Techstars CEO Maëlle Gavet Steps Down Amid Controversy
By Dominic-Madori Davis, Senior Reporter, Venture
Maëlle Gavet, the CEO of Techstars, has announced her departure from the company due to health reasons. In a LinkedIn post, she expressed gratitude for the opportunity to lead the organization and thanked her team, executive board, employees, investors, and founders for their support during her tenure.
However, Gavet’s departure comes amid controversy surrounding her leadership style at Techstars. During her three-and-a-half-year stint as CEO, employees and managing directors accused her of fostering a tense work environment that led to a significant labor exodus. The company struggled to balance its ambition to scale with the need for profit, resulting in high client churn due to strained relationships with corporate partners like JPMorgan Chase.
A Rocky Tenure at Techstars
Under Gavet’s leadership, several of Techstars’ accelerator programs shut down, including those in Austin, Toronto, Seattle, Sweden, Boulder, and Norway. This move was likely a result of the company’s inability to navigate its partnership with JPMorgan Chase effectively. The $80 million partnership, which funded approximately eight programs, is now at risk due to the deteriorating relationship between Techstars and the financial institution.
Sources close to the matter have revealed that Gavet’s leadership style contributed significantly to the decline of several programs. Her approach was seen as autocratic, leading to conflicts with employees and managing directors who were not comfortable with her decision-making process.
A Statement from David Cohen
In a statement posted on Techstars’ website, co-founder and board chairman David Cohen expressed gratitude for Gavet’s contributions during her time at the company. He acknowledged that she made many tough decisions, including enacting complex changes that were necessary for the organization’s growth.
Cohen also thanked Gavet for building a strong team and emphasized his commitment to making Techstars an even better platform for founders.
"Maëlle must focus on her health now," Cohen said in the statement. "I know I speak for everyone at Techstars when I say that we wish her strength and courage as she addresses what’s ahead."
Cohen’s Return as CEO
With Gavet’s departure, David Cohen will take over as interim CEO. This marks his third stint as leader of the company, having previously held the position from 2010 to 2021.
"I’m excited to be back at Techstars," Cohen said in an interview. "I’ll continue to focus on making Techstars even better for founders."
Challenges Ahead
As Cohen assumes leadership, he faces a daunting task: reviving the company’s reputation and stabilizing its operations. This will require addressing the issues that led to Gavet’s departure, including improving relationships with corporate partners and implementing changes to prevent future conflicts.
Techstars’ ability to recover from this setback will depend on Cohen’s effectiveness in navigating these challenges and creating a more inclusive work environment for employees and managing directors.
Timeline of Events
- 2021: Maëlle Gavet becomes CEO of Techstars.
- 2022-2023: Employees and managing directors begin expressing concerns about Gavet’s leadership style, citing a tense work environment and high client churn.
- 2023: Several accelerator programs shut down due to the deteriorating relationship between Techstars and JPMorgan Chase.
- March 2024: Gavet announces her departure from Techstars due to health reasons.
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