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When making an investment in a business, does every venture capital firm want a seat on the board?



Yes, venture capital companies and their never-ending appetite for power.


In the startup environment, it feels like there is never a stop to the power play.


Although many venture capital companies do, in fact, look for a board seat when they invest in a business, this is not a hard-and-fast rule.


While some businesses adopt a more passive stance and are just concerned with producing a profit, others are more involved and want a direct voice in the company's decision-making process.


Let me now express my thoughts about this.


In my opinion, venture investors who seek a board seat as if they have the heavenly knowledge to steer a firm toward success are being rather arrogant.


Yes, they could offer important contacts and experience to the table, but remember that enthusiastic, skilled people who are well familiar with their industry oftenfound businesses.


Remarkable successes may sometimes result from giving the founders the freedom to keep control and make choices according on their vision.


Of course, there are instances in which it is advantageous to have a venture capitalist on the board, particularly if they provide important industry experience or strategic insights.


However, let's avoid making it a strict must.


Since every company and venture capital firm is different, the choice should be made based on shared values and understanding.


Thus, my fellow business owners, choose your venture investors carefully and resist the urge to allow them to trample on your independence and originality.



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