What the media doesn’t tell you about the VC industry in India

And what you need to know as an entrepreneur.

Relations between investors and startups are tricky. At one level, both of them are incentivised enough to grow the business. One of them has a micro level view by virtue of execution and the other has a macro level view by virtue of exposure.

Here’s what a close acquaintance who works as an Investment Manager at a $100 mn. fund told me:

Source: What the media doesn’t tell you about the VC industry in India | Hackernoon.com

VCs Are Starving — Starving! — for Solid Investments: 5 Ways to Take Advantage

Believe it or not, it’s a founder’s market right now.

Raising capital is no easy task. Over the past five years, I’ve had to do it multiple times — for a management buyout, for our first accelerator fund and for the purpose of supporting more than 100 of our own startups.

Source: VCs Are Starving — Starving! — for Solid Investments: 5 Ways to Take Advantage

5 things VC firms wish entrepreneurs knew about that first meeting

Photo by Bernard Hermant on Unsplash

Over the course of 30 years as a General Partner at Highland Capital Partners, I’ve had the privilege of attending more than 5,000 introductory meetings with startups. Based on that experience, here are five tips to help founding teams prepare for their first big meeting with venture capital firms.

Source: 5 things VC firms wish entrepreneurs knew about that first meeting | VentureBeat

8 Questions I Ask Every Startup

So in most of my meetings with founders, I’m asking them “why does this happen?” or “why is this the way things are done?” and countless other annoying “why” questions. I’m still the kid who gets on people’s nerves by asking so many whys.

You get asked a lot of questions if you are fundraising, but I’ve distilled the list down to a handful of the essential and fundamental questions for founders raising venture capital.

Source: 8 Questions I Ask Every Startup – Li Jiang – Medium

Brash Investor Tries to Blow Up the IPO as His Partners Quit

VC Chamath Palihapitiya is investing in public companies, but his two co-founders are leaving their firm, Social Capital.

CHAMATH PALIHAPITIYA, AN early Facebook executive and outspoken presence in Silicon Valley, is unapologetic about his frustrations with the venture-capital industry. There’s too much money chasing deals, making it harder to generate strong returns. Too many VCs conflate luck with talent. And everyone who benefits from the current system is resistant to change.

Source: Brash Investor Tries to Blow Up the IPO as His Partners Quit

Top 10 Venture Capital Investors That Every Entrepreneur Should Be Pitching Right Now

Photo by Franck V. on Unsplash

New data reveals who the active VCs are now, and who might be the best investors to pitch with your deck. The data shows that deals funded in the first half of 2018 have already blown through the entire annual investment volumes of 2002 to 2016. $175B in global VC deals were inked in the first two quarters of this year, suggesting 2018’s total volume will easily exceed the $212B funded last year. That suggests there is plenty of money out there, from plenty of hungry investors.

Source: Top 10 Venture Capital Investors That Every Entrepreneur Should Be Pitching Right Now

Top VCs and Founders Are Sharing Their Most Unpopular Opinions. Prepare to Be Shocked

Photo by Hardik Pandya on Unsplash

Silicon Valley and the world of startups in general is supposed to be a safe space for unconventional thinking and weird ideas. But spend much time reading about startups and talking to those involved in them and you quickly realize that, like every other segment of the population, VCs, entrepreneurs, and techies have their orthodoxies.

Source: Top VCs and Founders Are Sharing Their Most Unpopular Opinions. Prepare to Be Shocked | Inc.com

Capital-as-a-Service: A New Operating System for Early Stage Investing

At Social Capital, we’re most excited about entrepreneurs that challenge assumptions, that take a non-consensus view of the world, and then…

Source: Capital-as-a-Service: A New Operating System for Early Stage Investing

VCs Visit Columbia B School: Negotiating & Raising Venture Capital in Frothy vs. Down Markets

Silicon Valley-based venture funds visited our Venture Capital course in the MBA program of The Business School at Columbia University: Stacey Bishop, a partner at Scale Venture Partners and Brian O’Malley, a partner at Accel. We discussed raising VC in hot vs. cold markets.

Source: VCs Visit Columbia B School: Negotiating & Raising Venture Capital in Frothy vs. Down Markets

I’m an angel investor, but you probably shouldn’t take my money

Investment is a burden as much as an opportunity. Court it at your peril.

Open the tech press and you read a litany of “success” stories:

  • DocuSign Doubles Valuation to $3 Billion with $233 Million
  • RaiseInstacart Valued at $2 Billion in New $220 Million
  • FundraisingTwilio Has Joined the Unicorn Ranks with Stealthy $100 Million Raise

The numbers are big, the companies sound sexy.

This is success, right? Wrong. The idea that raising investment is a mark of success—and a badge of honor—destroys startups.

Investment is a burden as much as an opportunity.

It increases the pressure, corrupts your incentives, and creates a communications minefield. Court it at your peril.

Source: I’m an angel investor, but you probably shouldn’t take my money – Business Insider