What is Success in Business?

Some would say that to be successful in life, 90% of it is showing up. At least that is what David Leuschen says about life. Leuschen, Founder and Senior Managing Director of Riverstone Holdings, expressed some of his ideas for building and sustaining a successful business.

Leuschen admits that he likes fast things and to add to that, he revealed quite a few success secrets and how he has cultivated the “fast-moving” culture at his company.

The first thing Leuschen discussed was living on the edge as opposed to staying within the guidelines of life. To be successful in business, first and foremost, there has to be a risk taken. He says that he has seen the banking industry through the 80s and 90s go through innovative change, as shown by its Master Limited Partnership and IPO in London.

Second, Leuschen stressed that successful businesses come about from individuals who pick a career, stick with it and learning about the business. If the person engages him or herself in learning about the business (showing up for every deal), then that makes for success. His own employees at Riverstone live and breathe the energy business.
Next, remember that investments amount to buildups instead of buyouts. Buildups he says, self-correct themselves for commodity prices, people and concepts. As the individual learns more about the business, the initial strategy should be building up in small parts.

Fourth, the business professional should not try and beat the commodity price. In the majority of deals, the business should actively hedge its commodity risks. If the professional is invested in his or her business, most likely they will be working hard to get their money back on that first 24 months of investing.

Leuschen, of Riverstone also added that he believes there is an energy revolution on the horizon for this country and also that the U.S. will lead in shale gas resources development. The reasons he offered for this includes private citizens being able to own mineral rights. He said that many people don’t know about well control and that it is the “key element” to shale gas production. The U.S., he said, is also a leader in gas technologies today. Leuschen mentioned that the majority of infrastructures in the U.S. for shale gases have already been built and that there are fewer people per square mile in the U.S., allowing for more open space to acquire land and gain the necessary approval to drill. He added that the U.S. capital markets are some of the most advanced in the world and control over the development of shale gas is left up to the state.