Petrossian also suggests that startups should reserve communications with VCs for when they are actively fundraising, as premature discussions can potentially be used against the company. He emphasizes the importance of building a strong business, as no amount of VC connections can save a weak business. Despite the current less abundant capital, he believes that by focusing on building a strong business, working with aligned VCs, and not being overly attached to outcomes, startups can position themselves optimally for funding.
Key takeaways:
- Startups and venture capitalists should focus on the journey of fundraising rather than being overly invested in specific outcomes like which VC brand to be backed by or what their valuation should be.
- It's more important to work with VCs that share similar values and a personal connection than to be backed by a flashy VC firm.
- Founders should avoid getting greedy with high valuations, instead they should optimize for the people investing in them to grow their company in a healthy manner.
- It's recommended to reserve VC communications for when a company is actively fundraising, focusing more on building a strong business that will attract VCs.