Capital Markets
Venture Capital

According to this, most serial entrepreneurs display persuasion, leadership, personal accountability, goal orientation, and interpersonal skills.  But, there are four distinct skills lacking in most serial entrepreneurs: empathy, planning and organizing, self-management, and analytical problem solving.  Given they are critical to success of an organization, it seems advisable for investors to keep an eye open for these leadership deficiencies and have a plan for filling them.

Remember the days of 120-page private placements memorandums, 60-slide PowerPoint decks, and 90-minute investor presentations?  That was way back like, what, five years ago?  Actually longer than that, but the point is that today is a whole new world.  If you have something to sell, you have to communicate it in five minutes.  Sure, if you can initially hook a prospective investor, you’ll get a longer time with him or her down the line, but if you can’t set the hook in five minutes when you first have the opportunity, you are history, at least with that investor.  The “elevator pitch” that used to be confined to venture capital is now de rigueur virtually everywhere.  Investors simply don’t have time for anything else.  And even if they have the time, they demand simplicity in the business or at least that you have the ability to express it simply.  Here is a good guideline for your pitch.

So when a start-up hits the wall, it’s usually a pretty fast death as people run for the doors.  And they run for the doors because they think all value has vaporized, they need a paying job, and while it’s okay to have been associated with a failed start-up, there is a stigma attached to hanging around the carcass too long.  But there is usually value in the fast sinking ship: the people themselves, their ideas, their teamwork, their connections, and, of course, their IP.  So this guy at ExitRound is trying to develop a way to effectively broker the remains.  Kind of interesting.  

Well, here is what one, Sequoia Capital, one of the top Tier 1 venture capital firms, is looking for:

The venture capital business is really, really difficult.  Those that excel are really, really good.  Check this out.

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