The Way of the VC: Having Top Venture Capitalists on Your Board by Ying Tan

by Yinglan Tan

Venture Capital funds are the fastest growing sector of the financial industry, and possibly the least understood. In this book, the author provides a primer on what some of the world's best venture capitalists have in common. How do the world's top venture capitalists consistently obtain supernormal returns? How do they add value to entrepreneurs they have backed? Why is a top venture capitalist like a skilled chef? How did Lip Bu Tan, when he was Chairman of Walden, manage to invest in Creative Technology, despite the CEO's aversion for VCs?How did Nam Ho, Founder and Managing Partner of Altos Venture, turn an introduction by a Stanford Business School professor into a venture capital firm managing a quarter billion dollars of capital?How does Bing Gordon, Partner at Kleiner Perkins Caufield & Byers and author of the business plan that resulted in KPCB's investment in Electronic Arts, time exits properly?Why did Soo Boon Koh, Managing Director of IGlobe Ventures, back a GPS company which was filing for Chapter 11, in the post 9-11 market?The "Way of the Having Top Venture Capitalists on Your Board" is essential reading for venture capital practitioners, including partners, principals, analysts, consultants and limited partners--both institutional and private. It is also useful to students of finance who want a better understanding of what goes on in the venture capital world.

Hardcover

First published February 2, 2010

Reviews

[Vasyl Davydko · Rating 5 out of 5]

A great book by former Sequoia partner, explains how VCs really work. If you are a Founder raising, definitely a good read to understand investors' mindset and their incentives.

[Joel · Rating 2 out of 5]

There are some useful lessons here, but it's tough work finding them. The book is rife with embarrassing copy-editing errors (one quote is attributed to "Francis bacon"), is much too long (padded out with interminable case studies and block quotes), re-introduces the same handful of quoted individuals dozens of times, and has a huge bias towards Asia ("c'est la vie" gets an inline translation but "guanxi" doesn't!) and Asian markets—which, while theoretically interesting, is not what most readers are likely to be looking for.

[Monce Abraham · Rating 5 out of 5]

I have always believed that a true master is one who can impart the most complex of teachings in the simplest of ways. Tan Yinglan in his book 'The Way of the VC' exemplifies just that.

From someone who frequently asks 'How can I help you?' and sincerely means it, pick up the book to experience the learning firsthand. Highly recommend to anyone who wishes to understand the whirlwind world of Venture Capital and Entrepreneurship.

Best, Monce