Comments on: Demystifying Indian VCs – what they say and what they mean

By: Sreejata Guha

Sreejata Guha — Mon, 14 Mar 2011 03:47:48 +0000

I think you should start a consulting firm that would match VCs to startups. Seems to be a bit of a ‘tum kahan’ ‘Main yahan’ situation right now with both ends looking for each other in the wrong places or from the wrong ends!

By: Sarika

Sarika — Fri, 21 Mar 2008 07:51:12 +0000

Very interesting post ashish! The points are very useful for entrepreneurs.

“Interesting but…..”
“VCs in India are risk averse”,

I’d add – another point of saying “no” is “… doesn’t fit into our investment
objectives or markets we address”

By: Sankar

Sankar — Thu, 06 Dec 2007 04:33:53 +0000

How many VCs says no to a project and give a reason for it. They may say “You are too early to us”. Does that mean that if we have a team he will fund the project? Maybe not. One of the reason why startups gets frustrated is that they don’t get a proper reason for rejection. If they get a reason though they may be disappointed but it would go long way in help them to build a better business

By: Ashish

Ashish — Fri, 23 Nov 2007 09:16:37 +0000

@Dianne – Maybe yes. Correct way to put that up is “here arent a heck of a lot of interesting VC level ideas floating around in india in Internet/Mobile segment“!

By: Dianne choksondik

Dianne choksondik — Fri, 23 Nov 2007 07:18:27 +0000

Could it be that there arent a heck of a lot of interesting VC level ideas floating around in india.

By: Sumedh

Sumedh — Fri, 23 Nov 2007 06:32:04 +0000

You know what I think…

Ashish, I think we should start something up !!!

By: rAm

rAm — Fri, 23 Nov 2007 05:51:05 +0000

Nice points Sanjay,

It boils down to our culture where more weight is put on rejection than on the reasons behind rejection. We tend to blame the object than the reason behind it.

And sometimes i feel VC’s to can go wrong. (Or else why would the success ratio be only abt 2 in 10 ).

By: Sharayu Sharma

Sharayu Sharma — Thu, 22 Nov 2007 20:03:00 +0000

Desi VC=rubber stamp – rarely takes any risk unless blessed by their US bosses

By: Unmesh Mayekar

Unmesh Mayekar — Thu, 22 Nov 2007 18:05:00 +0000

I think mismatched expectations could be the cause for most entrepreneurs feeling they have been given the cold treatment by VCs. A VC telling you “You’re too early for us” is a sure sign that you are talking to the wrong segment for seeking investments. You better stop haunting VC’s and start digging into your pockets or hope for an “Angel” investor to glide by. An Angel, as opposed to a VC, has stomach for more risk and is likely to roll up his/her sleeves to help you in the trenches. Bugging VC’s without a clear revenue stream is in-my-opinion wasting time (the only up-side I see is that you will have a business plan completed in the process – which in itself is a dead document as soon as its written – but thats another story).

By: Deepak Vinchhi

Deepak Vinchhi — Thu, 22 Nov 2007 11:37:45 +0000

Hi Sanjay,

Excellent points & very useful for entrepreneurs.
I would like to add a couple of points:
- I think that VCs nowadays are much more straightforward in
saying “no” by whatever means, and generally want to give a
“close to truth” reason rather than beating around the bush
- Another way of saying “no” is “… doesn’t fit into our investment
objectives or markets we address”

Deepak