VC Archives - The Grassy Road

Stop focusing on your startup valuation!

It never ceases to amaze me how hung up entrepreneurs get on the valuation of their startup as they raise money. It came up in a coaching session again yesterday. In the abstract yes, valuation matters. It tells you how much of your company you are going to sell in order to raise money. It sets a baseline for you which you will (hopefully) exceed on your next raise. It's a validation that your work has value. But it is NOT a measure of pride, or ego, or size. Your [...]

By Penny Herscher|2020-06-17T11:18:17-07:00June 17, 2020|Leadership|Comments Off

The difference between being right and getting the right answer

Entrepreneurs can be a hard headed lot. It takes courage, determination, a lot of luck, and sometimes just old fashioned, bull-headed persistence to create a company but as a result entrepreneurs don't always listen well.But even if you know you resemble this description, ask yourself - is it more important for you to get to the right answer, or to be right? You want to be right because your team wants to follow someone who knows what to do. You want to be right because it's more efficient, and it [...]

By Penny Herscher|2017-12-10T12:12:13-08:00October 29, 2016|Leadership|0 Comments

Are your investors double dipping in your startup?

I've been working with a number of small companies this year. I'm on a mission to help CEOs, especially women, figure out how to grow their businesses, manage their investors and boards and to create a level playing field for themselves. But as I have spoken to some of these CEOs I've seen several data points which are very worrying, and which I hope don't make a line! These data points are investors putting money in to companies, and then taking the money back out for services - so effectively [...]

By Penny Herscher|2017-12-12T18:10:38-08:00August 8, 2016|Leadership|1 Comment

The oldest profession in the world is alive and well in Silicon Valley

Of course we've all been agog at the Ellen Pao trial. Silicon Valley loves nothing more than to talk about itself. The self-obsession goes hand in hand with ego, intellect and ambition. But an unexpected side effect of the discussion of the blow-by-blow of the trial is now, for a while, everyone will be looking for covert sexism. And nowhere better to find it than cougar night at the Rosewood hotel in Menlo Park. This is not a new phenomenon. I blogged about it in 2011 after spending an amused [...]

By Penny Herscher|2017-12-12T18:37:29-08:00April 1, 2015|Equality|2 Comments

Venture Capital Is Not All Equal

Like people, VCs come in all styles, so here are 5 characteristics to consider as you interview potential investors.If you want to raise venture capital to fund your new company and your great idea, plan out your vetting process first, because all VCs are not the same. Some are really helpful, but some are horrible and damaging to your company. Pick someone who has the same Vision and Values as you. You are (hopefully) in your venture because you believe you can change the world (if you are doing it to get rich, stop now, because [...]

By Penny Herscher|2020-06-17T08:38:54-07:00December 16, 2014|Leadership|0 Comments

What makes a great venture capitalist

The venture capital world lost a master last week. Paul Wythes of Sutter Hill died at age 79 - he was a pioneer of the industry in California and a gentleman. Reading his obituary in Business Week I was struck by two things he said in an earlier interview that capture key characteristics of a great VC. I have little time for the celebrity VCs who court the press and like to take attention and credit for their companies. I believe the VC who is there with advice when you [...]

By Penny Herscher|2017-12-06T16:52:24-08:00November 8, 2012|Leadership|0 Comments

Cougar night busted in Silicon Valley!

The bar at the Rosewood Hotel, at the end of the fabled Sand Hill Road of venture capital fame, has been building up a reputation for a while now as a pick-up joint. I wrote a blog about the bar scene more than a year ago now, not realizing I was seeing the myth develop in front of my eyes. But last night, as we sat at the outside bar watching the sun go down with some good friends, we commented how odd it was that a bar and restaurant [...]

By Penny Herscher|2017-12-06T16:54:50-08:00September 9, 2012|Equality|0 Comments

Why are Women Funded Less than Men? – a new conversation

If you are thinking of starting a company, or raising venture capital, and happen to be female then Pemo Theodore's new ebook is for you.Why are Women Funded Less than Men? a crowdsourced conversation presents a thoughtful collection of advice on how to do it and the challenges you face, drawn from a fascinating set of video interviews. Pemo interviewed VCs, entrepreneurs and advisors, asking them all to speak about the issues and challenges facing women trying to raise venture capital.In a world more than 95% run by men, and [...]

By Penny Herscher|2017-12-06T17:04:18-08:00August 30, 2011|Equality|0 Comments