recently rated:

Rated by 27

4.0 3.7 2.8 2.8 3.4

3.3

Index Ventures

Certified

$$$$$ Geneva, Europe

top rated funds:

Rated by 20

3.1 3.2 3.0 2.7 2.9

3.0

Gemini Israel Funds

Certified

$$$$$ Herzliya, ME / Africa

Rated by 26

3.1 2.9 3.0 2.9 3.0

3.0

Madrona Venture Group

Certified

$$$$$ Seattle, US West

Rated by 27

3.0 2.7 2.8 3.2 3.2

3.0

Flybridge Capital Partners

Certified

$$$$$ Boston, US East

Rated by 43

3.9 2.9 2.7 2.4 3.0

3.0

Kleiner, Perkins, Caufield & Byers

Certified

$$$$$ Menlo Park, US West

Rated by 18

2.7 3.1 2.6 3.6 3.2

3.0

Milestone Venture Partners

Certified

$$$$$ New York, US East

Rated by 22

2.3 3.1 2.9 3.3 3.5

3.0

Voyager Capital

Certified

$$$$$ Seattle, US West

Rated by 28

3.3 2.9 2.4 2.9 3.3

3.0

Venrock Associates

 

$$$$$ Menlo Park, US West

Rated by 17

2.6 2.7 3.1 3.7 2.9

3.0

FirstMark Capital - Pequot Ventures

Certified

$$$$$ New York, US East

Rated by 11

3.0 3.0 3.3 2.6 2.8

2.9

SoftTech VC

Certified

$$$$$ Palo Alto, US West

Rated by 11

2.1 2.7 3.6 2.7 3.1

2.9

Southern Capitol Ventures

Certified

$$$$$ Raleigh, US East

Rated by 12

2.8 3.2 2.8 2.7 2.8

2.9

Bain Capital Ventures

 

$$$$$ Boston, US East

Rated by 23

2.7 3.0 3.1 2.6 3.2

2.9

Claremont Creek Ventures

Certified

$$$$$ Oakland, US West

Rated by 14

2.8 3.2 3.0 2.6 2.7

2.9

Eden Ventures

Certified

$$$$$ Bath, Europe

Rated by 13

2.6 3.2 2.7 2.7 2.7

2.8

DFJ Frontier

 

$$$$$ West Sacramento, US West

Rated by 13

2.9 2.9 2.7 2.9 2.7

2.8

Tugboat Ventures

 

$$$$$ Palo Alto, US West

Rated by 11

3.2 2.7 3.5 2.0 2.6

2.8

New York Angels

Certified

$$$$$ New York, US East

Rated by 15

2.8 3.0 2.9 2.4 2.8

2.8

Fairhaven Capital

 

$$$$$ Cambridge, US East

Rated by 18

2.4 2.7 3.5 2.5 2.8

2.8

Storm Ventures, Inc.

 

$$$$$ Menlo Park, US West

Rated by 13

2.5 2.9 2.7 3.0 3.1

2.8

Longworth Venture Partners

Certified

$$$$$ Waltham, US East

Rated by 16

2.8 2.4 3.4 2.9 2.7

2.8

BV Capital

 

$$$$$ San Francisco, US West

Rated by 10

2.8 2.7 2.8 2.5 3.1

2.8

Brook Venture Partners

Certified

$$$$$ Wakefield, US East

Rated by 27

3.0 2.9 3.0 2.6 2.4

2.8

Morgenthaler Ventures

 

$$$$$ Menlo Park, US West

Rated by 11

2.6 2.8 2.9 3.0 2.9

2.8

Genesis Partners

 

$$$$$ Herzliya, ME / Africa

Rated by 12

3.1 3.2 2.7 2.5 2.4

2.8

Intersouth Partners

Certified

$$$$$ Durham, US East

Rated by 15

2.5 2.6 2.9 2.9 3.1

2.8

Steamboat Ventures

Certified

$$$$$ Burbank, US West

Rated by 40

3.1 2.6 3.1 2.7 2.6

2.8

MDV-Mohr Davidow Ventures

Certified

$$$$$ Menlo Park, US West

Rated by 49

3.1 2.5 2.8 2.6 2.7

2.7

Redpoint Ventures

 

$$$$$ Menlo Park, US West

Rated by 15

2.5 2.9 3.3 2.3 2.6

2.7

Fuse Capital

 

$$$$$ Palo Alto, US West

Rated by 37

2.7 2.7 2.3 2.9 2.9

2.7

Intel Capital

 

$$$$$ Santa Clara, US West

Rated by 11

2.9 3.1 2.5 2.4 2.8

2.7

SOFTBANK Capital

 

$$$$$ Newton Center, US East

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We are contemplating a Reg A offering. We closed a prior venture-backed round (one firm) about 2 years ago and our VC is not in a position to invest going forward. Interest from other VC had been good but has chilled given our existing VC's decision. As we have a plan to get them off the cap table, we are now exploring all options.

We like the concept of being able to solicit for investors under Reg A and the public company aspects are not that troubling for us (founder controls company).

We may end up doing a Reg D offering, but we cannot seem to locate a placement agent. Plus, we are not that kean on giving a small inverstor group control or blocking rights ... in light of where we have been.

Any ideas or thoughts" Reg A deals seem to be near extinction.

This advice is applicable in most negotiations, but it is particularly important to heed in venture capital: don't accept your first offer.

Venture capitalists are betting that they can pressure you to take the terms that they offer, and there are countless stories told by venture capitalists about how they duped CEOs with below-market valuations, excessive control provisions, and aggressive economic terms. I have heard venture capitalists laugh out loud when mentioning a company name and sat on a call where a VC actually whispered the pre-money valuation that was below $1 MM, referring to it as "unbelievable."

Practically speaking, why would any venture capitalist make you a good offer in the first pass of terms" If anything, they will make the lowest reasonable offer and then aggressively pressure you to take it with only minor changes. The good news is that, once a venture capitalist has decided to invest, you now have the negotiating leverage.

Members, read on for some very specific advice...

I had the opportunity to sit in on someone else's pitch to a VC recently, and for the first time got a chance to see a pitch meeting from the investor's point of view. It was illuminating. I turned back to the various pitches I had made in the past, and saw them in a new light. When you're embedded in, and heavily personally devoted to an idea for a long time, it's hard to have any perspective. When you're hearing an idea for the first time, you'll probably see some gaping holes immediately. The entrepreneurs who are trying at the idea are willfully blind to these holes, having spent months (or years) justifying their hopes. There is one hole that I perceive is routinely there, and you'd better be ready to answer this question: "Why you""

As an engineer, I have been routinely approached by people with business ideas, who need an engineering lead to get the idea off the ground. They usually also need a designer (product and visual), and maybe a sales person. Which causes me to ask them, "I have my own ideas, and I can go build them. What the hell do I need you for"" In the end, if you cannot write code, write a detailed product spec, draw graphics, draw up contracts, or raise money, what good are you" We could come up with 5 decent ideas a day, so even at a good consulting rate, that's what, $240 per idea" For something to be investable, you need both the idea and the capacity to execute. If you're a dreamer with an idea and nothing built, please don't talk to VCs. You're wasting everyone's time. Go find an angel investor who will help you put together a demonstration of the idea.

Beyond that, even if you bring a team that's capable of executing, you still face a real problem. You aren't the only person working on this idea. Trust me, if you are the only one working on it, the idea is too early. So if there are other people working on it, why are you likely to be one of the winners" Do you have plenty of contacts in the industry" Do you have a deep personal understanding of the problem space" If you're a male 20-something building a Mom's portal, you gotta ask yourself what the hell you're doing. Remember, for every idea a VC invests in, they probably turned down 99 others. What will make you stand out" How will you answer when they ask, "why you""

I often view questions here regarding going with one vc or another, one general advice I have to you all is the following: CHECK YOUR ALTERNATIVES!

Can you create more" Your best option is as good as your best alternative and this may effect your negotiation power.