5 things to keep in mind when looking for the right VC

You need to see if they will help you out in a tight spot, reports Tech in Asia

These are five key questions that founders should consider when they are deciding if they should take money from VCs.

Operational experience

Do they have the operational and team building experience to advise you on the dos and don’ts of running a start-up? A great VC will be able to provide relevant been-there-done-that experiences when you are facing a sales bottleneck or recruitment problem.

A great VC can help you stay focused and prioritise the important tasks.

Scaling experience

Do they have the relevant scaling experience (or necessary network) to help you grow your business when you need to scale to another market?

Stance on funding

What is their stance on follow-on funding? How much help will they give to help you raise a subsequent, larger round with their connections with the downstream VC?

Wide network

Do they have the relevant sales network to help you sell your business or strike partnerships with key players in the space? This is probably the most valuable asset a VC can offer to their portfolio companies. For example, once you achieve product-market fit, will they be able to introduce you to bigger potential clients or form relationships with potential channel partners?

Helping hand

How much support will they give you when you are in trouble? This is a very hard question, but I would argue it’s one of the most, if not the most, pivotal question to answer. Founders know that starting up a new venture is an arduous journey and there are millions of ups and downs that you need to deal with. Thus, a healthy support system is very important.
This is an excerpt from the article published on Tech In Asia. You can read the full article here.