Comments on: What is proper etiquette for VCs — fiddle with Blackberry or not?

By: Political Disgust

Political Disgust — Tue, 11 Nov 2008 19:29:16 +0000

I am more then a slave to my Blackberry, it literally owns me day and night. I posted an article about this today on my blog. I am a slave in every sense of the world to my Curve and it is almost an actual part of me. I wonder when these phones will replace …. family!

—
Political Disgust
http://www.politicaldisgust.com

By: Gordon

Gordon — Wed, 11 Apr 2007 13:40:55 +0000

I was a VC for nearly 12 years so I know of what I speak. There are a number of great points in this thread. First, it is undeniably rude to be multi-tasking durng a meeting whether it’s a Board meeting or a pitch. The direct message that is being delivered by the VCs in the situation is. “My Time is more valuable than yours but please continue trying to convince me otherwise.” While most VCs wouldn’t consciously acknowledge that’s how they felt, it’s what’s going on. I’ll bet that most VCs today wouldn’t take a blackberry into a meeting with Sergey and Larry at Google. But 7 years ago, when the Google Twins were pitching a new search engine (huh? Didn’t Yahoo already kill that space?) there was probably a lot of Bberrying and WAP phone checking during their meetings. Kudos to Andy Bechtolsheim for actually listening. (as an aside, check out the Anti-Portfolio on the Bessemer Ventures website for a great peek into the typical reaction to Google back in the early days. Kudos to Dave Cowan for his unvarnished honesty) So today, Larry and Sergey’s time is usually more valuable than most VCs’ time. But if you’re at the front end of that wealth curve, expect rude behavior from most VCs. Don’t take it personally. The dirty little secret in the VC world (well chronicled in last months VC Journal) is that the majority of General Partners in VC funds have never made a dime in carried interest and are basically just mutual fund managers investing in a riskier asset. I’m willing to bet that there are a fair number of VC on the Midas list that haven’t made much or any money in VC for themselves. (I’m now on the LP side so I actually see that data) It’s extremely hard to make serious money in VC – the top decile funds dominate the take – everyone else mostly lives on management fees. For every John Doerr or Mike Moritz there are 75 or 100 GPs who take home zilch after 10 years in a fund. So much of the rudeness from these GPs is really just insecurity – being rude, overly busy and arrogant to mask the fact that they aren’t what everyone believes them to be. A generalization to be sure but it’s much more common than you think.
Important to remember also that not all rudeness from VCs is driven by insecurity – Don Valentine at Sequioa was famously ‘gruff’ usually opening meetings with entrepreneurs by asking the question – “Why the F&ck should I give you my money?” Since Don was actually one the most successful VCs in the Valley, he had every right to ask the question. It’s called ‘not suffering fools lightly’

By: Mark Montgomery

Mark Montgomery — Wed, 27 Dec 2006 14:23:05 +0000

A couple of points from the perspective of an entrepreneur who operates a small VC firm. First is that arrogance is a form of ignorance.

Second is that I won’t waste my time with anyone in any meeting where the people involved are not paying attention. If one of several is fiddling with an emergency ping or phone call, that’s one thing. If everyone is fiddling then their fiddles are obviously more important than the agenda, and they should be doing something else for a living.

I’d also let my network know to avoid them sending others to waste their time, and so the market can eventually correct.

That said- one good way to avoid this scenario is to provide something unique and valuable to the folks involved, which is frankly really rare, and despite reality otherwise- anything else shouldn’t be funded. More dollars than brains these days in an era where billion dollar funds are common.

I think the SV VC model is broken- it has been since me toos became the norm. I don’t meet with tons of people all day or in conferences simply because it would not allow me to remain on top of my game.

What’s far worse to me are VCs (especially when it’s their specialist) who don’t understand the technology or business environment being discussed. Same too for entrepreneurs seeking millions of $ in OPM who haven’t done their homework.

Symptoms here of greater problems folks, and certainly not limited to one firm in one mtg on one day. .02, MM

By: Sam S

Sam S — Wed, 27 Dec 2006 06:44:25 +0000

There’s an illusion among a slice of the digerati that near constant activity is a sign that you’re accomplishing a lot. I know a number of these multitaskaholics who’re on IM, the phone, and/or email simultaneously for extended periods. These people are almost universally the least strategic thinkers incomparison to their peers. They’re full of activity with little regard to goal. This is about the worst type of VC I can imagine – someone who is so caught up in the tactical that they can’t see the strategic importance of what’s literally right in front of them. In today’s deal flow climate, this behavior is amazingly bone-headed. If I were the managing partner at a place where the line staff treated a potential 30x investment with disrespect…they’d be out on their ass before lunch.

By: John

John — Fri, 22 Dec 2006 21:12:05 +0000

I’ve been in meetings with a lot of VCs, and I think it’s great that so many VCs fiddle rudely with their Blackberrys, ‘cos it makes the few who don’t Blackberry during meetings stand out all the more as the genuine article (attentive, evaluative, responsive, etc.).

By: John

John — Fri, 22 Dec 2006 19:58:21 +0000

You get the same behavior from VC’s who are on your Board. I can’t remember a Board meeting (from several different companies now) where the VC’s on the Board didn’t take out there cell, blackberry, or whatever and start fiddling with it. Not just once, but several times during the meeting.

The respect level would go up considerably if after 15 minutes into a pitch, the VC would simply state that this isn’t right for them, thank the company for coming by and end the meeting. Instead they play with their phone…

By: Nettaree

Nettaree — Fri, 22 Dec 2006 18:28:34 +0000

This behavior is prevalent in a lot of industries. It’s indicative of the technology world we live in today. Instant gratification on every front has consumed America. Is it rude? Yes. Will it stop? No. I use to be a slave to my Blackberry too. Actually, I got more work done during meetings with my handheld device and laptop in full throttle, but I only displayed this type of behavior when I was NOT INTERESTED or forced to sit in a meeting in which I provided no value. At times I felt justified for “keeping connected”, but once I began to catch the glimpses of the forlorn faces that were disturbed by my behavior, I kicked the habit.

I’m Nettaree and I’m a recovering Blackberry-a-holic.

By: carl

carl — Fri, 22 Dec 2006 12:39:23 +0000

pen+paper.

radical, but problem solved.

By: Christine Herron

Christine Herron — Fri, 22 Dec 2006 03:47:12 +0000

There’s no point in meetings that you’re not interested in. What ever happened to the introductory call? (Kudos to David P.) I’d rather spend 15 minutes on the phone than waste an hour-plus of both the CEO’s and my time in a pointless meeting.

So I don’t bring my phone into meetings…though I DO use a laptop to take notes. No human can write as quickly as a CEO talks. (Yes, I am really taking notes!) >:-)

By: Andy

Andy — Thu, 21 Dec 2006 17:02:52 +0000

I used to see this more often than I do today, and I present to VC’s all the time. Maybe it’s up to the presenter to put together a fast start and grab people’s attention. Another tip is to turn off your own PDA first, visibly. Food for thought. I met the GGVC people recently and had a completely different experience. They were very attentive and friendly.

By: Seamus McCauley

Seamus McCauley — Thu, 21 Dec 2006 15:37:18 +0000

I’ve got a phone that I use to take notes on in meetings. Like lots of phones, it has Word and Excel and is usually the most convenient thing for me to put brief notes into, not least because I always have it with me.

After a couple of meetings in which people clearly thought I was (rudely) emailing while they talked, I took to explaining that I was making notes before getting my phone out.

By next year, I expect people will have got into the habit of claiming they are “just taking notes” when they are really emailing. So it goes.

By: David P

David P — Thu, 21 Dec 2006 14:46:24 +0000

I’ve met with maybe a dozen firms in the last 90 days (from grade A to a few guys on their first fund) and only had one guy play with his blackberry during my presentation. Once you picked it up, he apologized… saying that he wanted to email the ‘office’ to have someone check on competing solutions (to my business). Not completely rude.. but could have waited.

My overall impression is that VC’s really do want to find good deals. However, it’s easy to notice in 5 minutes or less if there is any interest.

I’ve since changed my tactic to a phone call first – where we talk through the opportunity with all risks laid out. If there is still interest – then we’ll have a meeting. Otherwise you end up driving around SV with little to no progress. Most VC’s are very open to a 20-30 minute call prior to a meeting. Their attention span is less than 20 minutes (can’t blame them there) – so an early call can take the in-person 40 minute presentation down to 15-20 minutes and then into Q&A – which is really where you need to be… that’s where a deal progresses.

By: Rob Hyndman

Rob Hyndman — Thu, 21 Dec 2006 12:11:40 +0000

Spoiled, bratty, juvenile behaviour. This is about impulse control problems and the need for ongoing adult supervision, nothing more or less. If it’s so urgent that you need to read it the *second* it comes in, don’t go to the meeting, or have your assistant watch for it and come in and quietly alert you when it comes. Pay attention, and grow up.

By: Leon

Leon — Thu, 21 Dec 2006 11:44:40 +0000

I would think checking for email if you expect something urgent is understandable. Of course, several people all doing it constantly is a different matter.

I have pitched to a few VC’s in the past. I would have to say the situation described by the article is unusual although it is true that it is not always easy to get a direct yes or no from a VC. The fact of the matter perhaps is that they do not have a clear answer after most of the meetings.

By: John P.

John P. — Thu, 21 Dec 2006 09:12:39 +0000

If I was on the first date with a girl, and she answered he phone in the middle of dinner, I’d just call it a night immediately.

I’d do the same thing with any VC, if they aren’t showing you respect at that early stage, just imagine what it will be like down the line.

I refuse to compromise my selfworth for money or *gasp* even sex.