Read on Twitter
Thanks, @GaleBowman of @VitalizeVC and @MacConwell of @RarebreedVC for the AMA on your experience in VC.
They covered:
- Using Twitter as a VC
- LP agreements
- Imposture syndrome
- Differentiation
- Building a network and LP pipeline
Here were a few takeaways
They covered:
- Using Twitter as a VC
- LP agreements
- Imposture syndrome
- Differentiation
- Building a network and LP pipeline
Here were a few takeaways
How @MacConwell uses Twitter as a VC:
1) Started by tweeting every day for two weeks
2) Booked meetings with followers
3) Doesn't overthink it, but is consistent
Key takeaway: ROI is from the follow-up and DM (Optimized w/ @Calendly)
He's done 2,000+ meetings since June
1) Started by tweeting every day for two weeks
2) Booked meetings with followers
3) Doesn't overthink it, but is consistent
Key takeaway: ROI is from the follow-up and DM (Optimized w/ @Calendly)
He's done 2,000+ meetings since June
If thinking about creating a syndicate alongside a fund, you need an LP agreement to allow you to do it.
Echoed in the AMA repeatedly:
Set up your fund correctly FROM THE START or you'll be screwed years down the line.
Echoed in the AMA repeatedly:
Set up your fund correctly FROM THE START or you'll be screwed years down the line.
To set up your fund correctly, avoid early pitfalls, and build success later on:
1) Get advisors
2) Build relationships with VCs at all stages
Other VCs provide guidance, can be co-investors, sources of deal flow, and sources of follow-on capital
1) Get advisors
2) Build relationships with VCs at all stages
Other VCs provide guidance, can be co-investors, sources of deal flow, and sources of follow-on capital
Imposter syndrome is real.
Especially in VC.
Even with successful fund managers.
If you want to be in the industry, you'll face it too. Knowing this going into it is helpful as a starting point so you can move forward with doing the best job you can.
Especially in VC.
Even with successful fund managers.
If you want to be in the industry, you'll face it too. Knowing this going into it is helpful as a starting point so you can move forward with doing the best job you can.
You need to understand what makes you unique as a VC.
Is it access to deals?
The ways you support founders?
Unique industry insights you possess?
With so many other VCs in the market, how will you stand out?
Is it access to deals?
The ways you support founders?
Unique industry insights you possess?
With so many other VCs in the market, how will you stand out?
How to start building your network and track record as a VC:
- Start advising entrepreneurs
- Participate in angel syndicates ( @HarlemCapital invested in 6 companies as angels before fund 1)
- Meet w/ as many founders as possible to understand what good deals look like
- Start advising entrepreneurs
- Participate in angel syndicates ( @HarlemCapital invested in 6 companies as angels before fund 1)
- Meet w/ as many founders as possible to understand what good deals look like
Invest in your negotiation skills if you want to be a VC.
@GaleBowman mentioned how the "Best money I ever spent was on a negotiation course."
Going to make deals for a living? It pays to invest in the proper skills.
@GaleBowman mentioned how the "Best money I ever spent was on a negotiation course."
Going to make deals for a living? It pays to invest in the proper skills.
There are many ways to break into V.
Getting a platform/marketing role can be a way to break in, meet lots of founders, and take on investing responsibility in time. (My personal route)
Chief of staff is another role that can get you an in at a venture firm.
Getting a platform/marketing role can be a way to break in, meet lots of founders, and take on investing responsibility in time. (My personal route)
Chief of staff is another role that can get you an in at a venture firm.
If you're going to be a single GP, it's even more important to connect with other GPs.
Why?
Just like being a solo founder, being a single GP can be a lonely path, if you're going this route, building your support network is crucial both tactically and for your mental health.
Why?
Just like being a solo founder, being a single GP can be a lonely path, if you're going this route, building your support network is crucial both tactically and for your mental health.
In building an LP pipeline, @GaleBowman and @MacConwell take 2 different approaches:
Gale: Use LinkedIn, create LP lists in each category, hustle
Mac: "Spray and pray" through Twitter, always ask for 3-5 other LP intros, hustle
Did I mention, HUSTLE
Gale: Use LinkedIn, create LP lists in each category, hustle
Mac: "Spray and pray" through Twitter, always ask for 3-5 other LP intros, hustle
Did I mention, HUSTLE
A few keys early on as an emerging fund manager:
- Understand soft commits vs. hard commits
- Get legal docs set up correctly
- Narrow your investing focus
- Build team of self-starters okay with ambiguity
- Understand how your early decisions impact later decisions
- Understand soft commits vs. hard commits
- Get legal docs set up correctly
- Narrow your investing focus
- Build team of self-starters okay with ambiguity
- Understand how your early decisions impact later decisions
The value of taking classes like @vcunlocked?
The network.
Taking VC classes ultimately comes down to surrounding yourself with like-minded people.
Can paying for VC classes be worth it? Yes.
Do you need to take paid classes? No.
The network.
Taking VC classes ultimately comes down to surrounding yourself with like-minded people.
Can paying for VC classes be worth it? Yes.
Do you need to take paid classes? No.
Final takeaways from @GaleBowman and @MacConwell on becoming a VC:
- It's hard to fundraise as a VC
- It's hard to differentiate as a VC
- It's an insane amount of work
But it can all be worth it for the people you meet and the impact you can make.
- It's hard to fundraise as a VC
- It's hard to differentiate as a VC
- It's an insane amount of work
But it can all be worth it for the people you meet and the impact you can make.
