According to the Silicon Valley Leadership Group, there was a 37 percent decline in venture capital investment in 2009. Startups looking to find funds this year might consider tips offered by venture capitalist Mark Suster.
Suster told SmartPlanet.com that it’s best to try to meet venture capitalists in person. VC firms get countless business plans mailed to them, so entrepreneurs who show up at their doors will stand a better chance of actually having a financier review their business models.
Moreover, Suster says entrepreneurs with the gumption to meet financiers face-to-face will project the image of being assertive go-getters. This is seen as an asset with respect to the potential for business owners to bring in top sales associates, recruit leading marketers and succeed – all of which is attractive to VCs.
Suster admits it can be intimidating to meet with financiers. He advises entrepreneurs to network with other business people. Fellow startup pioneers will offer insight on how to pitch to difference venture capitalists.
With these tips in mind, entrepreneurs might get started on business formation now in preparation for meeting lenders. Whether or not VCs come through with funds, the Conference Board’s Consumer Confidence Index reveals that Americans are optimistic about the markets – so consumers’ cash could be headed to new companies soon.