By Allen H. Kupetz
The views expressed may not reflect the opinions of venVelo’s board or its investors.
The views expressed may not reflect the opinions of venVelo’s board or its investors.
I wear two hats. One is a
professor who teaches entrepreneurship courses. The other is COO of a multi-million dollar early-stage investment fund. When investors find out I
also teach, I’m often asked, “Do you really think you can teach
entrepreneurship?”
“No,” has been my historical reply.
“You are either born with it or you are not.”
A better answer would be, “No, I
can’t teach someone to be an entrepreneur. But I can teach many things to someone
who is an entrepreneur.”
Three Quick Things
1. Never
confuse knowledge and wisdom.
I’ve written often about the
difference between knowledge and wisdom: knowledge is knowing a tomato is a
fruit; wisdom is knowing never put it in a fruit salad. Institutional investors
are likely betting, among other things, that you have more knowledge than they
do. But the hundreds of years of wisdom listening to your pitch and writing you
a check can still teach you a lot.
Listen. Execute. Repeat.
2. Talk
the talk.
Entrepreneurs need to truly
understand the language of venture capital. Debt vs. Equity. VC vs. PE. Options
vs. Warrants vs. Shares. Common vs. Preferred. Prefs. Don’t rely solely on your attorney or accountant. Read a
couple of books. Follow the blogs of Mark Suster (http://www.bothsidesofthetable.com/) and
Fred Wilson (http://avc.com/about/).
Read. Learn. Repeat.
3. The world is flat, but the
entrepreneurial community is even flatter.
Most funds you pitch are going
to turn you down – that is simply the math behind the game. But a no now doesn’t always mean no never. Learn something from the
questions and feedback you get at every pitch. Never ever dis your local investment community because word gets around.
Learn. Grow. Repeat.
Learn. Grow. Repeat.
A Closing Thought
- Utah Phillips
