Remember that old adage you idea should be so good that you can hand out business plans in Wall St (substitute for your local wall st) but they will still need you/your team to implement it ..
If your idea can be copied too easily , from an investor perspective this is too risky On Sun, Aug 23, 2009 at 12:22 AM, Kev <soc...@melon.com.au> wrote: > > Just picked this up tonight whilst doing some research, from a well > known VC.... > > > > "We do not sign non-disclosure agreements (NDAs). We receive so many > plans each week that if we signed every NDA request, we would quickly > be overwhelmed with legal documentation. For entrepreneurs who are > concerned about protecting their idea, Guy Kawasaki has an excellent > summary of NDA's in this article from Forbes magazine." > > And some thoughts from Guy Kawasaki on the matter: > > " > > How can one protect an idea since few investors will sign an NDA (Non- > Disclosure Agreement)? > > You're right: Few investors will sign one, and even if they did, > simply hearing your idea better not make it copyable. I've never seen > a case where an entrepreneur told an investor about an idea, and the > investor ripped it off. > > Investors are looking for people who can implement ideas, not simply > come up with them. Ideas are easy. Implementation is hard--and where > the money is. Quite frankly, few investors are capable of implementing > an idea--that's why they're now investors--but I digress. > > Here are the fine points of using an NDA: > > Never ask an investor to sign one to have a first meeting or in the > first meeting. No one who would sign one this early is an investor > you'd want. > If you're asking for an NDA to merely discuss your idea, keep your day > job because you're clueless. I've been asked to sign an NDA to hear > about selling books online! > Freely circulate your executive summary and PowerPoint pitch. These > documents should entice investors to go to the next step. They should > not reveal your magic sauce. > Ask for an NDA if an investor is interested in your deal and wants to > learn more at the bits and bytes or molecular level. It is reasonable > for an interested investor to ask for this in the due diligence stage. > This is most relevant for life sciences and material sciences > companies. > You should feel pretty safe once patents are filed to discuss your > magic sauce under an NDA--not that you'll have the time or resources > to sue for patent infringement. > > The bottom line is still that the best protection of an idea is great > implementation of the idea." > > > -- Best Wishes Bineet Ramrakha http://www.linkedin.com/in/bineet +61 2 8013 8245 +61 431 387 830 The information contained in this electronic mail is intended only for the use of the addressee. If the reader of this e-mail is not the intended recipient, we hereby notify you that we strictly prohibit any dissemination, distribution, or copying of this communication. If you have received this e-mail in error, please immediately notify us by e-mail, and delete the communication and all copies. --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Silicon Beach Australia mailing list. Guidelines on discussion: http://tr.im/ujKF No lurkers! It is expected that you introduce yourself: http://tr.im/ujMm To post to this group, send email to silicon-beach-australia@googlegroups.com To unsubscribe from this group, send email to silicon-beach-australia+unsubscr...@googlegroups.com For more options, visit this group at http://groups.google.com/group/silicon-beach-australia?hl=en?hl=en -~----------~----~----~----~------~----~------~--~---
