In this episode of Growth Under Pressure, host Eric Josivits engages in a compelling conversation with Jen Berrent, founder and CEO of Covenant, an AI-native law firm. Jen shares her unique journey from being a big law partner to a senior executive at WeWork, where she navigated the company through its hyper-growth phase. She discusses her passion for tackling hard problems and her fascination with entrepreneurship, which has shaped her career path. Jen emphasizes the importance of merging legal expertise with business acumen, a theme that resonates throughout her professional journey. As the conversation unfolds, Jen delves into her transition from general counsel to COO at WeWork, highlighting the operational challenges and the need for effective legal translation within a fast-paced startup environment. She reflects on the intense demands of working in a hyper-growth company, the balance between legal and operational roles, and the importance of maintaining a human element in the evolving landscape of AI in law. Jen also shares insights into her current work at Covenant, focusing on building trust with clients and leveraging AI to enhance legal services while ensuring quality and accessibility. In this episode, Eric and Jen delve into the evolving landscape of startup funding and the pressures that come with it. They discuss the trend of founders opting to bootstrap their businesses to significant annual recurring revenue (ARR) while maintaining profitability. Jen emphasizes the importance of raising only what is necessary and the discipline required in managing funds effectively to avoid pitfalls like down rounds. The conversation shifts to the concept of runway, where Jen shares insights on the balance between spending and strategic growth, highlighting how tight financial constraints can foster innovation and focus in startups. As the discussion progresses, Jen recounts her experiences with pressure in high-stakes environments, particularly during her time at WeWork. She reflects on the importance of clear communication during crises and the necessity of taking a moment to articulate challenges rather than retreating in fear. The episode concludes with Jen sharing her personal strategies for managing transitions in her career, emphasizing the value of curiosity and embracing discomfort as a pathway to growth. The conversation is rich with practical advice for entrepreneurs navigating the complexities of leadership and decision-making under pressure.

takeaways

"I've always really been interested in hard problems."
"You have to know the business needs, but you also have to know the legal context."
"Being a partner in a law firm provides a lot more balance than being in the thick of a hyper-growth company."
"We really try to put that sort of strategic layer on top of a QA layer so that there is an experience of software."
"We replace outside counsel; we think big law is great for elite legal work." Raise only what you need.
Tight financial constraints can foster innovation.
Clear communication is crucial during crises.
Embrace discomfort as a pathway to growth.
Curiosity drives career transitions.

Sound Bites

"I've always really been interested in hard problems."
"You have to know the business needs, but you also have to know the legal context."
"Zero balance."
"Raise only what you need."
"The crime is in the cover-up."
"A founder under pressure should always communicate." Chapters 00:00Introduction to Jen Berrent and Her Journey 02:38Transitioning from Law to WeWork 06:43The Role of General Counsel vs. Outside Counsel 12:43The Challenges of COO in a Hyper-Growth Company 16:01Current Focus at Covenant and AI in Law 23:10Covenant's Approach to Legal Services 27:31The New Era of Startup Funding 29:06Managing Runway and Financial Discipline 30:20Growth Under Pressure: Jen's Experiences 39:21Navigating Career Transitions 43:01Daily Practices for Managing Pressure 47:17Working with Visionary Founders

From WeWork Leader to AI Law Firm CEO Ep #17