Five lessons from investing $5 million into 50 startups in five years

Editor’s note: The perspectives expressed in this commentary are the author’s alone. Scott Henderson is managing principal for Nebraska-based NMotion, general partner for gener8tor Great Plains Fund, and a board member for Startland, the parent organization of Startland News.

This piece was originally published by Silicon Prairie News.

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Seems just like yesterday I was returning to my home state to lead NMotion powered by gener8tor. But in reality it was five years ago. I know that because two years ago I wrote a reflection on my first three years back. For those not mathematically inclined: 2+3=5. 

Scott Henderson, NMotion

In that time span, we have invested $5 million into 50 startups right here where the Midwest meets the Great Plains. All thanks to our 25 Nebraska-based investors and co-investor, Invest Nebraska. That’s in addition to the 10 other startups who completed our pre-acceleator, aka gBETA. 

Since NMotion began 12 years ago, 111 startups have graduated from the accelerator with 75 completing it under gener8tor’s management. While it’s still relatively early considering it can take a decade before an investment pays off, we’re doing well so far. 

• 35 of the 111 companies have raised follow-on investments of $50.6 million
• 51 of the 111 companies have secured investments and grants of $56.4 million
• 8 of the 111 companies have exited and generated over $60 million in returns to founders and investors

But the numbers pale in comparison to the human impact we’re making. Crazy, wild-eyed entrepreneurs build here in Nebraska. They are creating well paying jobs. They feel heard, seen, and supported. They are taking risks and growing immensely as people. 

Working together as the Nebraska startup community, we are helping to cultivate amazing community leaders who know firsthand the power of paying it forward. The example investors and mentors are setting will be carried on and multiplied many fold by these founders. 

It’s quite humbling to walk alongside these founders, as they battle the status quo and deal with the dramatic emotional ups and downs that come with building a startup. During the 12 intense weeks we spend together and the many monthly check-ins we have afterward, these founders make themselves vulnerable and open up in ways that are wonderfully human. 

As a lifelong student of leadership and personal development, I am grateful to work shoulder-to-shoulder with these founders. After all, we’re just emotional meat bags trying to create the future that’s in our heads and hearts. While I have learned many lessons from them, I want to share five that stand out:

• The more self-aware you are, the stronger you become — One thing that distinguishes the NMotion Accelerator is how deeply we integrate the Gallup Organization’s Builder Profile 10 assessment into our coaching. This tool gives founders and me a common language to explore what makes each of them stand out when it comes to launching a new endeavor. Each founder shows up in his or her own special way and I can say confidently that those founders who know themselves and can see their strengths and gaps equally clearly are the ones who grow their startups the most. “To thine own self be true” as Shakespeare wrote, is quite the competitive advantage.

• Chop the wood, carry the water — My dad gave me this old saw when I was navigating challenging circumstances in my personal life (BTW — shoutout to my Pops; he’s also the one who inspired the “Great trees never grow alone” tagline). It’s a reminder to tend to the daily and weekly chores that fuel and sustain us. It’s something I’ve passed along to the founders as a reminder to take time to plan their week, act on their plans, and communicate their progress. I have found it’s not the flashy, charismatic founders, but the focused, consistent founders who win out. 

• Open collaboration beats closed systems — You can’t co-opt your way to long-lasting success, but you can achieve it through cooperation and collaboration. As I learned from reading Brené Brown, the word “vulnerable” comes from the Latin word to take off one’s armor. Founders who are willing to open themselves up to feedback, challenge their key assumptions, and learn to grow from it all outperform those who try to do and control everything themselves. 

• Short sprints lead to giant leaps — Most founders have wildly ambitious plans and try to fit 6 years into 6 months. Applying the concept of agile software development, we configured our 12-week program into a series of two-week sprints with 1-2 clear goals at a time. This helps the founders focus their energy like Laser Kitties instead of spraying around like Shotgun Squirrels (hat tip Mason Cook). This helps them generate the all important momentum they will need to break through the status quo and achieve giant leaps forward. 

• No one knows the future, so you gotta bet on many founders — While you can see which trends or technologies are emerging, you never know which startup will end up at the top of these new industries. That’s why it’s important to invest in your best and brightest right here, right now. 

I can say without equivocation, every investment we have made has made a positive impact. To be clear, we are investing these dollars to make money for our founders and investors. We are capitalists, not philanthropists, after all. But, the non-financial impact these investments have already had on the confidence and self-belief of our homegrown founders is immense. Keep it coming! 

With the NMotion Accelerator Fall 2025 program taking applications now, I’m looking forward to seeing which founders step forward by the Aug. 17 deadline. Who knows what new lessons I will learn from them?

In the meantime, you can learn more about NMotion, apply for the program, or volunteer to be a mentor at www.nmotion.co