If you think that follow-on funding from your venture backers is guaranteed because they reserved additional funds for your investment, think again.
Recently, Fred Destin of Atlas Ventures warns that normal venture fund practices will favor some portfolio companies and negatively impact others. Check out his blog post here.
So, how do you keep your board on board? Mark Suster of GRP Partners provides an excellent how-to in two posts:
How To Communicate with your Investors between Board Meetings
When I was the senior person in management at InfraReDx, I had a standing conference call with my board every week. Some weeks the call would last an hour and some weeks only 10 minutes. The rhythm of the weekly call was critical to keeping the board and the company in sync during the early higher-risk stage of the company. Seven years later, the venture backers continue to support the company.
How do you keep your board on board?
- What your investor does with reserves when you underperform (freddestin.com)