More cleaning up the bloglines saved messages. Tom Evslin, author of my current favorite podcast book hackoff.com, writes about VCs and more. He talkes about his experiences with many VC funding companies and the like including “THE legendary VC John Doerr” of Kleiner Perkins. He interviews several other VC people and provides positive feedback from them on all aspects of the process.
His posts are listed here:

VC Primer from an Entrepreneur’s POV – The Five Year PlanVC Primer from an Entrepreneur’s POV – Source of Funds

VC Primer from an Entrepreneur’s POV – The Funds

VC Primer from an Entrepreneur’s POV – What About Angels?

VC Primer from an Entrepreneur’s POV – Finding First Round VCs

The latest installment talks about what questions your presentation has to answer:
VC Primer from an Entrepreneur’s POV – What to Show VCs

  1. Who are the potential users of your service?  If there already are some, great.  Use what you know about them to validate your thesis of who needs your service.
  2. What are the benefits of your service to these users? BENEFITS, not features.  Don’t start with “easy to install.”  It’s even easier not to install.  Someone has to want to install before they care whether it’s easy or not.
  3. What are the obstacles to use?  You don’t have to dwell on this but it’s good to show you’ve thought about it.
  4. How will you market to get new users?  Even better if you can already demonstrate that the approach works.
  5. How will you sell?  This is not the same as marketing and you need to demonstrate that you know the difference.
  6. If your service depends on network effect, (Metcalfe’s law), how will you get past the initial stage where there aren’t enough users to create significant network value for any of them?  This is by far the most important issue for network-effect services.  Sure – with a million users, you’ll have great value; but how will you ever get there?
  7. Who’s on your team (including you); what have they accomplished in previous lives; and what skills do you need to add when you get the money?
  8. What are the other ways you plan to use “their” money?
  9. How will you make money?
  10. What are the metrics of success on the way to making money?
  11. Why can this business succeed as a stand-alone business?  They know that the most likely successful exit is a buyout but they also know, except in the frothiest of times, it’s hard to get a good price for an incomplete business.

On another note, here is a list of 10 Sensible Startup Rules:

  1. Be Narrow
  2. Be Different
  3. Be Casual
  4. Be Picky
  5. Be User-Centric
  6. Be Self-Centered
  7. Be Greedy
  8. Be Tiny
  9. Be Agile
  10. Be Balanced
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