Why choosing the right VC is crucial

“Will you cheat on me?”

I asked this question before getting funded.

Did you know an average successful company often outlasts the average successful marriage?

That’s why choosing the right VC is just as crucial, if not more, than choosing the right life partner!

While I can’t help you find the perfect partner, I can guide you to the right VC.

Here are 3 essential questions you need to ask to separate the mediocre (95%) VCs from the outliers (5%) in 2024:

Will this VC truly hustle for me?

A hustling VC will:

– Be proactive in addressing pain points
– Articulate how they can add value to your business
– Communicate clearly with a concrete plan & recommendations

Will this VC actually add value?

Assess:

– how culturally in line you are with the VC
– the improvements a VC can add to your company

For example:

Suppose you are a technical founder who built a B2B SaaS company with zero sales experience.

In that case, A VC with experience in sales might be the right fit for you!

Will this VC be true to their word?

Speak with founders from the VC’s portfolio. (Especially those whose investments didn’t do well)

Ask questions like:

– Can you describe the values of these VCs?
– How did this VC support you during challenging times?
– If you were to raise funds again, would you choose the same VC?

VCs understand they’re playing a power law game.

‘Power Law’ is where a single investment can bring exponential returns and redefine the entire fund.

The right VC will do everything possible to make you their star investment ⭐