guess this is what it was set up for.
Have you seen more women join the racing world through-
out your career?
The sport has changed, and it’s more open to women. Through-
out my career, many women have worked in racing, especially in
public relations and marketing roles, but not on the competition
side of the business. Unfortunately, our sport is viewed from a
competition angle, so you don’t see all the women who are a
part of it.
There are female engineers, tire specialists and pit crew members
who all travel with the road crew on the weekends. Still, those are
small numbers when you think of the number of men working
in our sport. If you look at the competitors, upper management
or ownership, the number of women is minute. Overall, the split
is about 70-30 male-to-female.
Are you surprised that there aren’t more female racers?
It shocks me that there aren’t more women in the driver’s seat.
Danica Patrick was here for a bit. She wanted to race NASCAR.
We lobbied hard for her to come to JR Motorsports and race for
us. There are other female racers out there that can competitively
get it done.
With our sport being based on sponsorships, you would think
that there would be more female racers. It’s surprising to me that
the relationship between sponsors and female drivers has not
blossomed more. There are a lot of women racing in the lower
series – Saturday Night Racing. But it takes sponsorships and
money, obviously, to get into one of these cars. Women make
the majority of household buying decisions. I don’t know why
the companies haven’t put that together and gone after it with
their sponsorship dollars. They’re missing an opportunity to drive
female participation and reach a target audience.
Summer 2019 | 5
“ It’s all about winning, so we have put everything in
place and focus on winning races and championships.
We have a good group of people, and that’s how we
get it all done, but there’s no road map.
”
6 | Women & Wealth Magazine
In 2002, JR Motorsports competed locally. I think that it’s very important that personal
Now, the team has won three champion- values and business values align. I would
ships and 44 series victories. Tell us about think that for most people they do. It is just
this journey of going from a one-person the matter of whether they’re positive or
driver and shop to where you are today. negative.
When we got involved in racing, we were
You probably go about your business the
asked: What is the vision? What do you want
same way you go about raising your family
to do? We wanted to race model series. While
and living your life and being who you are,
we were doing that, Dale Jr. said, “Why don’t
in a positive way. I think that there are
we try to put a Busch car together?” When
people out there who negatively do that
we did that in 2006, it was much easier. I can’t
as well. I think the way you make decisions
imagine having that idea now and doing it,
reflects who you are at the core. I can’t imag-
because the cars are more sophisticated, and
ine running our business any differently.
the resources and people you need to put
it together are more complex. But we did it
Now that your brother, Dale Jr., is off the
then, so I guess it could be duplicated now.
racing track, will he be more involved in
the business?
It seemed that every year an opportunity
that made good business sense presented I’ve learned that the pressure of racing
itself. We’re running numbers all day long, and was so intense for Dale Jr., it was all he
they tell the true story about what we can and could focus on. In the last year, he’s been
can’t do. Being a four-car team is the best for more involved in conversations about the
us financially – we can spread out our over- business because now he has the mental
head. Once we made an investment to be a capacity to think about it. He loves it. He’s
four-car team, we had the cars, equipment, involved in the studio, and that’s something
parts and pieces that we needed to compete. that he would have never been able to
As long as we have the sponsorships to run participate in while racing. It’s nice to
four cars, it makes sense to keep doing it. have him involved in decisions from the
beginning and to create something with
It’s all about winning, so we have put every- his thoughts and vision along the way. It
thing in place and focus on winning races is energizing for me because I have been
and championships. We have a good group responsible for 99.99% of things that have
of people, and that’s how we get it all done, gone on in our business for a long time.
but there’s no road map.
What is your vision for the future of JR
Dale Jr. always wanted to give drivers a Motorsports?
chance to show their talent and move to the
I hope that we can continue to do what
next level. That is the premise of why we do
we’re doing and to race. It’s more difficult
this and what we build on with the younger
every year from the standpoint of sponsor-
kids that are in here driving. We have veterans
ships and financially making it all go around.
too because you need them both to make
it all work. We want to see people succeed. Watch Kelley Earnhardt Miller discuss
What Dale Jr. and I enjoy about being in
That’s what continues to drive us. continuing the Earnhardt racing legacy
the XFINITY Series is seeing these guys
achieve things that get them to the next on bbh.com.
How important is it that your personal
level. It’s not just our drivers; it’s our crew
values are aligned with your business’s
chiefs and our engineers. We have a lot of
values?
turnover, in a good way, where people go
I can’t imagine running my business different on to strengthen and grow their careers.
from how I run my life. Whether in business or
my personal life, I can only operate by making As long as we get enjoyment out of it and
good, strong moral and ethical decisions. I maintain this family environment, we’ll be
know there are people out there that treat here for as long as it financially makes sense.
the two differently, and it baffles me that they That’s what we get out of it – we get that
can make decisions that way. I can’t come to sense of family and the reward of providing
work and stand in front of our employees and opportunities for others to succeed.
ask them to do a job for me that I can’t come
in here and do myself.
Summer 2019 | 7
| FAMILY
angling for Parity
fly fishing
IN
8 | Women & Wealth MagazineInterview with Jackie Kutzer and Christine Atkins,
Co-Leaders of Orvis 50/50 On the Water
By Beth Milkovits and Anne Warren
The Orvis Company has long been synonymous with How is Orvis addressing these barriers to entry?
high-quality outdoor sporting equipment, particu-
CA: We started by focusing on three main areas because
larly fly fishing equipment. Mention of the company
it’s easy to go down too many paths. The first is educa-
evokes images of a crystal clear river and an angler
tion, and that includes access to resources. It’s not just
standing knee deep in the water casting a fly line in
about going to a class, but being able to go online and
hope of a rising fish. Traditionally, that angler has been
watch YouTube videos that offer tips and tricks from
a man. Orvis is working hard to change that. In 2017,
female instructors. We think access to education and
the 160-year-old family-owned company launched an
gear go hand in hand. We develop women’s gear that is
ambitious initiative called 50/50 On the Water, which
actually designed to fit a woman, so we're not shrinking
aims to introduce more women to the sport of fly fish-
and pinking it.
ing. We recently sat down with Christine Atkins and
Jackie Kutzer, the women leading the 50/50 On the
Water initiative at Orvis, to find out more.
50/50 On the Water seeks equal gender representa-
tion in fly fishing. How far do you have to go to reach
equality? What percentage of fly fishers today are
female?
Jackie Kutzer: It’s no secret that, historically, fly fishing
has been a male-dominated sport. Statistically, only
31% of the people who fly fish are female. Women have
been a part of fly fishing since the very beginning, and
we’re always trying to find ways to thank the women
who paved the way for us to get this far.
Christine Atkins: That statistic comes from the Recre-
ational Boating & Fishing Foundation’s (RBFF) annual
report. It’s something that we’ve been tracking for the
past six years. It is naturally going in the right direction;
The second is storytelling and imagery. We want people to Merchandise at the Orvis Retail
we’re just hoping to speed it up – to get to 50% faster.
be able to see themselves in the sport. For that to happen, Store in Manchester, Vermont.
we need to project images that they identify with. We’re
What obstacles prevent women from getting into fly
striving to do a better job with our still photography,
fishing?
videos, articles and the stories that we’re sharing.
JK: The biggest barriers are a lack of confidence and a bit
of intimidation. We can understand how from the outside The third is conservation; it’s central to the Orvis brand.
looking in, fly fishing can be intimidating. There are also It’s also a gateway for bringing women into fly fishing. I’d
concerns about personal safety, finding others to fish argue that women are nurturers by nature, and the idea
with, finding gear that fits and making the time to fish. of protecting resources is important to us. We think we
can use that to draw them in. And the flip side of that
is if we're putting more anglers on the water, we need
to make sure they're helping to protect the resources
so that everyone can continue to enjoy them.
Summer 2019 | 9| FAMILY
“ Women’s fly fishing clubs are popping up all over the
country as well. Social media has played a big part in
building the community and enabling women to see
how they could participate.
”
How did you get into fly fishing? Has Orvis partnered with other organizations on
the initiative?
JK: My short answer is, I fell in love with a fly fishing
instructor at Orvis. Now we’re married with a 6-month- JK: We’ve had partners across the entire industry since
old daughter. But really, eight years ago, I took a wom- the beginning. We’re continuing to work on building
en’s-only fly fishing school, taught by Molly Semenik, those relationships. Our most recent has been the RBFF,
a guide in the West. The feeling of seeing a room full whose annual reports we use to pull the statistics each
of women in a relaxed space and the comradery drew year. We’ve always worked hand in hand with Casting
me in – we’ve all kept in touch. At that time, I fell in for Recovery, Trout Unlimited and Orvis as a company
love with the form of the cast. I love being outside and too, not just for the initiative.
focusing on being in the moment.
CA: In August, we’re going to have a 50/50 On the Water
CA: I started fly fishing in college because of a guy, who Film Tour, in partnership with Costa, Smith, Patagonia,
is now my husband. I watched him cast one day, and, Yeti, Scientific Anglers and FisheWear. We’re all holding
I said, “I would really like to learn that.” Then I had the hands on this, and it’s going to be incredible. It’s pow-
opportunity to move to Vermont and get to know the erful for us all to be in this together.
folks at Orvis and at the fly fishing school. I would spend
my afternoons getting casting pointers, or I would go What tactics is 50/50 On the Water employing to
on the water with co-workers and ask tons of questions encourage more women to try fly fishing?
and be a sponge.
CA: If you are intimidated in the beginning and want
to be with other women when you’re learning, we
50/50 On the Water is an Orvis-led, industrywide
have women-only classes for you. We have a 50/50
campaign. Can you tell us why Orvis chose to be the
website where we share the stories, videos and pro-
leader of this campaign?
files of anglers of all different skill levels, and we have
JK: Orvis is naturally positioned to become a leader in an event finder.
this campaign. The company already has in place all
the necessary pieces to bring this initiative together. JK: Orvis can be your guide. We introduce people to fly
We offer fly fishing schools and host trips. We have an fishing through our FF101 program. You can figure out
online learning center for fly fishing and widely followed if you like it, and then you can take it to the next level
social media networks. – maybe take a women’s-only school or women’s-only
trips. We have all the pieces in place to help women
CA: We also put 15,000 students through our FF101 pro- through their fishing journey.
gram every year. We’ve been doing that since 2007-2008.
It’s established. From that perspective, it made it easier
for us to do this. We didn’t have to start from scratch.
But the catalyst was really Steve Hemkens, vice pres-
ident of rod and tackle. He comes from a family with
many brothers and sisters. He had the opportunity to
fish with Hilary Hutcheson, a phenomenal angler and
guide who owns a fly shop and is very tapped into
conservation in Montana. He came back and said,
“I just had an ‘aha’ moment with Hilary. I realized
that’s what it could be like if my sisters had fished
growing up – I could have had that with them.”
10 | Women & Wealth MagazineAnne Warren and Christine Atkins
catch a fish.
CA: In the past, the chances of running into another
woman on the water would be slim. Today, we can say,
“I’m going in the water today, and I want to make sure I
run into another woman angler (or fly fisher). I’m going
to make that happen.” Heather Hodson started a Face-
book group called United Women on the Fly that has
over 2,000 followers. She’s created a safe space where
you can ask questions and bounce ideas off each other
and ask to meet up with other anglers. Social media is
responsible for generating that community.
Are there other sports with similar initiatives to get
more women into the outdoors?
CA: We’ve been approached by folks in the cycling indus-
try. There’s going to be an event in Vermont in Septem-
ber, where participants will have the opportunity to do
a little mountain biking, and we’re going to teach you
how to fly fish.
In July, Outside Experience is doing an event in Chicago
with different activities, and we’re going to be there to
represent fly fishing. If you already understand that
there’s value in being outside, then we’re going to put a
rod in your hand and see if you like it.
How important is it to teach the next generation to
How have you seen the sport change in your lifetime? fly fish?
How much of that change do you attribute to Orvis?
CA: A by-product of bringing in more women to fly fish-
JK: In the eight years that I’ve been fly fishing, I’ve seen ing is that the sport naturally becomes part of what you
exponential growth at trade shows. There are groups do as a family. It’s something that you can do together.
of women who are coming for themselves, not being
dragged to the show by their significant other. You see JK: We see the evolution of the initiative organically
more women in the ads, posters and catalogs. You see it expanding to children and families and greater diversity
on the river. Women’s fly fishing clubs are popping up all and inclusion. I believe that it’s our social responsibility to
over the country as well. Social media has played a big part teach the next generation how to protect the outdoors.
in building the community and enabling women to see Fly fishing can be the catalyst that gets the next gener-
how they could participate. That’s why we focus on the ation outdoors and makes them appreciate the wonder
imagery and what we’re projecting as an industry. and awe of nature.
Jackie Kutzer and Christine Atkins discuss
the evolution of 50/50 On the Water.
Summer 2019 | 11| BY THE NUMBERS
SCALING T H E FUNDING GAP
TREADING A ROCKY TRAIL TO NEW SUMMITS OF SUCCESS
of U.S. companies
48% are at least 50%
owned by women
Approximately 12.3 million
businesses in the U.S. are
women-owned.
They generate nearly
$1.8 trillion in annual revenue
and employ more than 9.2 million.
12 | Women & Wealth Magazine84%
say access to
capital for women
entrepreneurs has
improved in the
last decade
increase in number
of women-owned
13% businesses applying
CAUTION for funding in 2018
AP
FUNDING G
31%
of women who
seek funding startups led by
are successful 34 African American
(2018)
women have
11
(2016)
raised more
than $1 million
of total venture capital
2.2% dollars are invested in
companies with
women founders
2.5x as many startups were
founded by African American
women in 2018 compared to 2016
23%
of women entrepreneurs
received an angel
investment in 2017
Sources: The 2018 State of Women-Owned Businesses Report, AMEX Open. “Meet the female founders behind 7 VC-backed unicorns”, PitchBook, March 2019.
“Funding For Female Founders Stalled at 2.2% of VC Dollars in 2018”, Fortune. Center for Venture Research 2017. “Report Shows 34 Black Women Have Now
Raised $1M+ VC Funds, Tripling 2016 Figures”, Forbes, June 2018. Women-Owned Business Study 2019, Biz2Credit. 2018 Women Business Owner Spotlight,
Bank of America.
Summer 2019 | 13| BUSINESS & INVESTING
Diana International Impact Day:
Unlocking the Potential of Women Entrepreneurs
By Adrienne Penta
14 | Women & Wealth MagazineAccording to “The Diana Report – Women Entrepreneurs 2014:
Bridging the Gender Gap in Venture Capital,” only 2.7% of all venture
capital-funded companies have a woman CEO, and 15% of all venture
capital-funded companies have one woman on the executive team.
Following its release, the report, which highlighted the challenges
that women face acquiring capital, garnered global media coverage,
“ By day’s end, Diana Impact Day
stakeholders committed to do their
part in ensuring that women entre-
preneurs are empowered to grow
interest from policymakers and over 1 billion views.
scalable businesses. From dissemi-
On June 5, 2019, Babson College’s Center for Women’s Entrepreneurial
Leadership convened more than 250 investors, accelerators, poli- nating content and dismantling bias
cymakers, researchers, founders and other disrupters dedicated to
changing the landscape of financing women entrepreneurs. to writing checks and celebrating
alternative sources of funding,
The Diana Project TM is an international community of scholars
dedicated to uncovering the data that will ultimately allow women
participants left the room ready
to take action.
”
entrepreneurs to experience venture creation and growth, impacting
economies and societies on a global scale.
– Susan Duffy, Executive Director of Babson’s Center for Women’s
Entrepreneurial Leadership and Co-Founder of Impact Day
Here is what people were talking about:
Pipeline Issues Rethinking the VC Model
Today, only a fraction of venture capital funding goes to The objective of many venture capital firms is to find unicorns.
women-led companies and people of color. What is contributing Instead of hunting unicorns, investors may want to look for
to this funding gap? The driver of the issue may stem from the zebras – high-growth companies that will make a return and
supply side of capital, where there is a lack of investor diversifi- help the ecosystem. Many entrepreneurs do not want to scale
cation. If the goal is to get more funding to women and people their business just to have to sell it. There is an opportunity for
of color, then women and people of color need to be on the the industry to design funds and capital structures (for example,
investor side funding entrepreneurs. flex equity and royalty financing) that work for entrepreneurs
while offering investors solid returns.
Barriers to Entry Tips for Pitching Success
Why don’t we see more women and people of color on the • L
ead Like You Know the Game: Be confident that you have
investor side? Some barriers that prevent them from investing a great idea that should be funded.
include:
• G
et Beyond “No” to “Yes”: You will get 99 “nos” before you
• Lack of Awareness: Many women are not familiar with angel get a “yes.” Keep going. Raising money is difficult.
investing. They don’t know other angels, and they don’t see
• L
ead with Your Story: Focus on pitching your story and
deal flow.
sharing your vision for your company’s future. Be dramatic.
• N
eed for Education: Angel investing is risky, and many inves-
tors must overcome the fear of making a big investment into
something new that has a high risk of failing. Resources and tools
Lasting Change
that will help investors learn about angel investing are needed.
The industry will change when we have more examples of
• A
ccess to Investments: Many angel funds have high min-
successful women-owned companies that catch the interest
imums and charge high fees, inhibiting individuals from
of venture capitalists. When investors see that they are missing
getting into early-stage investing.
opportunities by not investing in women, they will realize that
they must change their networks to find and get in front of
new entrepreneurs.
Summer 2019 | 15| BUSINESS & INVESTING
Enhancing Board Effectiveness
By Kaitlin Barbour
What does it take to get on a board? The Center for Women Qualities of New Board Members
& Wealth (CW&W) attended the Harvard T.H. Chan School of
Healthcare is going through tectonic change. A decade
Public Health’s two-day “Women on Boards: Getting on and
from now, the healthcare system will be unrecognizable from
Adding Value” program to get answers to this question. One of
the one we operate in today. That means humility is a very
the sessions, a panel moderated by Ellen Zane, CEO emeritus
important characteristic for board members because when
of Tufts Medical Center, provided attendees the opportunity
you think you know a lot, you may be wrong.
to learn from public and nonprofit company CEOs and one of
Brown Brothers Harriman’s private equity investors about what
It’s a balancing act. We want quarterbacks and coaches.
makes an effective board.
On one hand, we look for expertise – financial, clinical and busi-
ness – but we try to pick it at a level that is high enough that
Panelists
it’s strategic. We’re looking for strategic thinkers and leaders.
teve Schwartz, Ph.D., CEO
S
Brooks Automation As a private equity investor, I’m looking for a board that
can mentor the management teams and provide an experi-
ndrew Dreyfus, President and CEO
A
ence-based outside perspective.
Blue Cross Blue Shield of Massachusetts
I van Pirzada, Managing Director We’ll bring in new board members when we find skill set
Brown Brothers Harriman gaps with current management and/or current board com-
position. The companies we work with are typically at growth
inflection points, which create new challenges and opportuni-
Understand and Engage in the Business ties that may not be immediately recognized by management.
An effective board member can challenge the status quo in a
For a company of our size, with a market cap of $2 billion
constructive way.
and enterprise value $400 million, it’s different from a Fortune
500 board – our expectation is that each board member gets
Why Problems Between Board and Manage-
involved in the business. Our board members can tell you about
ment Teams Arise
the strategy of the company, recent acquisitions and all the
initiatives related to the semiconductor and life sciences busi- Sometimes directors bring their perspective to board dis-
nesses. They are not just doing committee work; they under- cussions but don’t realize they are there in an advisory capacity
stand and engage in the business. vs. as an operator. They are there to help inform the strategy,
not set or dictate it.
Focus on Diversity
If the management team does not view the board as
Eight and a half years ago, when I became CEO of Blue
advisory, they’ll be more reticent to bring issues to the table
Cross Blue Shield of Massachusetts, we had (not surprisingly
because then they’re worried about being exposed or having
given our not-for-profit history) what I would describe as a civic
somebody else take over their role. When we bring in an outside
board, comprising civic leaders who cared about the commu-
director, it’s important that we explain the director’s role to
nity and had varying degrees of business experience. At that
management – he or she is here to help, not take over your role.
time, we said that we were going to create a diverse business
board that still represents the values of the business and the
Importance of Committee Work
values of the community. Today, we have 14 board members,
and 60% are women and people of color. We may have one of It is really important that committee work is done before
the most diverse boards in the city of Boston and in the state. the board meeting, not at the meeting. At the reporting meeting,
I encourage everybody to dig into the committee work but to
remember that is not the job. It is one part of the job.
16 | Women & Wealth MagazineCreating the Bridge
Between Management
and the Investor:
The Private Equity Perspective
By Ivan Pirzada
The role of the private equity investor is to provide capital to
businesses and help those businesses grow and meet their
objectives. It also involves creating an environment that enables
the founder to grow the company to the next level. Therefore,
the board members that we look for at Brown Brothers Har-
riman Capital Partners (BBHCP) are individuals with skill sets
that are complementary to a company’s management team.
We focus on creating a board of independent, industry-focused
professionals.
Key takeaways for private equity board members:
• D
efine what your skills are. Don’t try to be all things to all
people so you can match with what a company may need
and what you can bring to the table and add value.
• R
ecognize that you’re the advisor to the company, not
an operator.
• R
ecognize that these companies are at an inflection point.
Identify areas where you can apply your experiences and the
skills you’ve developed in your own job to help in these more
entrepreneurial settings.
• B
e prepared to roll up your sleeves. Different from other set-
tings, private equity really requires members of their boards
to be hands-on mentors (whiteboard sessions), work with
management, help make informed decisions and ask the right
questions to create the right strategies.
• C
ommit to being the bridge between an investor and the
management team.
Summer 2019 | 17| FIVE QUESTIONS WITH...
LORRIE
GORDON
BBH Partner, Investor Services
➊ During your tenure at Brown Brothers
Harriman (BBH), you’ve held various posi-
tions that focused on the intersection of
business and technology, including the
global head of BBH Infomediary®, chief
development officer for information
technology and co-head of information
technology. You’ve discussed the need for
business leaders to be more fluent with
technology. How has BBH worked on
increasing the integration between the
business and systems?
Given the importance that technology plays
in financial services, everybody needs to be
at the table to help make the best decisions,
as opposed to technology getting involved
after the decisions are made. BBH has aligned
technology and business goals to ensure
there is more integration. Work has been
done to align the business and technology
teams from an organizational design and
a process perspective. We are leveraging
agile methodology and working together
in cohesive teams on projects. Our oversight
and operating committees include leaders
from both sides of the organization to bring
those functions together.
18 | Women & Wealth Magazine“
One of the biggest
challenges for the
technology industry
is to attract women.
Diversity and inclusion
is good for business,
and it is important for
people with different
ideas and skill sets to
be at the table."
➋ How can technology engage more
women? What have you seen work during
with fewer preconceived notions of how
things should work. Given the rapid pace
As much as I joined to pay it forward, I got
back at least as much as I put in. It allowed
your career? of change, it helps that I can step back and me to build out my own network at all levels
with less bias judge which changes we and helped me build my tribe and meet other
One of the biggest challenges for the tech-
should adopt, as well as feel freer to move women who continue to support me when I
nology industry is to attract women. Diver-
from how things have been done historically bump into challenges. It has been incredibly
sity and inclusion is good for business, and
to new ways that we can do things. rewarding and amazing to see how many
it is important for people with different
women and men at the firm volunteer their
ideas and skill sets to be at the table. For
time and make an effort to be involved.
that to happen, the industry needs to con-
vince women that there are exciting roles
➌ While working at BBH, you have
played a pivotal role in the BBH Women’s
for them and that technology can offer a Network. Why is the Women’s Network ➍ How have you seen BBH change since
you started working at the company in
great career path. Several organizations are important to you?
1994?
trying to attract women at younger ages,
I was one of the initial members of our first
including Girls Who Code and different When I started at BBH, we didn’t have cell-
Diversity and Inclusion Council. Ten years
STEM programs that are hugely beneficial. phones or email. We had a Telex machine in
ago, I joined as the co-chair of the Boston
Luxembourg. Today, the world is so intercon-
Women’s Network. At the time, I wanted to
I’m one of many examples of leaders at BBH nected and news travels fast. We are online
pay it forward to the younger generation and
who applied their business talent to a role 24/7, which is a tremendous change. It is even
create a support network for women across
in technology. That wasn’t a coincidence; more important that we think about how we
the company.
it was part of a thoughtful plan. The skills handle work-life integration because you
that I had – strong people management, could work 24/7 easily. How you manage
At a leadership level, BBH was looking for ways
organizational design, budgeting – were as that balance for yourself and for your team is
to advance our diversity and inclusion efforts. I
critical for technology as they are for busi- increasingly important.
felt that involvement in the Women’s Network
ness. I think people often underestimate
would allow me to understand the different
how many of their skills are transferrable.
needs of women at the firm, especially those ➎ What advice would you give your
younger self?
who were early in their careers. It would allow
Despite it being a challenge that I came
me to help while providing ideas to the Diver- Don’t sweat the small stuff.
in without a technology background, it
sity and Inclusion Council and to test different
also benefited me that I was coming in
programs within the workforce.
Summer 2019 | 19| SPOTLIGHT
Next Generation
Summit RECAP
for college juniors, seniors and recent college graduates
By Kaitlin Barbour
In early June, BBH hosted a four-day Next Gen Summit at our New York
June 3-6, 2019
office. The event, attended by approximately 40 guests ages 17 to 28,
was designed to develop financial independence and business acumen
DAY 1
in young adults. Through interactive sessions and engaging speakers, BBH Partner Kathryn George opened the event with welcoming
attendees explored topics such as entrepreneurship and business, remarks, explaining the flow of the presentations following the life
Brown Brothers Harriman I 140 Broadway, NYC
investing and career development, as well as planning for personal cycle of a business owner – from starting with a business idea, to raising
finance and philanthropic goals. In addition, BBH taught the power of capital, to selling a business, to ultimately managing personal liquidity.
networking by encouraging the attendees to get to know each other After this, Angela Lee, chief innovation officer at Columbia Business
throughout theindependence and business
day and during evening acumen in young
social events. adults.
School We will
and founder of 37cover
Angels,topics
spoke toincluding
attendees about innovation
in work and career. Next, Ben Persofsky, co-head of the BBH Center for
Family Business, provided a primer on business financials, stressing the
Three Career Tips from Angela Lee, Chief Innovation Officer
importance of understanding financial statements and covering the
at Columbia Business School and Founder of 37 Angels
income statement, balance sheet and cash flow statement. Following
• Run career experiments to identify what you are good at. this, Rich Yeh from our BBH Capital Partners (BBHCP) group and Len
Fishman from our Corporate Advisory & Banking (CAB) group gave
• Anyone can be an entrepreneur, whether you own a company
an overview of raising equity capital, from venture capital to private
or are part of a large organization.
equity. To wrap up the day, BBHCP’s Alice Birnbaum, Kyle Barndollar and
We hope you will consider joining us.
• The most important thing is showing up – the more you do,
the more connections you make.
Kyle Martino led attendees through a real case example of a company
BBHCP evaluated for an investment.
Space is limited
20 | Women & Wealth Magazine INVITE WITH MORE DETAILS COMING SOON.DAY 2 Insights from Brant Boersma, Chief Culture Officer
at Dutch Bros Coffee
Brant Boersma, chief culture officer at Dutch Bros Coffee, kicked off the
• Be a student of your life.
second day with a keynote presentation about commitment, entre-
preneurship and company culture. Boersma used family anecdotes, • There’s going to be strife.
company stories and an invigorating video to engage the audience
• Time management is crucial – there’s no time to be
on a range of topics relevant to them. Next, attendees learned about
bored anymore.
raising debt capital – including what debt is, why to use it and why it is
not a bad thing – with a presentation by John Harms from BBH’s Com- • Emotions will happen.
modities & Logistics (C&L) team and Matt Smith from BBHCP. During
• Just because people say there’s an environment of open
the day’s career development session, PB Strategy Head Nicholas
dialogue doesn’t mean there necessarily is.
Maglio and Relationship Manager Fernando Soto provided guidance
on polishing a resume. Afterward, Ajit George and Kyle Gordon of our • Take the opportunity to find something that excites you.
Corporate Advisory Group (CAG) led a session on the process of selling
a business, touching on popular examples such as Dollar Shave Club,
Instagram and Venmo. To round out the day, Senior Wealth Planner
Ali Hutchinson and Relationship Manager Laura Salibello covered
spending, saving and giving for success.
DAY 3
Day three started with two sessions on getting started with investing.
First, BBH Partner and Chief Investment Strategist Scott Clemons pro- Truthfully, I wish that this week was longer. The friend-
vided an overview of reasons to invest. Relationship Managers John
ships I have made and knowledge I have gained within
Lyons and Laura Salibello followed with a session on what you can
invest in. Over lunch, John Lyons moderated a panel on how to hit the 3.5 days exceeded my expectations, and I don't want it
ground running, with insights on starting your career from panelists to end.
Dean Brown of BBHCP, Carson Christus of CAG and Carter Moore of C&L.
Following lunch, attendees were treated to a tour of Wall Street and
the New York Stock Exchange. Next, Nicholas Maglio hosted a session
I had a great time at BBH this week and truly appreciate
on decoding current events, breaking down complex topics often in the care and work that both high-level executives and
the news. To wrap up the day, Partner Kathryn George led a session all other employees put into their interactions with us.
on creating a personal brand, emphasizing to attendees that the most
important decisions about their career will get made when they are
not in the room, and thus they need to build a strong personal brand. I would just like to thank BBH for this amazing oppor-
tunity. BBH is a very impressive organization, and this
Summit displayed BBH’s excellence.
DAY 4
I would have made the event longer, mainly because I
James Seol, a lead executive coach at GK Training, kicked off the final
had such a great time. I made some really great friends,
day with a session on the importance of communication and public
speaking. To close out the event, Nicholas Maglio and Laura Salibello on top of learning so much. If I could have spent more
led a session on design thinking, which focused on helping attendees time at the Summit, I would have.
design their career paths.
Each evening, guests attended a social event, including an interactive It was too short! I had too much fun and learned from
cooking class, group dinner and sunset cruise. every presentation. I did not want it to end.
If you are interested in learning more about how we help our
clients prepare the next generation for financial independence,
please reach out to your BBH relationship manager.
Summer 2019 | 21bbh.com/womenandwealth | @AdriennePenta | BBH Center for Women and Wealth | CW&W@bbh.com | facebook.com/bbhcww
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Brown Brothers Harriman & Co. (“BBH”) may be used as a generic term to reference the company as a whole and/or its various subsidiaries generally. This material and any products
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