Comments on: The VC’s litmus test: Does he want to be your VP of Sales? http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/ News About Tech, Money and Innovation Mon, 23 Nov 2009 13:10:15 +0000 http://wordpress.org/?v=2.8.5 hourly 1 By: Larry Chiang http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/comment-page-1/#comment-16595 Larry Chiang Fri, 06 Oct 2006 03:51:04 +0000 http://www.venturebeat.com/contributors/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/#comment-16595 Clint, I love an even more community college flavored litmus test: 'would I want to rep this product locally?'. My bar for taking meetings is 1) is s/he a passionate registered user, 2) are they able to set aside their pedigree, vaseline rubbed, ivory colored glasses, and 3) do they consume mainstream goods/services. Now that I'm on the pure entrepreneurial side of the table, evaluating a "candidate" for VP of sales (or sales rep) requires the above three for quid pro quo / reciprocal interest Clint, I love an even more community college flavored litmus test: ‘would I want to rep this product locally?’.

My bar for taking meetings is 1) is s/he a passionate registered user, 2) are they able to set aside their pedigree, vaseline rubbed, ivory colored glasses, and 3) do they consume mainstream goods/services.

Now that I’m on the pure entrepreneurial side of the table, evaluating a “candidate” for VP of sales (or sales rep) requires the above three for quid pro quo / reciprocal interest

]]> By: Nige http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/comment-page-1/#comment-16594 Nige Wed, 04 Oct 2006 08:13:37 +0000 http://www.venturebeat.com/contributors/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/#comment-16594 >>One of my most recent (but unannounced) >>investments is in a company that made me want >>to start knocking on doors. I don't know about anyone else but I'm intrigued to find out more about the company you invested in? If anything to see if i agree. When can you release more details? >>One of my most recent (but unannounced) >>investments is in a company that made me want >>to start knocking on doors.

I don’t know about anyone else but I’m intrigued to find out more about the company you invested in? If anything to see if i agree. When can you release more details?

]]> By: Clint Chao http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/comment-page-1/#comment-16584 Clint Chao Fri, 29 Sep 2006 14:14:38 +0000 http://www.venturebeat.com/contributors/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/#comment-16584 I'm not so sure that's true, Vikram. Boy, I wish I was first the VP of Sales at Google... ~$500M in sales in 2002 and ~$1B in 2003, only 4-5 years after it was founded. I'll have to admit that back then, I was wondering if the world needed another search engine - but I’m sure the founders had a vision and technology differentiation that enabled them to separate themselves over the others. Only having the best technology, however, doesn’t guarantee you a win. But winning the most customers does - 100% of the time, and that’s what they did. While I hope that I wouldn't miss something like a Google or Yahoo with this process, as a VC, the important thing isn't the companies that you don't invest in - the only thing that matters is what you do invest in, and to do everything possible to help them become the next Google. I’m not so sure that’s true, Vikram. Boy, I wish I was first the VP of Sales at Google… ~$500M in sales in 2002 and ~$1B in 2003, only 4-5 years after it was founded.

I’ll have to admit that back then, I was wondering if the world needed another search engine – but I’m sure the founders had a vision and technology differentiation that enabled them to separate themselves over the others. Only having the best technology, however, doesn’t guarantee you a win. But winning the most customers does – 100% of the time, and that’s what they did.

While I hope that I wouldn’t miss something like a Google or Yahoo with this process, as a VC, the important thing isn’t the companies that you don’t invest in – the only thing that matters is what you do invest in, and to do everything possible to help them become the next Google.

]]> By: Vikram http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/comment-page-1/#comment-16582 Vikram Fri, 29 Sep 2006 02:38:02 +0000 http://www.venturebeat.com/contributors/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/#comment-16582 Using this creiterion, you wouln't have invested in Google or Yahoo or any of the companies that didn't have te business model nailed down when they got started. Using this creiterion, you wouln’t have invested in Google or Yahoo or any of the companies that didn’t have te business model nailed down when they got started.

]]> By: anglsft blog » Blog Archive » Would you work for them? A VC litmus test. http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/comment-page-1/#comment-16576 anglsft blog » Blog Archive » Would you work for them? A VC litmus test. Wed, 27 Sep 2006 13:42:32 +0000 http://www.venturebeat.com/contributors/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/#comment-16576 [...] The VC’s litmus test: Does he want to be your VP of Sales? Venture capitalist Clint Chao gives himself a litmus test each time an entrepreneur pitches him. Clint asks himself if he wants to be the entrepreneur’s VP of Sales. His most recent local investment, he says, made him almost jump for the position. We’ll have more on this investment later. [...] [...] The VC’s litmus test: Does he want to be your VP of Sales? Venture capitalist Clint Chao gives himself a litmus test each time an entrepreneur pitches him. Clint asks himself if he wants to be the entrepreneur’s VP of Sales. His most recent local investment, he says, made him almost jump for the position. We’ll have more on this investment later. [...]

]]> By: Jeffrey Sarment http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/comment-page-1/#comment-16575 Jeffrey Sarment Wed, 27 Sep 2006 12:37:51 +0000 http://www.venturebeat.com/contributors/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/#comment-16575 I agree with DSL. One question though, what is an ENFP and a ENFJ? [I guess that's actually 2 questions :o)] I agree with DSL. One question though, what is an ENFP and a ENFJ? [I guess that's actually 2 questions :o )]

]]> By: carl rahn griffith http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/comment-page-1/#comment-16574 carl rahn griffith Wed, 27 Sep 2006 12:05:49 +0000 http://www.venturebeat.com/contributors/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/#comment-16574 absolutely agree - a very pragmatic (and all too often overlooked) way of looking at a new business proposition and its feasibility. absolutely agree – a very pragmatic (and all too often overlooked) way of looking at a new business proposition and its feasibility.

]]> By: karoake http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/comment-page-1/#comment-16573 karoake Wed, 27 Sep 2006 09:38:40 +0000 http://www.venturebeat.com/contributors/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/#comment-16573 This reminds me of a india based site (people2meet.com), still incomplete, that provides a forum for local reviews (they call it recommendations). Based on such such review of a local retailer, one of my friends actually bought a PC from them. Needless to say, that vendor was absolutely thrilled. This reminds me of a india based site (people2meet.com), still incomplete, that provides
a forum for local reviews (they call it recommendations). Based on such such review of a local retailer, one of my friends actually bought a PC from them. Needless to say, that vendor was absolutely thrilled.

]]> By: David Scott Lewis http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/comment-page-1/#comment-16572 David Scott Lewis Wed, 27 Sep 2006 07:22:53 +0000 http://www.venturebeat.com/contributors/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/#comment-16572 I couldn't agree more with Clint. Of course, sales is not everyone's cup of tea, so modify it for the C-level appropriate for yourself. For me, it's more of a Guy Kawasaki thing: If you don't get jazzed by evangelizing the company, you're not the right candidate. For someone like myself (and Guy), this means getting on stage, writing articles, you name it. (I'm an ENFP borderline ENFJ, so what else would you expect?) For others, it might mean spreading the word in their particular user communities. Hey, it could even mean preaching at a party!! With this refined (and expanded) definition of a litmus test, would you agree that this is a valid litmus test, Jeff? I couldn’t agree more with Clint. Of course, sales is not everyone’s cup of tea, so modify it for the C-level appropriate for yourself.

For me, it’s more of a Guy Kawasaki thing: If you don’t get jazzed by evangelizing the company, you’re not the right candidate. For someone like myself (and Guy), this means getting on stage, writing articles, you name it. (I’m an ENFP borderline ENFJ, so what else would you expect?) For others, it might mean spreading the word in their particular user communities. Hey, it could even mean preaching at a party!!

With this refined (and expanded) definition of a litmus test, would you agree that this is a valid litmus test, Jeff?

]]> By: adam http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/comment-page-1/#comment-16571 adam Wed, 27 Sep 2006 04:46:36 +0000 http://www.venturebeat.com/contributors/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/#comment-16571 presume that the site is way better than reachlocal funded by VPVP presume that the site is way better than reachlocal funded by VPVP

]]> By: Jeff Clavier http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/comment-page-1/#comment-16570 Jeff Clavier Wed, 27 Sep 2006 04:33:38 +0000 http://www.venturebeat.com/contributors/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/#comment-16570 Not my litmus test. Not my litmus test.

]]> By: Ann Onimus http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/comment-page-1/#comment-16569 Ann Onimus Wed, 27 Sep 2006 02:45:01 +0000 http://www.venturebeat.com/contributors/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/#comment-16569 merchantcircle signing up thousands of companies a day? somebody is drinking the koolaid... merchantcircle signing up thousands of companies a day? somebody is drinking the koolaid…

]]> By: Adam Rifkin http://venturebeat.com/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/comment-page-1/#comment-16567 Adam Rifkin Wed, 27 Sep 2006 00:43:30 +0000 http://www.venturebeat.com/contributors/2006/09/26/the-vcs-litmus-test-does-he-want-to-be-your-vp-of-sales/#comment-16567 I agree that helping local merchants and small businesses get online is a great goal -- and an explosive market! Clint, the company you mention in your article reminds me of a startup called MerchantCircle in approach and scope. (They also raised venture funding, and are backed by BankAmerica, Disney, and Rustic Canyon.) Some nuggets I got from MerchantCircle: The Yellow Pages business is a $15B/year business; 60% of searches are local; and 80% of local merchants currently are not online. MerchantCircle now signs up thousands of companies a day; that early success indicates to me that there is a tremendous need for such services, and a lot of value will be created for businesses and consumers of local advertising as a result. I agree that helping local merchants and small businesses get online is a great goal — and an explosive market!

Clint, the company you mention in your article reminds me of a startup called MerchantCircle in approach and scope. (They also raised venture funding, and are backed by BankAmerica, Disney, and Rustic Canyon.)

Some nuggets I got from MerchantCircle: The Yellow Pages business is a $15B/year business; 60% of searches are local; and 80% of local merchants currently are not online.

MerchantCircle now signs up thousands of companies a day; that early success indicates to me that there is a tremendous need for such services, and a lot of value will be created for businesses and consumers of local advertising as a result.

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