Source | Linkedin.com | BY:Richard A. Moran
You made the pitch on a Monday to a venture capital firm and you believe you nailed it. Woohoo and hot damn! They laughed at the one joke. They asked good questions about the market size and the patent potential. No one fell asleep and at the end the group was effusive in showing appreciation. This could be it.
A day or two later you receive an email that the venture group decided to pass on your company but thanks and good luck. Ugh. Depression and back to using the credit cards. What happened? Was it presentation skills? Is it a bad idea? Should you go to work at Best Buy? What!? You may never know.
The relationship between entrepreneurs and investors is complicated. Investors are desperate to find good deals. Ideas with the possibility of a big return are really difficult to find. The most difficult part of being an investor is finding the next big thing. Entrepreneurs are desperate for the investment. The credit cards are at the limit and every start up is on the verge of greatness, if only that next round of money comes in. Two desperate parties looking for the same thing – returns. So why is there such a dance after the presentations? Why don’t the VCs give feedback? There are several reasons