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@demodayatx Interview with venture capitalist Bradley Tusk on what NOT to say when pitching to investors #investing #vc #startups #tech
We were in New York recently and got to interview some of the best VCs based in the city. We learned a lot from our conversations. Here’s Jackson’s 4 biggest takeaways from speaking with Bradley Tusk (Tusk Venture Partners).
1. 😎 OVERESTIMATION KILLS FOUNDERS:
a. I asked Bradley if there was a cliché he disliked hearing the most from founders when pitching. His answer? When founders overestimate the market their company exists in and oversell how easy it will be to rise to the top.
b. Naivety is an immediate turn off. Bradley recommends founders instead be honest and humble about the uphill battles they face.
c. Confidence is still key, however. When you pitch, make the case that you’re the best person in the world to solve a very difficult problem, not a very easy one.
2. 📚 READ AND WRITE MORE:
a. Bradley’s “perfect morning” starts with reading the top stories from the Wall Street Journal, New York Times, Washington Post, New York Post, and New York Daily News.
b. He also writes regularly on his Substack about politics, regulation, and tech. His firm strives to reach new founders through earned media over purchased media. And that means actually spending time writing.
c. How my conversation with Bradley inspired me: Since then, I’ve consistently read and journaled every morning (mornings I read the Bible and evenings Jared Kushner’s Breaking History).
3. 🤑 BRADLEY IS A VENTURE CAPITALIST WHO ACTUALLY SEEMS TO CARE MORE ABOUT THE HEALTH OF THE COUNTRY THAN THE WEIGHT OF HIS WALLET:
a. Bradley says that it could be argued that a Trump presidency might be better for American markets, and a victory for him in November could be a victory for most VCs’ pockets. Despite this, he says Biden is his preferred pick as he thinks a non-Trump presidency would be better for the country and the world (*interview was recorded before Biden announced he was dropping out of the race*).
b. No matter who you’re voting for, I was impressed with this level of conviction from someone who the world often expects to value money above all else.
4. 🥇 BE GOOD AT EVERYTHING. BE THE BEST AT ONE THING:
a. Bradley is a man of many talents—he’s an investor, philanthropist, podcaster, writer, bookshop owner, and much more—and he does all of these things very well. And yet his firm’s primary focus is to be the BEST in the world at only one thing: Helping startups navigate highly regulated markets.
b. In his words, when founders are looking for an investor that can navigate the regulatory world, “We’re one of one. It doesn’t matter what Sequoia is doing or what Andreessen is doing.”
c. As I’ve been watching the Olympics, it’s hard to imagine too many athletes are also the best at any other thing than what they are in Paris to do this summer. The takeaway: Total dedication to one goal is more effective to achieving success than evenly distributed dedication to ten goals.
@demodayatx It’s simple: stop wasting people’s time. New interview live on YouTube! #tech #vc #startups #founder
Jackson also sat down with Antler’s Jeff Becker while in the city. Here’s his 3 favorite takeaways from their conversation:
1. 💬 NO MORE SMALL TALK WHEN PITCHING A VC.
a. Venture capitalists are busy people—don’t waste precious time talking to them about the weather or where they are calling in from.
b. When you meet with a potential investor, board member, advisor, or anyone that can have a significant impact on your company, make the most of every minute.
c. Come to the call prepared to take charge, provide an outline for how you want the conversation to go, and be honest about what you want. It’s the compassionate thing to do.
2. 😓 IF YOU’RE GETTING BURNT OUT, YOU’RE WORKING ON THE WRONG THING.
a. Building a company should be fun. Meeting with new founders/investors should be fun. Creating something should be fun.
b. If burn out is creeping up, you’re either innovating too slowly or spending too much time focused on the wrong part of the business.
3. 💼 WHETHER YOU’RE LEADING A TEAM OF TWENTY OR A TEAM OF ONE, YOUR COMPANY’S CULTURE DEPENDS ON YOU.
a. Be the culture you want to see in your company.
b. Your time NOW is more valuable than your time in the future, so choose to be ALL IN early.
c. The culture you establish when your team is one will set you up for success when your team is twenty.
WHO JUST GOT PAID?:
- Thrive Capital raised over $5B for its ninth fund.
- Abnormal Security, an email security company, raised $250 million in Series D funding. Wellington Management led the round and was joined by Greylock Partners, Menlo Ventures, Insight Partners, and CrowdStrike Falcon Fund.
- Astranis, a satellite producer, raised $200 million in Series D funding led by a16z and BAM Elevate.
- Flo Health, an ovulation and period tracking app, raised $200 million in Series C funding from General Atlantic.
Our Favorite X This Week:
Barry Keoghan working a hybrid remote job: It’s sart of in porson
— Ken Greller, BFA (@kengreller)
1:33 AM • Aug 3, 2024
See you next week.
