Venture Capital firms screen through hundreds--if not thousands--of investment "opportunities" each month. To differentiate yourself from your competitors, it's important to avoid the classic mistake companies make while trying to sell themselves to VC firms--not presenting a solution to a consumer need--and to learn what steps you can take to have VCs wanting to invest in your idea. As both an entrepreneur and venture capitalist, I've sat on both sides of the table. Here are the seven secrets to what VCs are looking for as they consider who to invest in:
1. Track Record
Which team would you bet on if the LA Lakers played a Division III team? The same holds true for venture capital firms; VCs prefer to bet on experienced winners. This means that if you're a kid right out of college, even if you have a great idea you'll most likely be written off as "likely to fail." This is because already established winners tend to win, while unknowns are far more likely to lose.
But even if you
are an unknown just starting out, there's still a chance that you could score VC money -- but the hurdles are going to be higher.
To read the full, original article click on this link: Kevin O'Connor: Seven Secrets to Raising Venture Capital
Author: Kevin O'Connor
