Guidelines for Startup Founders on Conducting Themselves Professionally with Venture Capitalists
Attracting investment from venture capitalists is one of the most important steps on a startup's path to growth and development. However, founders sometimes make mistakes in their approach to investors that lead to alienating investors. Here I point out some key considerations in this area, based on studies and experience:
- Conduct communications in a professional and courteous manner, avoid cold and irrelevant emails.
- Take responsibility yourself for arranging meetings and sending calendar invites.
- Don't unnecessarily keep your ideas confidential, focus on building trust.
- Don't just read verbatim from slides, engage in discussion and dialogue.
- Rather than dismissing competitors, explain what makes you unique.
- Keep deal terms and details confidential.
- Demonstrate serious commitment to the business, don't treat it as a hobby.
- Have reasonable requests for salary and equity, get to know the market.
- Emphasize the goal of long-term growth, don't just seek a quick exit.
In general, you need to act logically, committed and professional for investors to gain confidence and invest.
In summary, in dealing with investors, founders should behave professionally, rationally and focused on building trust. Observing these points greatly aids in attracting the confidence and investment of venture capitalists.