| This does sound positive. However, the typical funding journey for a VC involves: - Getting to know you and your business
- Deciding whether you’re worth investing more time into
- Discussing with colleagues if you’d be a fit for their portfolio
- Discussing valuation and terms
- Them pitching your business to their investment committee
- Agreeing and signing a term sheet
- Legal, technical and financial DD
- Final contracts and negotiation People often fail to realise how many steps there are in a VC investment. Typically angel investors are usually faster and less formal. This sounds good - social media feels unusual (I spent 2 years at a VC fund). VCs, due to the nature of their business, are incentivised to keep potential investments ‘on the line’. That means it’s very rare to get a full-on rejection from a VC right at the very beginning. Most deals never go past that initial “coffee and hello” stage. My advice would be if you have one VC’s ears perked up… Use that as evidence you’re onto something and talk to more. It’s very much a FOMO game - investors will always be more interested if you’re talking to other firms. Best of luck. |