This document provides information and advice about obtaining venture capital investment in Silicon Valley. It discusses questions venture capitalists will ask founders, such as whether they have a great management team, a product addressing a big profitable market, and a clear exit strategy. It also covers topics like the customer development cycle, building a lean startup, and how the venture capital world is changing with more angels and super angels funding earlier stages. References are provided for learning more about startups that have been funded and trends in startup funding.

1. How to getVenture CapitalInvestmentin the Silicon Valleyjorge.zavala@techba.comjorge@zavala.com.mx1

2. Are you looking to build a great company?2

3. What kind of company?3

4. Where do you want to go?4

5. What is your dream?5

6. What are you willing to give up to achieve your dream?6

7. Do you have a team?7

8. What is more important to make your company successful?8

9. Is your idea good for a VC?9

10. Publishing a Blog10What is NOT interesting for a VC

11. Fancy Hands - Personal Assistants in the Cloud11What is NOT interesting for a VC

12. 8 Startup Lessons from Constant ContactWith more than 350,000 customers, Constant Contact is a publicly traded company (Nasdaq: CTCT) If an investor tells you that you can’t build a real business on $20/month, direct them to Constant Contact

13. SAAS (Software as a Service) startups need to focus on getting on past what Gail calls the slow ramp of death

14. The trick is to give experiments enough time to prove themselves.

15. Get a CEO peer group to bounce ideas off of as soon as possible

16. If your product is strong enough, people do not need to be sold.

17. There are no silver bullets, just many “A-ha” moments.

18. A startup CEO’s only important job is what Gail calls searching for the model

19. Raising money from institutional investors is all about working the entire partnership, not just your single partner.12

20. JackBe13

21. The traditional VC world14

22. http://www.mercurynews.com/business152Q 2010 229 Deals$ 2,826,005,100 Dollars

23. Investment Flow16FounderAngelVentureSeries CSeries ASeries BFFFSeedPrototypeMarketValidationTeamBuild outCustomerShipmentsExpansion

24. What will a VC ask you?Great management teamA product with a big and profitable marketLocal Company5X or 10X exitClear exit strategyM&AIPO17

25. Build wealth not just survive

27. The new VC world: the lean startup20

28. Customer Development Cycle21

29. Customer DiscoveryExisting MarketRe-segmented MarketLow CostNiche MarketNew Market22

30. The Future of Startup FundingSeed approach – YcombinatorAngels doing bigger rounds, VCs doing smaller roundSuper-Angels: they work as a VC with large investment than AngelsWait till the startup is ready for investmentToo late to invest // missing the boatBetter startup founders than VCs managers23http://www.paulgraham.com/future.html

31. http://thestartupdigest.com/24Chris McCannchris@thestartupdigest.com