Reddit reviews Venture Deals: Be Smarter Than Your Lawyer and Venture Capitalist
We found 7 Reddit comments about Venture Deals: Be Smarter Than Your Lawyer and Venture Capitalist. Here are the top ones, ranked by their Reddit score.
Wiley
If I were you, These are some steps I would take to increase my odds of getting a VC job assuming you are new the field and don't have $$ you can afford to easily lose.
A- No experience, little to no money
1- Read at least 5 books about the industry
2- Listen to podcasts and watch YouTube videos with VC interviews and teachings
3- Networks with VC
4- Land a job
5- Make money
6- Become a professional VC
Books to read
1- #Breaking Into VC - Bradley Miller
https://www.amazon.com/BreakIntoVC-Investor-Entrepreneur-Professional-Guidebook/dp/1544934343
2Done Deals
3-Essentials of Venture Capital
4- Venture Deals
5- The Business of Venture Capital
Podcasts and radio to listen to
1- Angellist radio
2 - 20 Minutes VC with Harry Stebbings
http://www.thetwentyminutevc.com/
3- Bloomberg radio
4- Investors archives series on YouTube
https://www.youtube.com/channel/UCVJalJNQWimC2zWrIHR_bSQ
Networking with VC
You can go on VC firms websites, find some VC partners you admire and email or call them to pick their brain.
You could also attend VC meetings or pitc competitions if you have access to.
These first steps will increase your chance of getting a job or at least an internship leading to a job.
In terms of making money, this is a personal decision up to you. VC firms themselves are funded by Limited Partners such as pension funds or school endowments. So they are pretty much investing other people money in most cases.
All these steps apply if you want to be a professional VC in a traditional sense, a job like one would imagine an investor banker on Wall Street or a doctor working in a hospital.
B- If you have the knowledge and the money likeChris Sacca
Depending on your income, you can start right away and become a VC. If you have money, you can invest in any business venture you want and start practicing your craft. You wouldn't necessarily need to join a firm. You can even start your own firm if you're loaded.
In either case you need to have a deal flow (investment opportunities) and be able to do due diligence. VC is a calculated investment not a lottery.
You would also need a great understanding of the ecosystem of business venture including the relationship between VCs, entrepreneurs and the business opportunities/markets.
Go ahead and become a VC, you do need to get permission from anybody. If you're hungry enough figure it out and GO FOR IT.
Venture Deals is a great reference.
There is no shortage of discussion on various blogs, Fred Wilson and Mark Suster are two of the best.
For actually drafting up terms...get a lawyer. Preferably one that deals with companies at your stage and investments on a regular basis.
Valuations are market driven, it's the price that you and the investor can agree upon. Convertible notes and SAFEs do not avoid this, read this outstanding post as to why. Active investors are setting your price based on their other options.
I recommend a book by Brad Feld,
https://www.amazon.com/gp/aw/d/1119259754/ref=dp_ob_neva_mobile
It would also be wise to read the SAFE primer. As a founder of a semi-successful seed stage startup, I wouldn't use a convertible debt note to raise money.
https://www.ycombinator.com/docs/SAFE_Primer.rtf
Plug: https://www.fastcompany.com/3068575/will-ride-hail-be-free-by-2021-the-startup-ad-platform-vugo-says-yes
Startups are much more complex than real-estate deals, so you aren't going to find as concise of a book as the Art of the Deal, Zero to One as recommended in another comment is a great one though.
For the ethos of startups I would recommend: Hackers and Painters by Paul Graham
https://www.amazon.com/Hackers-Painters-Big-Ideas-Computer/dp/1449389554
For the nitty gritty of deal making with VCs (I still haven't made it all the way through this one, as it gets very in depth for someone who isn't quite at the point of looking for funding) this seems to be the go-to:
https://www.amazon.com/Venture-Deals-Smarter-Lawyer-Capitalist/dp/1119259754
You know what I'm going to do? I'm going to help you out.
Venture Deals: Be Smarter Than Your Lawyer and Venture Capitalist, by Feld and Mendelson
Term Sheets & Valuations - A Line by Line Look at the Intricacies of Term Sheets & Valuations
And of course, The Art of the Deal for when you want something more high-level. Hope this helps!
"Venture Deals" by Brad Feld. https://www.amazon.com/gp/aw/d/1119259754/
https://www.amazon.com/dp/1119259754/ref=cm_sw_r_cp_apa_WliWAbA4JHZVQ