I had an email exchange with a guy earlier today that seems worthy of a quick blog post. After receiving a 30 second description of this entrepreneur's business (literally 30 seconds), I reached out to him to let him know that I thought what he was doing was interesting and asked if he would like to get together to talk more about what he's working on. Here's the email I got back from him:
Would you be interested in investing? We aren't in funding raising mode at the moment, but would be interested in a 30 minute conversation if that would bring you to a decision if you are interested in putting in money as a convertible note…. Currently we don't have time for due diligence.
I'm not sure which is more disheartening, 1) the idea that an entrepreneur would think this is a reasonable response to a request to get together and talk about his business or 2) the fact that there are "investors" out there who would consider putting money into a company after receiving such an email (in fact, I'd be willing to bet that there are "investors" who have already put money into this company under the same circumstances).
Perhaps I'm old fashioned, but I still think investing involves more than a 30 second pitch. I've written about this before -- there is a big difference between moving quickly and abdicating all responsibility. Sure, there's lots of money out there today. But there are also lots of great investors who can be way more valuable to a company than simply acting like an ATM.