| Hey Abi, if you are an entrepreneur with big goals, I mean, REALLY big goals…navigating the World of Venture Capital is a must for you. Understanding venture capital and how to access it is not easy. When I lived in San Francisco during the heyday of the Internet explosion there were a LOT of people looking for venture capital. But VC money as we usually call it, COSTS more than just the DOLLARS you collect… it comes with Equity in your company and a Hell of a lot of pressure to perform… …so “venturing” into VC money is a tricky area to navigate… however, let me say this too: If you have a BIG, I mean, REALLY Big idea that solves a Big Pain Point AND that has people that are willing to pay for it… then you might want to talk with someone that has Been There, Done that before… however, I would NOT advise doing this alone as a first-time entrepreneur. Pitching to investors is a whole new art in itself. This email is not going to cover that, but if you have a great personality and know how to drive the Big Points Home …. and really KNOW your market opportunity, you might get game…. The first thing I would do is to find someone that has pitched successfully to a VC before and see if you can get in front of him/her and share as much as you can, but most importantly, find out if they would be willing to meet with you and share some of the things that they learned when pitching to the different VC’s out there… so you better get going on networking through your contacts. For instance, you need to discuss how to evaluate term sheets, understand company valuation, and negotiate effectively….not least explain your concept so clearly that they also TRULY see and believe the opportunity that you have spotted in the market. I would also do some research on the VC company that you select to see what type of deals they have funded before as well as their way of working with such opportunities that you are bringing to them… how much do they get involved and how well do they look after the company to help it succeed….the list goes on. Success stories: I happen to know the founder of Hotmail, and he shared an interesting story with me about how he got funding for Hotmail.com and how it all came about…which really surprised me. This was back in San Francisco when I lived there for a little over 30 years, and he actually told me that he did NOT share the ACTUAL concept with the VC (because it was so easy to copy), that he presented a DIFFERENT idea Fist … just to “feel out the VC” and see how they interacted with him …as that was more important for him to see and then when he found the Right VC, first then did he tell him the Actual concept around Hotmail. Steve Jurvetson was the VC that he selected. … I am just saying… Do “Suummmthing” about it and see the change it will make for you. PS…check out my Social Media Channels. …the Best to you… The world is waiting for you! You’ve got this! |
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