You may have already read the post by Rand Fishkin about his experience with a busted investment deal. In his post, Rand goes into exceptional detail about the experience, including getting into the details of the deal itself. If you haven’t read it, you need to. Go ahead and read it now… I’ll wait…
What Rand describes is not an unusual event. Venture deals do break up post term sheet (LOI) signature–and they do often. While we at OpenView aim for a 100% close rate, we forecast one in three term sheets not closing. Busted deals are a reality. The key is to figure out how to minimize the probability of it happening… and when it happens, how to minimize the impact on both the company and the VC’s reputation.
To read the full, original article click on this link: How to Avoid a Busted Venture Capital Deal | OpenView Blog
Author:Firas Raouf
