Comments on: Saying "no" can be hard to do http://www.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do Just another WordPress weblog Thu, 09 Feb 2012 17:52:00 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Vladislav Cherhyshov http://www.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do/comment-page-1#comment-19497 Vladislav Cherhyshov Fri, 20 Jun 2008 02:12:13 +0000 http://new.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do#comment-19497 That's why I think that VC is the most hard profession in the world. You not only feel bad in such situations, but you also make entrepreneurs feel bad too. It's hard. Maybe, entrepreneurs who are pitching you and asking for your money are in better position than you.<br /> <br /> Anyway, good luck you with your investments. That's why I think that VC is the most hard profession in the world. You not only feel bad in such situations, but you also make entrepreneurs feel bad too. It's hard. Maybe, entrepreneurs who are pitching you and asking for your money are in better position than you.

Anyway, good luck you with your investments.

]]> By: sethlevine http://www.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do/comment-page-1#comment-19502 sethlevine Sat, 24 May 2008 20:07:41 +0000 http://new.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do#comment-19502 so following your example, if you're not quite there on a tech hire, but close, should you pull the trigger? i understand your reasoning, but don't agree - if you're not there, you're just not there. at least with an employee you can always sever them if it doesn't work out. with an investment that's a little trickier (and more complicated). saying "yes" is just the start of the relationship. <br /> <br /> in this case i may get another bite at the proverbial apple. but as you point out its likely to be at a higher price... <br /> <br /> when they sell for $500m, i'll let you know my mistake! so following your example, if you're not quite there on a tech hire, but close, should you pull the trigger? i understand your reasoning, but don't agree – if you're not there, you're just not there. at least with an employee you can always sever them if it doesn't work out. with an investment that's a little trickier (and more complicated). saying “yes” is just the start of the relationship.

in this case i may get another bite at the proverbial apple. but as you point out its likely to be at a higher price…

when they sell for $500m, i'll let you know my mistake!

]]> By: Leonid S. Knyshov http://www.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do/comment-page-1#comment-19496 Leonid S. Knyshov Fri, 23 May 2008 18:30:30 +0000 http://new.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do#comment-19496 My opinion is if you are really that close to saying "Yes", do the deal. <br /> <br /> On the other hand, there's always the next round to reconsider the investment. Correct me if I am wrong, however, will it not cost you more to rejoin this investment opportunity during the next round? <br /> <br /> While competition will always exist, execution plans can be altered to outmatch them. It's great that the company ultimately got funded, but I am thinking it will be on your "Wish I did the deal" list. <br /> <br /> Other than that, yes saying "No" is hard to do. I am building a technology and having to say "No" to very talented people who are ultimately outmatched by someone who is even more brilliant is really very hard especially once we get into the top 1% level of talent. My opinion is if you are really that close to saying “Yes”, do the deal.

On the other hand, there's always the next round to reconsider the investment. Correct me if I am wrong, however, will it not cost you more to rejoin this investment opportunity during the next round?

While competition will always exist, execution plans can be altered to outmatch them. It's great that the company ultimately got funded, but I am thinking it will be on your “Wish I did the deal” list.

Other than that, yes saying “No” is hard to do. I am building a technology and having to say “No” to very talented people who are ultimately outmatched by someone who is even more brilliant is really very hard especially once we get into the top 1% level of talent.

]]> By: sethlevine http://www.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do/comment-page-1#comment-19501 sethlevine Thu, 22 May 2008 11:10:37 +0000 http://new.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do#comment-19501 that's pretty funny, jed. i suspect it was a different guy (although it was probably from about that time period) - he was pretty focused on the idea of launching satellites! that's pretty funny, jed. i suspect it was a different guy (although it was probably from about that time period) – he was pretty focused on the idea of launching satellites!

]]> By: Jeff Widman http://www.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do/comment-page-1#comment-19500 Jeff Widman Wed, 21 May 2008 18:34:16 +0000 http://new.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do#comment-19500 I would certainly enjoy reading this post! Hitting the balance between clearly saying no w/o future promises--yet not burning bridges or closing the door... now that takes tact, clarity in your own mind, and a lot of trust! I would certainly enjoy reading this post! Hitting the balance between clearly saying no w/o future promises–yet not burning bridges or closing the door… now that takes tact, clarity in your own mind, and a lot of trust!

]]> By: Jed Christiansen http://www.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do/comment-page-1#comment-19495 Jed Christiansen Wed, 21 May 2008 08:45:14 +0000 http://new.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do#comment-19495 "my personal favorite from this genre was the company that planned to colonize the moon for the purpose of reducing the cost of launching satellites - which they were going to build from materials they were to mine from the moon" <br /> <br /> - I think I went to University with this guy! By any chance did you see this plan about 3-4 years ago? And did it involve both scramjet and electric railgun technologies? <br /> <br /> If it did, I've seen the plan myself. It was going to be out-there even for the most aerospace-heavy VC's (if there are such things.) It's funny that you all would have gotten it! Though to be fair, the focus of his plan was more on launching technologies and space tourism; the moon colony wasn't critical. :) “my personal favorite from this genre was the company that planned to colonize the moon for the purpose of reducing the cost of launching satellites – which they were going to build from materials they were to mine from the moon”

- I think I went to University with this guy! By any chance did you see this plan about 3-4 years ago? And did it involve both scramjet and electric railgun technologies?

If it did, I've seen the plan myself. It was going to be out-there even for the most aerospace-heavy VC's (if there are such things.) It's funny that you all would have gotten it! Though to be fair, the focus of his plan was more on launching technologies and space tourism; the moon colony wasn't critical. :)

]]> By: Gerald Joseph http://www.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do/comment-page-1#comment-19499 Gerald Joseph Wed, 21 May 2008 08:34:08 +0000 http://new.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do#comment-19499 Looking forward to the post. Looking forward to the post.

]]> By: sethlevine http://www.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do/comment-page-1#comment-19498 sethlevine Wed, 21 May 2008 06:22:30 +0000 http://new.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do#comment-19498 Thanks Gerald. You're absolutely right about the art of saying no. I see no reason to burn bridges - you just never know what the future brings in our business. And while I clearly don't think one should make false promises, leaving the door open for appropriate continued conversation is typically the right outcome of a turndown. I have a few thoughts on this from both the VC and company perspective which I'll turn into a post. Thanks Gerald. You're absolutely right about the art of saying no. I see no reason to burn bridges – you just never know what the future brings in our business. And while I clearly don't think one should make false promises, leaving the door open for appropriate continued conversation is typically the right outcome of a turndown. I have a few thoughts on this from both the VC and company perspective which I'll turn into a post.

]]> By: Gerald Joseph http://www.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do/comment-page-1#comment-19494 Gerald Joseph Wed, 21 May 2008 02:07:15 +0000 http://new.sethlevine.com/wp/2008/05/saying-no-can-be-hard-to-do#comment-19494 Great post. very tough subject matter. There is an art of "doing" and an art of "not doing." Saying no is so difficult that I think VC's and Startup Founders (and pretty much every business person in the universe) have to develop a way of saying no without allowing residual negativity or bad karma so to speak to affect the relationship and future prospects of partnership. Numerous persons with no tact, no style, and no etiquette simply do not understand the tao of no. <br /> Maybe you can discuss in non-specific terms in a future post how you handle saying no and if you leave the door open for future considerations with companies that go through a process of sorts with you (and Foundry), however, do not become one of your portfolio companies. Great post. very tough subject matter. There is an art of “doing” and an art of “not doing.” Saying no is so difficult that I think VC's and Startup Founders (and pretty much every business person in the universe) have to develop a way of saying no without allowing residual negativity or bad karma so to speak to affect the relationship and future prospects of partnership. Numerous persons with no tact, no style, and no etiquette simply do not understand the tao of no.
Maybe you can discuss in non-specific terms in a future post how you handle saying no and if you leave the door open for future considerations with companies that go through a process of sorts with you (and Foundry), however, do not become one of your portfolio companies.

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