Mission Attracts Top Talent

Jon Stein shares his experience building Betterment, emphasizing how a strong mission-driven approach was crucial for attracting and retaining top talent, even when competing against established financial institutions offering better compensation and security.

• Mission as a Core Attractor

  • From day one, focused on changing the world through customer-centric financial services
  • The mission to transform a "broken industry" resonated strongly with potential hires
  • Top talent left secure, high-paying jobs at established firms to join the mission

• Mission Consistency

  • The mission remained unchanged throughout Betterment's 10-year journey
  • Serves as a constant source of energy and motivation
  • Helps drive the company forward during challenging times

• Building Around Mission Alignment

  • Mission is critical for:
    • Attracting talent
    • Securing capital
    • Maintaining team motivation
  • Passion for the mission naturally comes through in conversations
  • Not everyone will resonate with the mission, but the right people will be strongly attracted

• Early Team Building

  • Initial team members worked for below-market wages
  • Compensated heavily with equity to align with long-term mission
  • Early employees even invested their own money to keep the company going
  • Every employee receives equity to maintain mission alignment

• Customer Focus as Mission Extension

  • Regular customer interaction keeps team connected to mission
  • Implements company-wide customer service weeks
  • Maintains direct customer contact through programs like hometown meetups
  • Uses customer feedback to iterate and improve services

• Leadership Approach

  • Founder's role evolved to focus on delegation
  • Success depends on building a team that shares the mission
  • Emphasizes finding the right mission-aligned partners, including investors