Discover/Venture Unlocked/How to win in seed stage investing today

The surest way to mediocrity in VC is only pursuing winnable deals

Venture Unlocked · How to win in seed stage investing today

“Winning feedback loop is extremely fast, which is you lost it or you won it on the deals you tried.”

38:41 / 39:16

Winning feedback loop is extremely fast, which is you lost it or you won it on the deals you tried. But, again, it there's a nuance here. And this is something that MC and I agreed very early on. The surest way of doing having a mediocre career in VC is taking is doing deals that are only winnable, and that happens at every firm with a partnership. Why? People don't want to look idiotic in front of their partners that I keep losing deals. But the best deals are the most competitive. Right? And so what happens is you lose three back to back deals. The fourth deal, you just try to get something done.

About this clip

A VC explains the counterintuitive truth that the best investment opportunities are the most competitive ones you'll likely lose. The clip reveals how fear of looking bad in front of partners drives investors toward safer, mediocre deals instead of chasing the highly competitive opportunities that generate the best returns.

Why this clip

This challenges conventional wisdom by arguing that consistently losing competitive deals is actually a sign of pursuing the right opportunities in venture capital.

38:41 - 39:1636scontrarian take
deal-competitionvc-psychologyinvestment-strategy

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