E19: From Lean Startup to Long-Term Thinking: Eric Ries Reinvents the Stock Exchange

In this episode of Turpentine Finance, Sasha sits down with Eric Ries, author of "The Lean Startup" and founder of the Long-Term Stock Exchange (LTSE). Ries shares the challenging journey of creating a new national securities exchange designed to promote long-term thinking in public companies. He discusses the obstacles faced in gaining SEC approval, the misconceptions about corporate governance, and why many companies struggle with balancing short-term pressures and long-term vision. Ries offers valuable insights for CEOs and CFOs considering going public or dual-listing, emphasizing the importance of aligning investors with a company's long-term mission. This conversation explores how rethinking capital allocation and corporate structure can lead to more sustainable, successful businesses. LINKS: The LTSE: https://ltse.com/ The Lean Startup: https://theleanstartup.com/ Listen here at: https://www.ericriesshow.com/ RECOMMENDED PODCAST 🎙️ This Won't Last - Eavesdrop on Keith Rabois, Kevin Ryan, Logan Bartlett, and Zach Weinberg's monthly backchannel. They unpack their hottest takes on the future of tech, business, venture, investing, and politics. Apple Podcasts: https://podcasts.apple.com/us/podcast/id1765665937 Spotify: https://open.spotify.com/show/2HwSNeVLL1MXy0RjFPyOSz YouTube: https://www.youtube.com/@ThisWontLastpodcast SPONSORS: RIPPLING SPEND: Imagine total control over your company's spending with Rippling Spend, the all-in-one platform for expense reports, corporate cards, and bill pay. Control spend, set custom approval chains, and close your books 3x faster. Visit rippling.com/spend for a free demo and one month free trial. NETSUITE More than 37,000 businesses have already upgraded to NetSuite by Oracle, the #1 cloud financial system bringing accounting, financial management, inventory, HR, into ONE proven platform. If you're looking for an ERP platform, get a one-of-a-kind flexible financing program on NetSuite: https://netsuite.com/102 BRAVE: The Brave search API can be used to assemble a data set to train your AI models and help with retrieval augmentation at the time of inference. All while remaining affordable with developer first pricing, integrating the Brave search API into your workflow translates to more ethical data sourcing and more human representative data sets. Try the Brave search API for free for up to 2000 queries per month at https://brave.com/api X/SOCIAL: @sashaorloff @ericries (Eric) TIMESTAMPS: (00:00:00) - Introduction and opening quote from Eric Ries (00:02:18) - Explanation of what the Long-Term Stock Exchange (LTSE) is (00:07:11) - Eric's background and journey to founding LTSE (00:14:29) - The challenge of convincing investors to fund LTSE (00:16:03) - Sponsors: Netsuite | Rippling Spend (00:21:47) - Eric's experience navigating the SEC approval process (00:29:38) - Sponsor: Omneky (00:31:30) - Discussion on how companies are notified of SEC approval (00:42:36) - Challenges and questions companies ask behind the scenes (00:50:36) - Brief mention of companies listed on LTSE (00:58:36) - The importance of allocating shares to long-term investors (01:01:21) - What's next for LTSE and Eric Ries (01:02:49) - Closing remarks and outro