My MSFT Alumni buddy, start-up fiend, Alec Saunders has a post up entitled: It’s time to abolish VC beauty contests.
A short snippet:
"What's not to like, right?
A lot. The model for this conference is that the VC community builds deal flow by holding a beauty contest and charging entrepreneurs to pitch. It's a dutch date with a miser, which is a bad basis for a relationship."
He wants VCs to knock it off and entrepreneurs to just pick up the phone and call the VC of choice for a 10 minute meeting to get the same 3 minutes of feedback for free. I agree with a couple of points that Alec is trying to make.
The first -and most important- one is that you can pretty much do exactly as he describes. Pick up the phone and call Scott/Maxx/Joe/Roger (Growthworks), Michael/Derrick (Edgestone), Mark/Mark (Wellington), Barry/Robin (VenturesWest), Jeff (RHO Canada), Jacqui (Tech Capital), Mark/Sophie (Brightspark), others that I've missed (sorry), and yours truly. You will almost always get a return phone call, an opportunity to explain what you do and, if it is interesting, an opportunity to meet. Free. With JLA, you get a 30 minutes no harm/no foul meeting plus a lovely parting gift (the VC Game: home edition).
So, in theory, you could blow off these events and take the shot.
I'd like to believe that there is more to it. I've been told over and over that it is the networking at event like this which really matter. In addition, there are panels/discussions/sessions that also should be worth it. While Alec isn't going to get much out of this (he knows this drill from more angles then most), others might get some good knowledge out of the sessions, find somebody to link up with, etc.
In addition, there are VC firms from other countries (like for example the big one just south of Canada) that show up. These VCs might have a bit more of a process in order for you to get to them.
So my advice to you is to view the event in its totality. Networking, Content, Pitch Practice, etc, are all parts that you should view/weigh in your decision to sign up.
But to be clear: You can call your local VC community we will take your calls.
Nice rebuttal Rick ;)
I'd like to point out that for any aspiring entrepreneurs in Ottawa who would like to do a little free networking with Rick, he'll be at the Clock Tower Pub on April 16. Details here:
http://saunderslog.com/2008/03/24/meet-rick-segal-in-person-at-ottawas-vc-roundtable/
Posted by: Alec Saunders | March 25, 2008 at 06:07
That's all well and good, but what about us folks on the other side of the country? Calgary and similar areas don't get nearly enough attention.
;)
Posted by: Ryan Brooks | March 25, 2008 at 10:23
Ryan,
It was nagging at me that Rick was doing these events across country, but I wasn't sure. I was right! Here's a link to a list, including the Calgary event: http://www.eventbrite.com/org/53497882?s=896268
Rick, you can send me my event promotion fee later...
A
Posted by: Alec Saunders | March 25, 2008 at 12:13
HA! Thanks Alec but I'm already signed up... Just noticing a definite lack of events versus Vancouver/Toronto. Us lowly entrepreneurs are feeling a bit left out - heh.
Posted by: Ryan Brooks | March 25, 2008 at 13:34
Hey Ryan,
I hear ya and we hope to change that.
best,
>R<
Posted by: rick segal | March 25, 2008 at 14:45
I have to agree with Alec. I see these shows as being useful only for people who are new to the startup World. They are also of high value for VCs to connect with each other. However, any solid team with a solid story should meet with prospective investors outside of these meetings. I avoid them.
Posted by: Mark MacLeod | March 26, 2008 at 08:46