To Our Clients & Friends: Welcome to our weekly series entitled “Helping Entrepreneurs Succeed.” Each week, we post a short video of a successful entrepreneur, investor or business leader on a variety of topics.
This week, we present a panel of extraordinary entrepreneurs and investors moderated by Don Dodge: Joe Kraus, currently a partner at Google Ventures; Paul Buchheit, currently a partner at Y Combinator; and Seth Priebatsch, the founder of SCVNGR. You can follow them on Twitter at @DonDodge, @jkraus, @paultoo and @sethpriebatsch, respectively.
In this very interesting, one-hour video (which includes a solid Q&A), the panel discusses “How to Get Your Startup Idea Funded by Venture Capitalists” and specifically notes the following:
- the importance of persistence (“the number one characteristic of amazing entrepreneurs”);
- two or three founders seem to be the “sweet spot” (“one is difficult”; “four, five or six is bad”);
- if founders have worked together in the past, there is a greater likelihood that they will succeed;
- in the early stage (seed or A round), the key to success is “all team”;
- find an investor you really want to work with (that you’re so “excited” to work with that you look forward to their calls);
- competitive dynamics increase your company’s valuation dramatically (investors have a “herd mentality”);
- “if you’re a technology company and you outsource the coding, you’re basically outsourcing the thing that you do”;
- you want a mind-meld among the team;
- “VC’s are pattern matchers”; and
- bootstrapping is “for real” and allows for small acquisitions/exit options.
I hope you enjoy it. Many thanks, Scott