This is a guest post written by a London-based VC. For the purposes of them being able to speak plainly without jeopardizing their fund or their career, I’ve allowed them to post anonymously. Why are we doing this? Well, while the startup eco-system is long in the tooth and highly developed in the US, the European scene is still a spotty, shy teenager, sometimes making a few mistakes. And as a result startups need educating. Make no mistake, LondonVC is a genuine VC and TechCrunch Europe met them face to face. Over the next few weeks they are going to offer a unique insight into the VC and startup world in Europe. I hope it’s enlightening for European startups. Read and learn.
One reason I started this column is because I see a lot of “injustices” in the VC-start-up universe, and while I’m obviously aware that we don’t work in the charity sector and that business is business — and we’re here to maximise investment returns! — I do think we should let market forces determine what’s reasonable or not for business practices and deal terms. However, this works only if entrepreneurs actually have access to experience and insight into what really has been “standard” or acceptable in the past.