(this post is a feed post from my comments on reddit)
r/venturecapital
oh man, where do i begin?
so basically, i got really excited and thought i’d ‘made it’ – i thought it was purely about placing bets and got sucked into the hype cycle. I got drawn into all the pitches and ‘potential’ – totally forgot about the pragmatic side of the numbers and the business (which is really ironic since thats what i’m good at)
the next area that i missed was the concepts around equity ownership, dilution, valuation – i had zero experience in this when i started, and even now, i’d say i’ve only got a beginners level education on anything relating to the Cap table, which again is ironic, because this is one of the most important parts – i notice you can be good at business and not be very familiar with stuff on the cap table, the opposite is also true – one is to do with running and operating a business, the other has to do with ‘trading’ a business.
lastly, i should have really taken my time, looked at the numbers and ignored the powerpoints and charisma.
For the pre-seed and seed investors, how early did you realize you had your first winner?
byu/Known_Impression1356 inventurecapital