Don't Look For BFFs When Pitching For VC Dollars

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TheFunded started publishing a list of top rated venture capitalists today. The ratings are based on reviews (either anonymous or not) written by entrepreneurs who’ve pitched those VCs.

Should you pitch VCs that have higher ratings? No. Their rating is irrelevant, and some of the VCs that have the best track record at picking, building and selling companies also have the worst reputations on the site. Whether reviews come in positive or negative, they aren’t worth much. Rejected entrepreneurs always want to blame someone for their failure – one place to turn that anger is TheFunded. Funded entrepreneurs want to get points by saying how great a VC is – and they, too, turn to TheFunded. At the end of the day, TheFunded is a great read, but the reviews are worthless and conflicted.

Do you really care if a venture capitalist shows up to your meeting ten minutes late or forgets to offer you a beverage? If a VC goes out of his or her way to be nice to you, is that really a reason to take money from them?

Think of it this way. If a VC stops a meeting early and says they’ll get back to you (that means “no thanks, we’re passing”), they’re doing both of you a favor. A deal isn’t going to happen. It’s far better to turn your attention to the next door down on Sand Hill Road than go moaning about it on TheFunded.

Focus on your business, and if you are lucky enough to have your choice of VCs when raising funding, take the best terms from the best branded VC you can get, even if you don’t get a latte when you drop by their office. Your goal should be to build a successful company, not have your ego stroked.

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