People used to think we were crazy. Not many do now. Let me explain. Recently, my partner Eric and I met up with one of our major investors, to update them on what we’re up to. This is is a very large institutional investor with a sophisticated view of the world. They told us they
Series on Trust: The VC and His Investors
I’ve been writing a blog series about trust. I started with a post on how VC is a “trust business” and I highlighted why trust between an entrepreneur and a VC is important (more here for a post on “When Entrepreneurs and VCs Break Up”). Last week, I wrote about why investors (called “LPs”) in VC
Series on Trust: The LP and the VC
This is the second post in a blog series on trust. Last week, I wrote that VC is a “trust business” and I highlighted why trust between an entrepreneur and a VC is important (called “When Entrepreneurs and VCs Break Up” and is here). This week, I’d like to write about trust between a VC firm
Series on Trust: When Entrepreneurs and VCs Break Up
We met with some of our large investors recently, and one of them mentioned: “VC is a trust business.” He was saying that he trusted us. I’ve been thinking a great deal about what he said. I think trust in venture capital is critical, and it is something that covers multiple dimensions. So, I’d like
Who should be in a start-up’s financing?
I’ve been meeting a lot of entrepreneurs these days who are thinking about whom to bring into a financing round. VCs call the group of funders a “syndicate.” Many of the entrepreneurs think of funding sources with an “either/or” mindset. Either they want to raise angel/micro-VC money, or they want to raise VC money. Personally,
VC & conflicts of interest
I had dinner a few weeks ago with some entrepreneurs, and it got me thinking about how a VC manages potential conflicts of interest. In short: does a VC give advice that is best for the entrepreneur or himself? To start, let’s talk about how a VC is a business just like any other. The