Comments on: Are VC’s inherently evil ? (part I) http://montrealstartup.com/blog/2007/08/04/are-vcs-inherently-evil-part-i/ We are a venture investor Tue, 22 Mar 2011 21:27:54 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: Jessie http://montrealstartup.com/blog/2007/08/04/are-vcs-inherently-evil-part-i/comment-page-1/#comment-124 Jessie Thu, 03 Jul 2008 12:07:18 +0000 http://montrealstartup.org/WordPress/uncategorized/are-vcs-inherently-evil-part-i/#comment-124 <strong>Jessie...</strong> Have enjoyed your site very much and benefited from the information. Thank You.... Jessie…

Have enjoyed your site very much and benefited from the information. Thank You….

]]> By: Mark Wayman http://montrealstartup.com/blog/2007/08/04/are-vcs-inherently-evil-part-i/comment-page-1/#comment-123 Mark Wayman Tue, 07 Aug 2007 16:24:47 +0000 http://montrealstartup.org/WordPress/uncategorized/are-vcs-inherently-evil-part-i/#comment-123 Hello John, I appreciate the time you've taken to respond to my post. I also share your thoughts on considering the logic behind the approach I described. Thanks for the reading recommendation. While I'm extremely comfortable conceiving and creating technology solutions, effective fundraising seems to be a black art! I am, of course happy to make some kind of connection with you via this medium :) We're currently at the planning phase for Salons so it's probably premature to run anything by you - first impressions and all that. I'll keep in touch. Cheers! - Mark. Hello John,

I appreciate the time you’ve taken to respond to my post. I also share your thoughts on considering the logic behind the approach I described.

Thanks for the reading recommendation. While I’m extremely comfortable conceiving and creating technology solutions, effective fundraising seems to be a black art!

I am, of course happy to make some kind of connection with you via this medium :)

We’re currently at the planning phase for Salons so it’s probably premature to run anything by you – first impressions and all that.

I’ll keep in touch.

Cheers!

– Mark.

]]> By: john http://montrealstartup.com/blog/2007/08/04/are-vcs-inherently-evil-part-i/comment-page-1/#comment-122 john Tue, 07 Aug 2007 13:36:13 +0000 http://montrealstartup.org/WordPress/uncategorized/are-vcs-inherently-evil-part-i/#comment-122 @ mark - By a warm introduction I will assume that you mean a situation in which someone actually does "give you the time of day". Start a dialogue with a VC through their blog ? ;-) I don't know if I really have a good answer..... The approach you outline above would work on the assumption that "the other person made money for me and so if he's introducing someone there is a stronger possibility that this new person could make me money" - thus you would expect the time of day from the VC. This may be the case with some VC's but in reality a large number would be thinking "I'll see this new person as a favour to the person who made me money last time because I want to stay friends with that person in case he/she doesn another venture". What does all this mean ? It means that as pleasant as an introduction might make you feel, at the end of the day it comes down to you being able to pitch a good idea to a person who has an interest in your area and whose investment criteria fit your opportunity. So do your homework on the VC you want to pitch to. Understand what he/she has personally invested in, what Boards he/she is on and what the firm's investment criteria are. If their is a match between their modus operandi and your investment opportunity, a first meeting will be warm enough. I'd suggest also reading this post by another entrepreneur on approaching a VC - it's very accurate. (http://www.instigatorblog.com/a-glimpse-into-the-suffering-of-venture-capitalists/2007/08/06/) By the way - if you are willing to relocate "salons" to Montreal feel free to send me some more info on the business! @ mark – By a warm introduction I will assume that you mean a situation in which someone actually does “give you the time of day”.

Start a dialogue with a VC through their blog ? ;-)

I don’t know if I really have a good answer…..

The approach you outline above would work on the assumption that “the other person made money for me and so if he’s introducing someone there is a stronger possibility that this new person could make me money” – thus you would expect the time of day from the VC.

This may be the case with some VC’s but in reality a large number would be thinking “I’ll see this new person as a favour to the person who made me money last time because I want to stay friends with that person in case he/she doesn another venture”.

What does all this mean ? It means that as pleasant as an introduction might make you feel, at the end of the day it comes down to you being able to pitch a good idea to a person who has an interest in your area and whose investment criteria fit your opportunity.

So do your homework on the VC you want to pitch to. Understand what he/she has personally invested in, what Boards he/she is on and what the firm’s investment criteria are. If their is a match between their modus operandi and your investment opportunity, a first meeting will be warm enough.

I’d suggest also reading this post by another entrepreneur on approaching a VC – it’s very accurate. (http://www.instigatorblog.com/a-glimpse-into-the-suffering-of-venture-capitalists/2007/08/06/)

By the way – if you are willing to relocate “salons” to Montreal feel free to send me some more info on the business!

]]> By: Mark Wayman http://montrealstartup.com/blog/2007/08/04/are-vcs-inherently-evil-part-i/comment-page-1/#comment-121 Mark Wayman Mon, 06 Aug 2007 15:57:56 +0000 http://montrealstartup.org/WordPress/uncategorized/are-vcs-inherently-evil-part-i/#comment-121 I'm assuming this is John Stokes... if so, hello John. Your posting struck a chord with me and I like how direct, honest and simple it is. The voice of experience. My business partner and I are both from the UK now American citizens. We've been in business for over 12 years in the US so not a startup but we are in startup mode with our latest venture www.salons.com. We have the ability to create this internally and will do so. We are however considering the pros/cons of an investor to add speed to market and hopefully value above purely the financing. I've been chatting to various connections about the best approach to smart money sources and the consensus seems to be to make friends with the head of a previously funded company to seek a recommendation. While I understand the sense in this, is this the only way you can get a warm introduction? Cheers, Mark. I’m assuming this is John Stokes… if so, hello John.

Your posting struck a chord with me and I like how direct, honest and simple it is. The voice of experience.

My business partner and I are both from the UK now American citizens. We’ve been in business for over 12 years in the US so not a startup but we are in startup mode with our latest venture http://www.salons.com.

We have the ability to create this internally and will do so. We are however considering the pros/cons of an investor to add speed to market and hopefully value above purely the financing.

I’ve been chatting to various connections about the best approach to smart money sources and the consensus seems to be to make friends with the head of a previously funded company to seek a recommendation. While I understand the sense in this, is this the only way you can get a warm introduction?

Cheers, Mark.

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