Becker Business Podcast Episode Summary

Podcast: Becker Business
Host: Scott Becker
Guest: Stephen Older, McGuireWoods LLP
Episode: Insights on Capital Markets and Leadership with Stephen Older
Date: September 27, 2025
Recorded At: McGuireWoods Healthcare Growth and Operations Conference

Overview

In this episode, Scott Becker sits down with Stephen Older, a public company securities expert and leader at McGuireWoods LLP’s New York office. Their conversation delves into current trends in the capital markets, particularly in the life sciences sector, the challenges and opportunities faced by companies seeking funding, as well as Stephen's perspective on leadership, mentorship, and career growth within the professional services industry. The episode offers both practical insights on business transactions and inspiring lessons for emerging leaders.

Key Discussion Points & Insights

1. Capital Markets Activity in the Life Sciences Sector

• Increased Deal Flow: Stephen notes a significant uptick in activity within the life sciences space after a period of stagnation.
  • “It’s actually busier now than it’s been in the last couple of years. There was definitely a lull, but it’s definitely, definitely picked up in the last couple months.” (00:27)
• Types of Transactions:
  • Companies, especially those in pre-commercial, phase two stages, are raising capital through confidentially marketed public offerings and registered directs.
  • Many are compelled to raise funds under less favorable valuations to continue their clinical trials and maintain listings.
  • “Even though the market was bad, you can’t survive unless you raise money.” (00:50)
• Challenges for Emerging Companies:
  • NASDAQ now requires companies to raise $15 million of outside capital for an IPO, up from lower amounts in the past.
  • “NASDAQ is now making it a little harder for companies to get on because if you want to do an IPO, you have to raise $15 million of outside money.” (01:34)
  • Companies that raise insufficient amounts risk delisting if their stock price falls below $1 for too long.
• Promise and Pressure:
  • Despite these hurdles, Stephen remains optimistic about the market’s improving strength and the innovative treatments in development, including cancer and dementia drugs.
  • “I feel the market is stronger now...there’s a lot of need for these companies.” (01:58)

2. Looking Ahead: Industry Outlook and Hopes

• Excitement for IPOs and Breakthroughs:
  • Stephen expresses anticipation for clients reaching major milestones, including IPOs and transitions into late-stage clinical trials.
  • “Just seeing some of these companies...at an inflection point...getting to that phase three, because there’s a lot of need for drugs.” (02:54)
• Funding Environment:
  • He highlights constraints from reduced federal funding and the resilience required by companies to serve public health needs.
  • “Unfortunately, there’s...issues with less funding, the federal government under the Trump administration. I think some of these companies are going to be really valuable in terms of helping patient care.” (03:13)

3. Leadership and Career Development

• People-Centric Leadership:
  • Stephen and Scott discuss the importance of investing in people, building relationships, and helping others with no expectation of return.
  • “It’s connections to people and even helping people when you’re not going to get something out of it.” (03:42)
• Advice for Emerging Leaders:
  • Be invested in your career and proactive in client development.
  • Accept failure as a key learning tool.
  • “If I go to 10 clients and I get three of them, that’s an incredible record. So...you’re going to fail seven times, and you gotta realize...failure is not the worst thing in the world. You learn a lot from failure.” (04:16)
• Double Down on Talent:
  • Focus time and mentorship on individuals showing ambition and a desire to grow; recognize different career motivations among team members.
  • “You have to double down your time and efforts on those that really want to grow.” (05:34)

4. Culture and the Evolution of Leadership

• Against Fear-Based Leadership:
  • Leading by fear results in poor performance and paralyzes teams.
  • “The worst thing you can do is lead by fear...because when you’re always worried about failing, you’re not going to do as good a job.” (06:16)
• Creating Roles for All:
  • Recognize and appreciate team members with different aspirations and strengths.
  • “We want to find a role for people and figure out what they’re good at...there are different roles for different types of people.” (06:32)
• Modern Recognition of Motivation:
  • Today’s workforce expects supportive leadership and meaning in their roles; outdated aggressive management styles drive people away.
  • “If you try and lead that way, people leave immediately.” (07:14)
• Standards and Responsiveness:
  • High quality work and responsiveness are non-negotiables.
  • “The worst thing you do is not be responsive and not care about what you’re doing.” (07:19)

5. Fostering a Thriving Organization

• Win-Win Culture:
  • Scott and Stephen align on a “thrive culture”: when the organization and its people succeed together.
  • “The organization thrives and the people thrive. It’s not a zero sum game.” (07:49)
• Continuous Overlap of Firm and Individual Growth:
  • Recognizing and nurturing the overlap between individual ambition and organizational objectives.

Notable Quotes & Memorable Moments

• “The real issue is you got to learn how to fail...as a lawyer, you hit 300, you’re a home...you’re a superstar.”
  — Stephen Older (04:10)
• “Leading by fear...the worst thing you can do. People are always worried about failing, and...you’re not going to do as good a job.”
  — Stephen Older (06:16)
• “You have to double down your time and efforts on those that really want to grow.”
  — Scott Becker (05:34)
• “If you try and lead [by fear] today, people leave immediately.”
  — Scott Becker (07:14)
• “When you help people and you have nothing to gain from it, this is the greatest kind of help.”
  — Scott Becker (05:00)
• “Failure is not the worst thing in the world. You learn a lot from failure.”
  — Stephen Older (04:20)

Timestamps for Noteworthy Segments

• 00:27 — Stephen Older’s introduction and overview of current life sciences market activity
• 01:34 — Changes to NASDAQ IPO requirements and capital-raising challenges
• 02:54 — What excites Stephen about the future of healthcare and client companies
• 03:42 — Leadership advice: investing in connections, embracing failure, and helping others
• 04:43 — Famous lessons from Federer and Bezos on wins, losses, and long-term success
• 06:16 — Stephen on the dangers of fear-based leadership and valuing diverse roles
• 07:49 — “Thrive culture”: building environments where both organizations and individuals flourish

Final Thought

This episode provides a nuanced lens into the state of capital markets for life sciences and the evolving nature of leadership within professional services. Stephen Older’s candid, people-first philosophy and lessons on resilience and adaptability hold resonance for anyone looking to lead or grow in modern business.