Venture-Backed Board Chemistry
Board of Directors chemistry and alignment > Premium Price
It is hard for me to reinforce how important Board chemistry and especially alignment of interest are for facilitating startup success. Entrepreneurs have to do this up front by selecting investors based on chemistry and fit but entrepreneurs must also do this on an ongoing basis to the extent possible. Assuring this fit will sometimes require choosing between an investor willing to pay the premium price and an investor at a lower price but with a better fit or alignment of interests. I won’t claim this is a simple task, but don’t let your ego get in front of your better judgment.