How Venture Capitalists Think – A Good Hard Kick in The Ass
Posted by Pierre de la Fortune on May 10, 2015 @ 12:01 a.m.
Written by Vicki Flaugher
Written by Rob Adams, “A Good Hard Kick In the Ass – Basic Training for Entrepreneurs” discusses how venture capitalists (VCs) decide what start-up companies to invest their Daddy Warbucks big money in. Seed level investment usually starts at 1 million with Series A (first level) usually comes in at 10 million. With those numbers, you can bet these financiers have some requirements. And, this very well written book describes exactly what that expectation is.
Start up financing can be tricky and many entrepreneurs think that, if they have a great idea and a detailed business plan, they will be able to secure financing from venture capitalists. As it turns out, the heavy weight VCs could barely care less about your business plan and they see ideas as a dime a dozen. They are looking for a great management team and market validation.
Both of these concepts – building a great management team and market validation – will likely be the subjects of more blog posts to come, but know this – if you get this book (I was lent it by my dear friend Naomi Friedman) you won’t regret it. It’s going to blow away your preconceptions and put you on the path to actually getting real venture capital investment in your start up if you heed its advice. Even if you decide to not seek outside capital in your business, it will help you run your business better. Check it out and tell me what you think!
For more info please visit: http://smartwomanguides.com/2010/06/15/how-venture-capitalists-think-a-good-hard-kick-in-the-ass/
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