Maltz: Late-stage VC shifted from reactive relationships to proactive sourcing
Jules Maltz · 20VC: What Does It Take To Gain A Late Stage Cheque Today? The Fundamental Mistakes CEOs Make In The Scaling Process & The Importance Of Building The Next S Curve For Founders with Jules Maltz, General Partner @ IVP · Feb 6, 2017 · at 4:17
Jules Maltz, General Partner at IVP, explains the historical evolution of late-stage venture capital deal sourcing and how increased data access altered VC deal dynamics.
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“Venture historically has been very much a cottage or relationship industry, and so deal flow would often come to the later stage investors from great early stage firms, and early stage firm would fund a series A or series B, and then basically they'd Go to their friends and say, hey, we need to raise a bit more money, and these later stage firms would do those investments. What changed is, you know, with the internet and just information being more readily available on how companies are doing, all of a sudden, as a later stage firm, you could actually figure out what are the best companies to go after. And so, instead of waiting for your friend at an early stage VC firm to give you a call, why not just give a call to the CEO directly and tell them about your firm and why you can be helpful to them. And so, the industry is Become massively more proactive.”
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