Levine: Founders should deeply interview prospective board members
Daniel Levine · 20VC: Accel's Dan Levine on The Current State of Seed & Series A, The Rise of Pre-Emptive Rounds, Solo Capitalists and Multi-Stage Funds Entering Seed & Market, People and Product; What To Prioritise? · Nov 12, 2020 · at 37:58
Daniel Levine is a Partner at Accel. He discusses best practices and common founder mistakes during early fundraising rounds.
0:00 / 0:12exact quote · 12.9s
720p mp4 · rendered on demand · StarZero watermark
“Really interview the person you're working with. These people are going to be with you forever. You should really want to get to know them, and it doesn't mean you get to know them by telling them about your business. Ask them about theirs. Ask them about their lives, their relationships, their favorite food, whatever it is. Learn more about the people you're thinking about working with.”
quote is from the automated transcript, cleaned for reading: filler sounds and stutters are removed, nothing is rephrased. names can be misheard (the analysis reads context, assessments check outside sources). how →
More from Daniel Levine
Levine has never invested right around the $1M ARR threshold
“As far as I know, I have not once done a deal right before, right after hitting a million dollars of ARR.”
Levine: Investors make the most money in a market's second or third inning
“And so a lot of markets, when people think, oh, that's new, it's interesting, that's actually not when you make the most money as an investor. You often make the most money in the second or third inning or later of a market, because all of a sudden the market …”
Levine: Y Combinator founders' skepticism toward VCs is often merited
“I think the default posture of YC companies and founders is a little bit of fun, fear, uncertainty, and doubt about the venture community, which I think is merited in some cases”
Levine: Venture capitalists are not the difference makers in startup success
“I'm trying to do my marginal best, and the company's doing extremely well, and I like to think I'm helping somewhat, but I'm not the be-all, end-all. I'm not the difference maker.”
Levine refuses to invest in unlikable founders despite potential financial returns
“There's a lot of ways to make money backing people you might not particularly like, and I effectively will forego those.”
Levine: Individual personal branding within a VC partnership hurts firm cohesion
“I'm very nervous anytime somebody tries to develop an individual brand at a venture firm, because I really believe that it's a team sport. I really, really, really fundamentally believe that you need a group and a partnership, and it makes everyone stronger.”