Companies certainly have cultures.
They also seem to have DNA. Corporate DNA is formed early on in a corporation’s life-cycle. But unlike most living creatures, a company’s DNA can change later in life.
Corporate DNA, like all other DNA, determines, to a large extent, the characteristics and success of the organism.
Flaws in the DNA can lead to infant mortality, or failure modes, that might not be apparent for many years.
When investors, or other new partners, join a company, their DNA is effectively combined with the original entrepreneurial DNA – resulting in a new hybrid organization.
It’s absolutely essential to the health of the organization to think hard about whether this new DNA is complimentary to, or even compatible with, the original organizational DNA.
This slide is from the PowerPoint presentation: “Early Friends and Family Financings” available at www.BasilPeters.com/Speaking_Engagements.html