A late stage VC keeps approaching an early stage startup

Question

We are an early stage startup (ramen profitable) and we keep getting approached by this late stage VC. This is the third time.In every meeting they are like "Hey, really like what you are doing - what are your plans for next 3 months". Strangely, they never have their video turned on during these meetings. There is some overlap with their portfolio companies but these companies are too large & they should see no threat.How best to deal with this ?

Jugurtha · Accepted Answer

When people tell us they like what we're doing or that they're impressed by what we did/do, I ask them what they have liked so much or what they have been impressed by, specifically. I filter them out if they can't answer. Did they put any thought at all into this?
Assuming they can answer that, you can ask what their plans are and how they see their role. How will they be useful for you? What do they want? Do they want to invest? With how much? In which ways? Why? Did they put any thought at all into this? Lack of interest, due diligence, seriousness.
It's useful to maintain a relation with a smart, diligent, investor. What do you want, though? Do you need capital? Do you need something else? Are you having these meetings to maintain relations?
Are you telling them things you wouldn't say in public?
You've had several meetings. What were the actions? What's the result of that talk?

gurubavan · Answer

Tell them that you're really focused on customer development or building product right now (which I'm sure you are anyway) and that you'll reach out to them later ahead of fundraising. You don't owe them anything!

psyklic · Answer

In my last startup, many investors regularly scheduled meetings without investing. A company newsletter could be a more productive way to keep them and early customers in the loop.

codegeek · Answer

It seems like you are not sure if you can trust them ? In that case, just decline for the meeting politely and move on. I would say something like "We appreciate the interest but we are not quite ready to discuss investment at the moment. We will definitely come back to you once we are ready. Once again, I really thank you for the consideration".

forgotmysn · Answer

stop taking meetings. tell them that you appreciate their interest and that you will reach out if and when you think they would be a good fit as a partner.

zkirill · Answer

Politely decline meetings. Say you're always willing to listen to offers and opportunities. Until they come up with some hard numbers and terms then they are getting more from you then you are from them.

verdverm · Answer

Don't give away secrets or insightsBe frank with them