I got an email this morning from an entrepreneur that I know that has been trying to raise an early round from a "seed VC investor" for the past few months. He's put together (and closed) a decent angel round and left it open for this seed investor.

This morning the entrepreneur was told by the VC that they are "postponing their decision on investment until a future round" because one of the partner's friends at BigCo "isn't comfortable with the direction the startup is headed."

I asked the entrepreneur who the person at BigCo was. I know plenty of folks at BigCo in the relevant area and wanted to do a reality check for the entrepreneur. He responded that the partner at the VC firm wouldn't say - just that it was a good friend.

I told the entrepreneur to move on and not worry about it because I put this in the "VC kick the can" category. Given that data above, I don't think the VC was ever serious - if they were at a minimum they would have connected the entrepreneur up with the person at BigCo.

Remember kick the can? It's a game that is mildly entertaining but fundamentally pointless. You play it because you are hanging out, have nothing better to do, and feel like playing a game is better than doing nothing (with my apologies to children all over the world.) For whatever reason, VC's play this game with entrepreneurs all the time.

I'm sure I am occasionally guilty of it but I try really hard not to be. The best move for an entrepreneur - when they find themselves in a game of kick the can - is to pick up the can and say something like "so - are you serious about funding us or not. If not, just tell me. If you are, what do we need to do next to get to a deal?"

Dear entrepreneurs: Just because your VC can't seem to make a decision doesn't mean you should be an enabler. Kick the can usually ends when everyone gets bored of playing.

Read this post in Brad's blog.

Like this article? Share it with your friends

E-Mail | Print | More

Related Articles
The VC Version of Kick the Can
	I got an email this morning from an entrepreneur that I know that has been trying to raise an early round from a "seed VC investor" for the past few months. He's put together (and closed) a decent angel round and l...
Survival Tactics
	The giraffe is the largest mammal that gives birth while standing up. I don't speak "giraffe," but I can imagine what the baby giraffe must think when he bounces on the ground from that great height. He just left...
How To Create Your Very Own Client Newsletter
	So you're thinking of using a client newsletter. That's good, because there are lots of reasons why using newsletters for business development is a good idea. Here's the biggest: a monthly newsletter is tops in s...
PDF Your Board Package
	Thankfully I no longer get fedexed binders of board packages from my portfolio companies in advance of a board meeting. Through the modern miracle of email, the board packages show up in my inbox – hopefully a few ...
Kick Into Fall
	After a little hiatus this summer from publishing my e-zine I am back in full force wishing you a wonderful fall season

---

Related Forum Posts
	Techsmith is Giving Away Camtasia Version 3
	Re: Are You Looking for More Internet Radio Exposure
	Re: Are You Looking for More Internet Radio Exposure
	Are You Looking for More Internet Radio Exposure
	Teaching kids financial literacy