Today I’m coming off a more personally inspired place, and a recent partnership.
Ever stopped and wondered, "How can VC firms offer more than just cash to the startups they back?" Well, you're not alone. An interesting trend is catching on in the Venture Capital (VC) world that answers just that - the concept of advisory boards.
Picture an advisory board as a roundtable of industry experts, each bringing their own experience and IQ. They're there to help guide young companies through the wild west of starting up, and believe me they bring a lot to the table.
First off, advisory boards are a very rich pool of industry-specific knowledge. If you're a fledgling startup in a complicated field like Web3, having an available, close, and willing on your side can make a world of difference. They've been there, done that, and are ready to help you navigate the waters ahead.
Second, it's easy to get caught up in your own bubble. We're all guilty of it. That's where advisory boards come in, offering a fresh set of eyes to challenge any biases, be it within VC firms or startups themselves. They can help steer decision-making, making sure investments are well thought out and not just a shot in the dark.
Thirdly, advisory boards are well-connected, and in the world of business, connections are everything. These board members have built networks over years, that can be leveraged to create strategic partnerships, land new clients, or even secure additional funding.
Finally, and this isn’t to be slighted, an advisory board is a shiny badge of credibility for portfolio companies. An advisory board stacked with industry experts and thought leaders? That's a sign that a VC fund means business and is deeply committed to its investments.
But, it's not all roses. It’s crucial VC firms ensure their advisory boards encourage a variety of thoughts and perspectives, steer clear of groupthink, and stay relevant in a business world that's changing at lightning speed.
So, here's the million-dollar question - could the inclusion of advisory boards in VC funds change the game for web3 startups?
Honestly, it looks like it could. By offering a richer pool of resources, VC funds are essentially upping their game and potentially setting up their investments for more success. Think about it - more brainpower, more support, more resources, that's got to lead to more growth and success for startups, right? This could well be a game-changer in the venture capital landscape. Moving forward, it's going to be an interesting ride to see how this trend evolves and shapes the future of web3 startups.