Previous research on team performance in the management and entrepreneurship literatures has provided weak and inconsistent justifications for the effects of a team’s conflict on its performance. We propose that absence of insight into the structure of teams’ conflict networks and the exchange and combination of resources embedded within them represents a substantive limitation in our understanding of the mechanics of conflict for achieving enhanced entrepreneurial team performance. Thus, using social capital theory as an explanatory framework, the current study addresses this shortcoming by offering more theoretically sound arguments explaining the processes through which team conflict affects the performance of knowledge intensive new venture teams. We define a conflict network as the set of conflictful dyadic exchange relationships, or ‘conflict ties,’ group members share with one another (Brass, Galaskiewicz, Greve, & Tsai, 2004).