TLDR:
- VC funding isn’t the only path to building a successful venture.
- Entrepreneurs can make VCs love their venture by understanding VC, using smart strategies, getting unicorn skills, finding smarter financing, and developing a unicorn attitude.
In a Forbes article by Dileep Rao, the author emphasizes that while many entrepreneurs believe that VC funding is the key to building a unicorn company, the reality is more nuanced. Only 6% of billion-dollar entrepreneurs end up ceding control of their venture to VCs and often hire a CEO appointed by the VCs. The article provides insights into 5 ways to make VCs love your venture:
Firstly, it is essential to understand VC funding and the fact that VCs finance only a small percentage of ventures. Entrepreneurs need to prove their venture’s potential before VCs show interest. Additionally, using smart strategies to get to Aha!, developing unicorn skills, finding smarter financing to maintain control, and executing with a unicorn attitude are all key aspects of attracting VC interest.
The article also highlights the importance of avoiding exploitation by delaying or avoiding VC funding altogether. By studying the strategies of billion-dollar entrepreneurs who secured VC funding after demonstrating strong leadership and skills, entrepreneurs can safeguard their vision and retain control of their venture and wealth created.
Rao’s take on VC funding is that it can provide a shortcut to wealth without the necessary skills, but in reality, unicorn-entrepreneurship requires hard work, skills, and control by the entrepreneur. By mastering these aspects, entrepreneurs can increase their chances of building a successful venture.
