7 Due Diligence Land Mines That Kill VC Deals | Dose 046

Getting ready for VC due diligence? Avoid these 7 most common landmines that kill deals. Book office hours with Dreamit Ventures ► https://www.dreamit.com/office-hours Tell us more about your startup ► https://www.dreamit.com/tell-us-more How does due diligence work in venture capital? Startup due diligence is an immovable piece required to raise funding. However, in preparing for VC due diligence, many founders fail to recognize common mistakes that end up hurting their chances of getting funded. In this Dreamit Dose, Managing Partner Steve Barsh offers 7 common landmines that founders need to avoid before entering into due diligence with an investor. Whether you’re seeking an angel investor due diligence checklist or focused on Pre-Seed funding due diligence, Seed funding due diligence, looking for a Series A diligence checklist, or even a Series B checklist, you’ll need to look out for similar pitfalls. While you can find a NVCA due diligence checklist, the process will look different for certain investors. However, any good startup investment due diligence checklist should account for common VC due diligence questions that often trip founders up. You’ll learn what those questions are, red flags, and the landmines to avoid in the investor due diligence process in this 13-minute Dreamit Dose! Suggested Due Diligence Checklist ► https://bit.ly/3gKgvO0 0:00 - Intro 0:41 - 3 Ground Rules for Due Diligence 1:53 - #1: Specific HR Issues 3:38 - #2: Your CAP Table 4:39 - #3: Revenue, Budgets, Forecasts 5:51 - #4 - Early Customers & Users 7:14 - #5 - Your Product 7:54 - #6 - Your IP & Patents 9:30 - #7 - Company Documents 10:20 - Bonus - Data Rooms 11:21 - Bonus - Diligence Is Two Way 12:10 - Takeaways 13:24 - Outro