A VC in Vacationland

Al Gore purportedly said this to his fellow Congressional colleagues recently after they congratulated him for winning the Best Documentary Academy Award for An Inconvenient Truth.  Whether you believe his message or not, the guy is sure persistent in his quest, one he has been pursuing for almost two decades.

In many ways, he reminds me of a lot of entrepreneurs I have run across lately–just guys with slide decks.  They may have a decent story, but their pursuit of funds has blinded them to some of the basic niceties of life.  Perhaps I am old fashioned, but I like to spend a some time getting to know people a bit better before they hit me with their pitch.  Or at least have them know a bit about me, what I do, and what I expect from a potential investment. 

Even though I do weekly posts on my Blog that clearly outline what types of companies I invest in, what types of people I like to invest in and where I think the market is going, I am amazed at the number of supplicants who do not take the time to read anything about me or what I believe. They show up and immediately WebEx or project their power point presentation, rushing right into THEIR pitch.  They do not really want to hear much about me or my background,  I am clearly VC number 15 out of 30 they plan to approach to many of these entrepreneurs.  Well, guys & gals, I like a little foreplay before we climb into bed….

It’s not that I think I am always right. No way.  I am always willing to be convinced that I am not seeing a market or it’s customer in the correct light.  But I like to do it in the context of rational arguments.  For example, I am not a great believer in enterprise software as the only solution platform for the supply chain market.  I believe that we will see significant new efficiencies arising out of the "network effects" of SaaS related software in this space. Telling me that SaaS is not a platform you want to consider will require some detailed discussion as to why you are making this choice. I may be convinced you are right in the end, but I do like to have the discussion.

So, try not to be just a guy with a slide deck.  Do your homework on the person you are meeting.  Read their Blogs and articles if they have published any.  It is really easy to find out lots about someone on Google, so there is no excuse to show up uneducated.  Any finally, show up with an open mind.  Don’t argue with the VC’s when they ask a legitimate question–try and answer the question in the context of a broader range of options, rather than reiterating your fixed roll out plan on page 8 of your deck.

Above all, be polite. I am amazed at the number of would-be entrepreneurs who dismiss any thoughts I might have about ways to approach the market. I just tune them out at that point and look for a polite way to end the session.  Remember who write the checks to fund your dreams.