StartUp Fundraising: The Importance (or not) of a warm intro
Explore the ongoing debate about the importance of warm introductions in the startup community and how they impact investors' sourcing strategies.
Marc Andreessen, a well-known venture capitalist, has expressed the importance of warm introductions in the startup world. In an interview with Business Insider, Andreessen said, “If somebody shows up without a referral, it’s just, it’s really hard. I mean, the quality of the people who show up without referrals is typically pretty low.”
On the other hand, there are some who argue against the concept of warm introductions. For example, in a blog post for TechCrunch, entrepreneur Andrew Gazdecki wrote, “It’s time for investors to re-evaluate the way they source deals and stop relying solely on warm introductions. The reality is, founders are everywhere and limiting oneself to introductions from one’s own network is a self-imposed handicap.”
Ultimately, the decision of whether to rely on warm introductions or not is up to each individual investor or entrepreneur. It is important to consider both sides of the argument and make an informed decision based on one’s own goals and values.