How can you use business networking to identify acquisition targets for your VC portfolio?

Staying open and curious keeps great opportunities in sight, you never know where inspiration may spark, so keep meeting new founders, exploring fresh ideas, and enjoying the journey of discovery.

One thing I've found helpful is actively networking with a focus on curiosity, support, and sharing experiences and connections. In my journey, I've realized that being genuinely helpful and approachable is key. It's not just about what you can gain, but also about what you can offer to others in the ecosystem. By being a 'mensch' in the business world - someone who is ethical, trustworthy, and kind - I've developed deeper trust with founders. This approach has often led them to seek my advice, and in turn, consider our VC firm as a potential partner in their growth. It's not just about who you know; it's about who trusts you enough to take you on their journey.

Indeed - by sharing insights, contributing thought leadership content and engaging in meaningful discussions, VCs can enhance their visibility within the community. By combining a robust networking strategy with a strong public presence and engagement, a VC firm can significantly enhance its ability to identify, evaluate and secure acquisition targets while also establishing itself as a reputable player within the industry.

Estabelecendo confian?a, consideramos as necessidades e objetivos de ambas as partes. Já optamos por n?o prosseguir com negocia??es quando identificamos que n?o seria benéfico para uma das partes, evitando assim potenciais conflitos futuros.

I go into networking with the mindset to be helpful. My experience has shown that if you have an agenda when networking then it wont be productive because others can tell. Be authentic and give back to the VC community and it will eventually pay dividends in ways you don't expect.

Investors should develop what I call an "Investment Thesis Flywheel" in order to build a network that compounds over time. It works something like this: - Pick an area of investment focus, a sweet spot where your personal interest, professional experience, and passions overlap. - Research the area deeply, both online as well as in-person (attend relevant events, reach out to founders and operators in the space) - As you become more knowledgable in that area (via the previous step), you'll be able to get in front of people that previously might not have been interested to connect with you. This creates the flywheel effect that I alluded to.

Absolutely - you must strategically engage in niche communities, attend key events, create valuable content, build genuine relationships and communicate transparently for effective VC networking. In addition, you should apply mentorship and guidance, active listening, follow-up & persistences, diversification and collaboration opportunities.

The fusion of traditional networking with digital intelligence presents an executive approach to identifying potential targets. By tapping into referrals, active event engagement, digital interactions, and ongoing evaluation, the venture capital strategy becomes a dynamic process. It's about not just widening the network, but about extracting valuable insights and opportunities from these connections, resulting in a more precise and aligned investment portfolio.

Once you identified your targeted field, identify people working in that field. It is a great temptation to only focus on the top of the pyramide. To try to meet all the relevant CEO. To spend endless time planning for the perfect 20 seconds you will have to "discuss" with them (5 of which will be a picture that you will post everywhere to show how well connected you are). You should focus on accessible, productive targets. You should also invest in making more people accessible to you. But don't spend to long planning versus doing. The point is to actually meet people, not wait for the perfect opportunity doing nothing.

If you identified a good prospect, the best way to leverage your network is to search for an entry point in your network that know people in the management of the targeted company. LinkedIn is actually the best tool for that (not just because I am writing this on LinkedIn). Display the staff of the company, and search people that are second degree connection. Look for connection in common and select one that make sense for an introduction. You will have so much more reach if you go through a mutual connection than with a cold call (this work for any contact, not just investors). Before you ask for an introduction, I like to ask my contact for his impression on my target. What does he think? Does he have input?

I would say that networking isn't solely about making connections - it's about establishing meaningful relationships built on trust, mutual respect and shared goals. By approaching potential targets with empathy, offering tangible support and demonstrating genuine interest, you're not just seeking investments, you're fostering partnerships that drive mutual success. It's this blend of empathy, value creation and transparent communication that distinguishes a venture capitalist as a strategic ally rather than just a financial supporter.

You never know where connection leads, join the scene, learn what founders love, see if any perfect matches seek a boost ready to scale new heights

The strongest networks are built on mutual understanding and support. Look for ways to champion others' visions first before your own, and strategic partnerships will naturally follow.

Finding acquisition targets requires more than the usual methods in the fast-changing world of venture capital. Smart networking is a way to go that is based on data-driven strategies and scientific research. Take part in events that are specific to your business and use AI tools (now, a lot!!!) to look at market trends and how well your startup is doing. Talk to the company's founders and other important people, and build connections with them that go beyond simple evaluations. Build a network of people who value new ideas and thinking ahead. This will help you keep a steady flow of startups that are doing well now and will do well in the future. Remember that it's not enough to just see promise; you need to help it grow... Carpediem!