Here's how you can navigate emotions in Venture Capital to succeed.

The best decisions are made by impassioned people with calm minds. This dictum often collides with hyperemotive personalities in the startup world that (largely for good reason) have staked everything (corporate careers, friendships, even health, and more) to build and grow a company. Achieving calmness in such situations is difficult but doable: One thing that usually works in an investor's facor is AGE. Having an average of 5-10 years over a founder gives one many more anecdotes and life experiences to put decision making in a better context. Also, reinforce that everyone is now on th same side of the table so decision making is accretive not distributive..

FOMO will consume your mind if you let it. You miss out on a deal, you get the feeling in the pit of your stomach that you made a huge mistake. Remind yourself that the game of VC is about prudence and levelheadedness. So many VCs get emotional when they feel like they'll miss the next unicorn. Take comfort in being reasonable and prudent when it comes to negotiating. The firms who stick to their guns and their thesis and reasonable terms will win in the long run.

In venture capital, being aware of your emotional triggers is really important. For example, you might feel uneasy when a founder seems overly confident or stressed as a deal deadline approaches. Understanding these feelings helps you stay calm and make better decisions. It’s not about ignoring your emotions but recognizing them so they don’t cloud your judgment. By knowing what triggers your emotions, you can take a step back and handle tough situations with a clearer, more balanced perspective. This kind of self-awareness makes navigating the ups and downs of venture capital much smoother.

Here’s a simple solution for managing emotions in VC and investment conversations: 1. Leave emotions at home. 2. Assess whether the conversation makes sense; if not, take a break and get some coffee. 3. Avoid trigger words. 4. Start your discussions with value-driven questions like "What do you think?" or "When do you think?"

Emotional intelligence (EI) is the ability to recognise and understand your emotions, and how each affects you and other people. Self awareness is therefore a critical success factor when managing or even socialising with other people and also yourself. That awareness, can then be managed to assure you frame your expressiveness and other emotions for the audience you deal with. Some audiences and social groups may hate expressiveness, and others less so - some groups may even be emotional. The creative industries may be more emotional than the banking industry, and therefore, expressiveness may be expected when discussing promotions, and not when discussing personal finance.

Just like you need to maintain balance in all aspects in life, so it is in VC industry.In VC world it's important to maintain a balance between your intuition and factual data. Some of the ways I do it myself are : -Do a background check on the founders - Do Thorough Due Diligence on the Financial data and projections and ensure they are in sync with the customer order pipeline - Seek expers from legal fraternity if required - Talk to the Lead Investor or Co- Investors and discuss the startup with them and understand their reasons to invest in the startup. - Try to find out as much information , articles on the internet about the startup and validate it with thr information shared by the founders.

A founder’s enthusiasm is often the fuel that powers their startup. It drives them to overcome challenges, inspire their team, and push their vision forward. Optimistic founders can envision possibilities that others might overlook. This visionary thinking can lead to innovative products and disrupt industries. Enthusiasm is contagious, and a passionate founder can attract investors, employees, and customers. Their energy can create momentum and open doors that might otherwise remain closed. Review the business plan with a critical eye. Does it include realistic financial projections, a well-researched market analysis, and a viable go-to-market strategy? Ensure that the founder’s optimism is grounded in solid planning

I believe that you definitely need a balance of both because on one hand you have to think, how do we get from this point to this point. The other feeling that you will get is, once we do get to this point then we can do even more and this and this door will open as well.

Socially, we expect enthusiastics greetings, however, investment success requires a more critical approach - it's all about finding a balance. The balance may be personal style, and reflect the character of the investee and the investor. Thus timing of enthusiasm is critical! For instance, enthusiasm may be limited to the greeting, followed by a more critical approach, and finishing with an enthusiastic goodbye. Such an approach ensures that social behaviours are maintained, and critical analysis equally has its place at every meeting.

Rome wasn't built in a day, and equally, a venture capital deal is not single transaction. A deal may comprise venture capital funding of months and years, and thus the need to make many decisions - objectively. Decisions of products, personnel, and of promotion, that all benefit from objectivity, & equally of being self aware and social in every situation. Thus due diligence is not simply market fit, but also person fit, and diligently testing an investee, an investor, or a officer, have appropriate soft skills. In short, take time to find out if those skills are not only present in someone, but also present in the right proportions and at the right times.

Emotional due diligence for founders is essential. A strong track record of how they've managed stress and rebounded from setbacks is a key indicator of their resilience. Additionally, during interactions, pay attention to their openness and listening skills, as these often reflect a founder's emotional balance and willingness to grow.

There's a widespread belief that venture capitalists approach every new founder with the intent to reject them from the start. This is a myth. When I meet a founder for the first time, I genuinely hope they meet all the criteria for success. I approach them with a positive mindset, eager to see their vision come to life. However, the reality is that not every startup is ready or aligned with the opportunities available. It’s not about looking for reasons to say no but ensuring the right fit. Rejections aren’t about a lack of empathy or dismissing ideas. They’re about guiding founders toward better alignment or readiness. As VCs, our goal is to foster success, not hinder it. And empathy is key to supporting entrepreneurs on their journey.

Je suis convaincue que l'empathie joue un r?le clé, que ce soit dans le capital-risque ou la gestion de patrimoine. être empathique, c'est comprendre les défis uniques auxquels les entrepreneurs et nos clients sont confrontés, ce qui permet d'offrir des conseils et un soutien plus adaptés. Cela aide non seulement à renforcer la relation de confiance, mais aussi à avoir une vision plus complète de leurs besoins et objectifs. En étant à l'écoute, nous pouvons les guider de manière plus efficace vers des décisions qui favorisent leur succès à long terme.

Early in the relationship, clearly define what success looks like for both you and the founder. This includes financial targets, growth, and key performance indicators. Make sure both parties agree on the vision and the timeline for achieving key goals. Misalignment on these fronts can lead to frustration and unmet expectations later on. Communicate your investment thesis clearly. Explain what attracted you to the opportunity and what you expect in return. This helps set a realistic foundation for the partnership. When discussing potential outcomes, be realistic rather than overly optimistic. Whether it’s financial returns, market penetration, or timelines, make sure your projections are grounded in data and reasonable assumptions.

There are always a ton of things going on in the world of venture. You can lose focus quickly in a sea of opportunities. Everyone is in different stages at different times this literally means that it may not be the right time for some things.

Il est essentiel de définir des attentes claires et réalistes pour éviter les malentendus et les déceptions. En communiquant de manière transparente avec nos clients, nous pouvons batir des relations de confiance et assurer une collaboration efficace sur le long terme. Cette approche permet non seulement de stabiliser les émotions, mais aussi de créer un environnement où chacun sait ce qu'il peut attendre et ce qu'il doit fournir.

Regular reflection is crucial for both founders and investors. We can only truly control our actions and evaluate the outcomes they've produced. Taking time to update your knowledge, often through a humble approach by seeking guidance from mentors, consulting subject matter experts, and conducting thorough research, is essential. Additionally, dedicating time to reflect with your team, learning from mistakes, and brainstorming ideas for improvement fosters a culture of continuous growth and innovation. Self-awareness is also vital—understanding what triggers you and others is key to personal and team development.