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If you were a “with it” VC you needed to have a “Content&# or “Multimedia&# company in your portfolio to impress your limitedpartners – educational software companies, game companies, or anything that could be described as content and/or Multimedia. Not all VCs are equal.
If you’re a venture capitalist … you have limitedpartners that give you money to invest on their behalf, and you’re responsible for giving them outsize returns. Filed under: CustomerDevelopment , SiriusXM Radio Show. Steve : And they wanted a bigger business than just a vent company. Nayeem : (Nods.)
VC’s invested their limitedpartners’ “risk capital” in a portfolio of startups in exchange for illiquid stock. Some of the old-line venture firms have changed their strategy, but some are still locked into last decade’s model while the partners are living off of their management fees and go through cargo cult like rituals.
A more efficient approach is to mine the data exhaust from the LimitedPartner universe to identify those LPs most likely to find your fund attractive, and focus all your energy on them. Relationship Science makes it easier to understand and map social networks into potential limitedpartners. 2) Raise capital.
Investors get board seats to assure themselves and their limitedpartners that they are duly informed about their investment. From a VC’s point of view there are two reasons for board meetings. 1) It’s their fiduciary responsibility. Once a startup gets going, it has asymmetric information.
Investors get board seats to assure themselves and their limitedpartners that they are duly informed about their investment. From a VC’s point of view there are two reasons for board meetings. 1) It’s their fiduciary responsibility. Once a startup gets going, it has asymmetric information.
And you’d like me to do my talk on CustomerDevelopment and startups?” “No, we’re the other CIA.” Their VC firm, In-Q-Tel , has been in business for 10 years, and like most VC firms they have an annual event where they show off their new portfolio companies to their limitedpartners and other VC partners.
Of course, bringing startups (whether prospective or existing portfolio companies) closer to operating divisions has business and customerdevelopment benefits. Access to potential buyers and partners is, after all, one of the main attractions why startups seek investment from corporate venture funds. Are they good sales people?
Steve Blank is a retired serial entrepreneur, educator, thought leader and creator of the rigorous "CustomerDevelopment" methodology that helps startups optimize their chances for success while reducing risk. Investors get board seats to assure themselves and their limitedpartners that they are duly informed about their investment.
Network: Expa will provide a bi-weekly breakfast with individuals that can help Expa Labs companies + share materials with our limitedpartners at the end of the program. Hearing from real people was my CustomerDevelopment Process for Labs, and it felt good to “get outside the building” and talk to prospective “customers”.
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