Navigating Capital As A Woman: Chanel Christoff Davis Of Davis Davis & Harmon On Top Strategies for Women Founders, CEOs and Leaders Seeking Institutional Investments
An Interview with Vanessa Ogle
Remain open to what that investor will look like and the type of capital that may come your way. Investments may take many forms, from equity deals to grant opportunities.
Despite making remarkable strides in the business world, women continue to face unique challenges when seeking institutional investment. In this series we would like to discuss the process of securing capital from institutional investors, and provide actionable strategies to help women founders, CEOs, and leaders navigate this critical aspect of business growth successfully. I had the pleasure of interviewing Chanel Christoff Davis.
Chanel Christoff Davis is the Founder and CEO of Davis, Davis & Harmon (DDH), a leading Black- and woman-owned sales tax advisory firm in the United States. With over three decades of experience, she specializes in audit defense and sales tax recovery, supporting businesses in effectively navigating complex fiscal landscapes. A committed mentor and advocate for women entrepreneurs, Chanel also contributes her insights as a respected speaker on financial leadership. Most recently, her strategic leadership and industry impact were acknowledged when she received the D CEO’s Financial Executive Award, marking her as a leading figure in her field.
Thank you so much for doing this with us! Before we dig in, our readers would like to get to know you a bit more. Can you tell us a bit about your “backstory”? What led you to this particular career path?
My journey to founding Davis Davis & Harmon started in childhood when I ran mini businesses. Encouraged by adults, my entrepreneurial spirit was nurtured from a young age. I even had business cards by the age of 12, which truly ignited my passion for business. I pursued this interest academically, majoring in accounting and minoring in business management in college, where I excelled as an honor student and held various leadership roles. My involvement in founding and leading a student chapter of the National Association of Black Accountants (NABA) was a pivotal experience, blending my entrepreneurial drive with my educational path.
My professional career began at PriceWaterhouseCoopers, one of the world’s largest accounting firms, where my passion for assisting businesses with complex tax issues deepened. My academic focus on accounting and leadership roles prepared me well for the complexities of real-world financial issues, which I first encountered in depth at PriceWaterhouseCoopers. It was here that I recognized the significant market need for specialized expertise in sales tax, an area often underserved yet crucial for business compliance.
Driven by a commitment to service and integrity, I co-founded Davis, Davis & Harmon in 2001. We established our firm on a foundation of excellence in corporate finance, a principle we passionately uphold to this day. Twenty-three years later, we continue to advocate vigorously for our clients, always striving to put our best foot forward.
Can you share the most interesting story that happened to you since you began your career?
One of the most defining moments in my career occurred in 2018, during the landmark Supreme Court case, Wayfair vs. South Dakota. This case addressed the taxability of online transactions, a long-standing area of controversy. Having practiced in the sales tax niche for 17 years, this decision dramatically shifted the landscape of our industry. When the Supreme Court ruled in favor of South Dakota, it mandated that all online transactions be subject to sales tax, instantly elevating the relevance of our expertise.
This ruling transformed DDH from a niche player into an industry thought leader almost overnight. As demand for our specialized sales tax knowledge surged, our firm’s profile rose significantly. No longer the underdog, DDH became recognized as trailblazers in the tax industry. This situation was a perfect example of how preparation meets opportunity. Now, when I introduce myself and my firm, there is an instant recognition of the value we bring to the corporations we serve, reflecting our pivotal role in navigating this significant change.
Can you share a story about the funniest mistake you made when you were first starting? Can you tell us what lesson you learned from that?
One of the funniest yet challenging mistakes I made early in my career was hiring friends to help run my business. While it seemed like a good idea at the time, it quickly turned into a comedy of errors as professional and personal boundaries began to blur. This experience taught me a valuable lesson about the importance of keeping business and personal relationships separate. It helped me understand that professional roles require professional relationships, which sometimes means making tough decisions that might not align with personal sentiments. From then on, I adopted a more structured approach to hiring, focusing on skills and fit for the role rather than personal connections. This shift significantly improved our operational efficiency and helped preserve my personal relationships by avoiding potential work-related conflicts.
None of us are able to achieve success without some help along the way. Is there a particular person who you are grateful towards who helped get you to where you are? Can you share a story about that?
For me, that person is undoubtedly my husband and business partner, Terrell Davis. Together, we founded DDH, and he has been an essential support in my journey as a leader. Terrell has been there to back every idea and strategic move I’ve put forward and his unwavering confidence in my vision has been instrumental in our team’s support and, ultimately, our success. We recently underwent a systemic technology upgrade, and while I was the “front man,” Terrell’s unwavering support and guidance were the driving force behind its successful implementation. He was also a key player during our four brand refreshes over our 23-year history. These changes, introducing new logos, websites, and marketing strategies, were my initiatives, but they required full commitment from our leadership team. While some team members were initially hesitant about the new directions, Terrell’s constant belief in my abilities provided the backbone I needed to confidently present these new ideas to the team, securing their support. I’m incredibly lucky to have such a partner, and I believe every leader thrives with someone as encouraging and supportive by their side.
Is there a particular book that made a significant impact on you? Can you share a story or explain why it resonated with you so much?
Numerous books have influenced me deeply, but ‘The E-Myth Revisited’ by Michael E. Gerber stands out for its profound impact. I discovered this book in 2011 during a critical juncture when I was eager to evolve my business from a small, family-run operation into a more structured, thriving enterprise. The book’s insights into the importance of working on the business rather than just in it resonated with me. It provided the framework I needed to shift my focus from day-to-day tasks to strategic growth and systematization. Following its principles, I began implementing processes that enhanced our operational effectiveness and helped scale the business sustainably. ‘The E-Myth Revisited’ was instrumental in helping me understand the distinction between being a technician and a true entrepreneur, fundamentally changing how I approached my business and contributing significantly to our success.
How have you used your success to make the world a better place?
One of the most fulfilling aspects of my success has been the opportunity to create career paths and provide comprehensive training for the next generation of diverse sales tax experts. Reflecting on my early career after graduating with a degree in accounting, I realize the impact that a firm like Davis Davis & Harmon LLC would have had. Seeing a firm like Davis Davis & Harmon LLC thrive early in my career would have been a powerful motivator, showing me that a young woman could lead and succeed in the financial services industry.
By establishing and growing my firm, I’ve contributed to making the accounting profession more inclusive. We actively ensure that future generations, regardless of their background, see themselves represented and understand that there is a vibrant, welcoming space for them in this industry. My aim has been to succeed in business and to expand the horizons of what is possible for those who come after me, enriching the profession with a diverse range of insights and experiences. This commitment to diversity and mentorship is my way of using my success to foster a more inclusive and dynamic professional community.
What do you think needs to change in the investment landscape to support more women entrepreneurs?
To better support women entrepreneurs, significant changes in the investment landscape are necessary. Firstly, institutional banks and investors should proactively identify and engage with their current women business owner clients. This can be achieved through conducting site visits to understand the unique challenges and opportunities these businesses face in their specific environments.
Secondly, it is crucial for financial institutions to include women entrepreneurs in their networking circles. Inviting these business owners to private banking and business banking events would facilitate valuable connections, foster community support, and provide access to strategic advice that is often reserved for more established or traditionally male-dominated enterprises.
Lastly, developing personal relationships with women entrepreneurs is key. By understanding their specific needs and business goals, banks and investors can tailor their support to help these businesses thrive. This involves providing financial investment, mentorship, guidance, and resources, all tailored to foster long-term growth.
Together, these steps would create a more inclusive and supportive environment that recognizes and amplifies the potential of women-led businesses.
Can you share a defining moment in your journey to secure institutional investment? What was a key lesson you learned from that experience that other women can apply in their funding efforts?
A defining moment in my journey to secure institutional investment occurred when I visited my local branch of a large national bank to complete a time-sensitive, seven-figure transaction and was turned away because I did not have an appointment. Despite the importance of the transaction, no one at the branch was willing to assist me. Feeling frustrated but determined, I drove to a larger branch where I finally received the help I needed.
This experience taught me the importance of proactively building strong relationships with banking personnel. I vowed then to never take ‘no’ for an answer in such scenarios and to persistently seek a business banker who not only understood but also was willing to meet my business needs. From then on, I made it a priority to foster connections with key individuals in the banking sector, ensuring that my transactions would be handled with the urgency and attention they deserved.
The key lesson here for other women seeking funding is the importance of assertiveness and the value of establishing robust professional relationships. Navigating institutional investment often requires more than just presenting solid business cases; it’s about being proactive in communication and demanding the respect and service necessary to support significant business growth. This mindset shift has since made a significant difference in how I handle my banking relationships and has been instrumental in securing further investments.
In your experience, what key factors do institutional investors look for in women-led startups that may differ from their general investment criteria?
In my experience, institutional investors prioritize scalability and velocity in businesses they choose to back, with particular emphasis when it comes to women-led startups. That said, they are especially drawn to businesses that promise rapid growth and have a compelling, large-scale vision. A solid track record that demonstrates past successes and growth potential is crucial as it serves as tangible proof of the business’s viability and the entrepreneur’s capability.
For women-led startups, these criteria often come with the added expectation of having a persuasive narrative. Investors are looking for a story that both resonates on an emotional level and also aligns with broader market trends and societal shifts. This narrative helps investors feel connected to the venture and more confident about its potential impact and profitability
This focus on elements like story and track record is important to pay attention to. It means that women entrepreneurs must excel in their business operations, while becoming adept storytellers. They need to articulate their vision and past successes compellingly, positioning their companies as profitable investments as well as transformative enterprises that can lead and shape industries. This dual focus on performance and narrative can sometimes present additional challenges but also offers a powerful avenue to draw distinctive interest and commitment from investors.
How do you build and leverage networks to gain access to institutional investors interested in supporting women-led businesses?
To effectively build and leverage networks for gaining access to institutional investors interested in supporting women-led businesses, I recommend a strategic approach that involves several key actions. Start by openly sharing your funding needs with everyone in your network, including past colleagues, mentors, friends in the industry, and even family who might have relevant connections. Keep the communication frequent so you’re top of mind when opportunities arise. Next, it’s crucial to craft and share a compelling story about your business. Articulate why your business exists, the impact it aims to have, and why it needs investment.
Paint a vivid picture of how the funding will propel your business towards its goals and align with the investor’s interests. This narrative should be persuasive and make a case for why supporting your business is a transformative investment. Finally, prepare and polish your pitch materials. Have a well-prepared pitch deck ready that encapsulates your business story, market opportunity, and growth strategy. This deck should be professional and reflect the seriousness of your business proposition, including clear, concise data and visuals that support your narrative and business case. By implementing these steps, you effectively communicate your business’s value and vision, maximizing your network’s potential to connect you with the right institutional investors.
How have you navigated the negotiation process with institutional investors to ensure fair valuation and terms for your company?
In my experience with negotiations involving institutional investors, a key principle has guided my actions: knowing when to walk away. Throughout these discussions, I have encountered offers that, while potentially lucrative, did not align with our long-term vision or offered terms that could compromise our operational integrity. In such cases, I made the strategic decision to walk away from deals that were not favorable.
This approach is crucial for safeguarding our current interests and preserving the future health and independence of our company. Accepting unfavorable terms can have long-lasting negative impacts, potentially stifling our company’s growth or diluting our mission. Understanding the true value of what our company offers and holding firm to our standards has been essential.
By prioritizing fair valuation and terms that respect our company’s ethos, we ensure that any partnership with investors is mutually beneficial and aligned with our long-term goals. This practice has protected us from potential setbacks and positioned us as a strong, principled player in our industry, attractive to investors who value integrity and sustainability alongside profitability.
Can you please share your “Top 5 Strategies for Women Founders, CEOs and Leaders Seeking Institutional Investments”?
- Share with your network that you are seeking an investor. You may be one or two degrees away from your investor.
- Remain open to what that investor will look like and the type of capital that may come your way. Investments may take many forms, from equity deals to grant opportunities.
- Prepare your deck and make sure it includes a strong storytelling aspect.
- Share your deck with your advisors and get feedback to ensure it shows your company in the best possible light.
- Negotiate, negotiate, negotiate…never accept the first offer. Know your non-negotiables and secure the capital that will grow and sustain your business.
You are a person of great influence. If you could inspire a movement that would bring the most amount of good for the greatest number of people, what would that be? You never know what your idea can trigger.
If I could inspire a movement to bring about significant positive change, it would encourage successful and influential women to unite and support other women’s entrepreneurial ambitions financially. This movement would involve pooling resources to fund women-led businesses, enabling them to scale and thrive in competitive markets. The idea extends beyond financial support to fostering a network committed to mutual success.
The power of collective action among women is evident in the nonprofit sector, where collaborations have led to impactful societal changes. A similar approach in the for-profit world could significantly boost women’s participation and success in the global economy.
Such a movement would provide necessary capital and create a supportive ecosystem that mentors, networks, and champions women, helping them navigate the challenges of entrepreneurship. The goal is to establish a sustainable model of empowerment where women are continuously investing in and supporting each other, promoting economic growth and innovation across industries.
We are very blessed that some very prominent names in Business, VC funding, Sports, and Entertainment read this column. Is there a person in the world, or in the US with whom you would love to have a private breakfast or lunch with, and why? He or she might just see this if we tag them.
I would be honored to have a private meeting with Mellody Hobson, a highly respected leader in the financial industry. Mellody Hobson has achieved remarkable success as a businesswoman and is an influential figure in corporate America. She is the president and co-CEO of Ariel Investments, one of the largest African American-owned money management and mutual fund companies in the U.S., and the first African American woman to lead a multi-billion dollar investment firm. Recently, she also launched a private equity fund, further expanding her impact in the financial sector.
Our backgrounds resonate with each other, having both come from humble beginnings to achieve considerable success in the competitive world of finance. I admire her for her professional achievements, commitment to financial literacy, and advocacy for diversity and inclusion in corporate America. A conversation with her would be incredibly inspiring, as we share similar values and experiences. I believe we would connect both professionally and personally, discussing strategies to foster more inclusive environments in finance and how to leverage success to make positive community impacts.
How can our readers further follow your work online?
The best way to get in touch with me or the team at DDH is by visiting our website at DDHTax.com and completing the contact form or calling us at (972) 488–5000. You can also check out my podcast, Follow the Leader, on Apple Podcasts, YouTube, or Spotify. I’m looking forward to connecting with you!
Thank you for these fantastic insights. We greatly appreciate the time you spent on this.
About The Interviewer: Vanessa Ogle is a mom, entrepreneur, inventor, writer, and singer/songwriter. Vanessa’s talent in building world-class leadership teams focused on diversity, a culture of service, and innovation through inclusion allowed her to be one of the most acclaimed Latina CEO’s in the last 30 years. She collaborated with the world’s leading technology and content companies such as Netflix, Amazon, HBO, and Broadcom to bring innovative solutions to travelers and hotels around the world. Vanessa is the lead inventor on 120+ U.S. Patents. Accolades include: FAST 100, Entrepreneur 360 Best Companies, Inc. 500 and then another six times on the Inc. 5000. Vanessa was personally honored with Inc. 100 Female Founder’s Award, Ernst and Young’s Entrepreneur of the Year Award, and Enterprising Women of the Year among others. Vanessa now spends her time sharing stories to inspire and give hope through articles, speaking engagements and music. In her spare time she writes and plays music in the Amazon best selling new band HigherHill, teaches surfing clinics, trains dogs, and cheers on her children.
Please connect with Vanessa here on linkedin and subscribe to her newsletter Unplugged as well as follow her on Substack, Instagram, Facebook, and X and of course on her website VanessaOgle.
Navigating Capital As A Woman: Chanel Christoff Davis Of Davis Davis & Harmon On Top Strategies for… was originally published in Authority Magazine on Medium, where people are continuing the conversation by highlighting and responding to this story.