Dear SaaStr: Why Are VCs So Lousy At Follow-Up?
I hate this. And yet … I’m pretty bad at it myself, I’m sorry. It’s often a sign of a deal with some good stuff in it, but that doesn’t quite meet the bar.
When I started investing, I vowed to always respond within 24 hours to all follow-up.
And I kept up for 90 days … and then I failed.
There’s no excuse, but here’s the reason: there’s just way too much to manage on the Almost deals. The “No”s are easy. Not a good fit, sorry. The “I’m in”s are easy. So far, on these, I’m pretty much able to say “I’m In” during the first meeting.
Then, there are the large numbers of deals you’d like to do. You love the CEO, it’s just … the market isn’t really there. The numbers aren’t really there. The team isn’t really there. It’s Good, but not Great.
You want to believe. It’s close, but not quite there.
It stacks up. You should pass, but you want to see just one more proof point, so you can believe. Maybe, by mulling it over, you’ll see that one more proof point.
Have 8-10 meetings like this a week or more, and without an amazing task management system (which clearly exists, but …) … you do get behind. If you meet with say, 200-300 great entrepreneurs a year, you can be overwhelmed with the Almosts.
It’s not an excuse. But the reason is, for me at least, it’s the Almosts.
I’m sorry. I will try to do better.
The reality is … it’s annoying. I didn’t let it bother me as a founder. Because if a VC really wants to do a deal … you’ll know. Send another email to check in. And if you don’t hear back after that, move on. It’s just sales.
follow up image from here