When you think of Venture Capitalists you tend to think of money people. A loan based on your profits or even part of your business. It’s a common misconception to think only money is what makes Venture Capitalists important.
Here are things you should consider on top of getting money from a VP.
Experience and Connections
Most VP firms have people that have worked in your industry and have contacts. Not only would you get money but you would get help from several people with tons of experience in your industry. On top of that they normally have strong contacts that can help you business as well.
Not only will most VPs negotiate money in the beginning they can help you raise more money. There is a talent and inner network for fund raising that most VPs know the ins and outs of.
Finding good help and affording it is hard for any company and especially a start up. By partnering with a VP firm they can recruit with you to find the right talent. By having a money company with you will be a great negotiating tool for bringing in most good talent.
I’m not saying a VP is always the best option. I would hate to give out part of my companies. I will say though having one has a lot of benefits and if you are not super business savvy than I would definitely consider contacting a VP firm to see what your options are.