As we explore a seed round of VC funding for Avnir, a mentor has driven into me to "interview them as much as they'll do their due diligence on you!"
When I consider professional etiquette important to me (and probably every serious founder), I am reminded of what I've coached hundreds of executives on over the past two decades: "Your culture is a culmination of behaviors you're willing to tolerate!"
So, here is a Top 10 List of Professional Etiquette crucial to long-term strategic relationships between VCs and founders:
1️⃣ Respect for Time—Punctuality, Efficient Communication, and Timely Feedforward are demonstrated and genuinely felt. We would both rather me invest time in building the business.
2️⃣ Transparency—Clear Expectations, Honest Feedforward, and Disclosures on conflicts of interest or resource limitations save everyone unnecessarily wasted cycles!
3️⃣ Professionalism—Politeness, Confidentiality, and Objective Evaluation allow courteous interactions, respect for proprietary information, and avoiding bias in evaluating the founder's meritocracy.
4️⃣ Empathy—Understanding the Journey and Constructive Dialogue acknowledge the uphill battle founders face while avoiding unnecessary criticism and providing supportive guidance, demonstrating a genuine interest in their vision.
5️⃣ Integrity—Fair Terms, Follow Through, and Avoiding Overpromising honor commitments during discussions, and create realistic expectations from the relationship.
6️⃣ Co-Creation—Value-adding Mindset and Team Player Attitude accelerate the founder's ability to gain traction and position the VC relationship as transformational vs. simply transactional.
7️⃣ Humility—Avoiding Arrogance, Condescension, and Open-Mindedness acknowledges that both parties have unique expertise to add and enhance the receptivity to unconventional ideas, approaches, and perspectives.
8️⃣ Listening Louder—Present, Engaged, and Clarity of Intent eliminates distractions, brings out what's not being said, and jointly crafts better questions to help uncover the unknown and the undiscovered.
9️⃣ Encouraging—Supportive Communication, Positive Reinforcement, and Inspiration help celebrate small wins and key milestone achievements. It's ideal to light a fire within the relationship rather than under anyone, which seldom lasts!
🔟 Playing the Long Game—Relationship Nurturing and Post-Investment Care establishes the runway for a lasting partnership rather than simply pitching a deck and closing a deal. After the investment decision, sustaining the relationship will determine the partnership's long-term perspective.
Jason M. Lemkin, Peter Bell, Cassie Young, and Ed Sim - you exemplify world-class in the relationships you build with your founders. Did I miss anything?
#VCFounderRelationship #AlignedExpectations #RelationshipsMatterMoreThanEver