Bernie Marcus rejected a $2M investment from Ross Perot because Perot's insistence on controlling the car he drove signaled an autocratic partnership. This decision highlights that accepting investment from the wrong partner, even when desperate, is worse than having no money at all.

On the verge of closing a crucial deal, Bernie Marcus threw a Boston VC out of his car for demanding cuts to employee healthcare. He prioritized culture over capital, believing the company's foundation rested on taking care of its people, a non-negotiable principle even when facing failure.

When raising capital, the ability to articulate a clear and compelling narrative is as crucial as the underlying financial model. An operator with exceptional storytelling skills can successfully secure funding, potentially even winning out over a competitor with a marginally better deal but weaker communication.

While assessed during diligence, the true caliber of a founder—their passion, authenticity, and ability to "run through walls"—becomes starkly clear after the deal closes. This distinction is not subtle; the impact of a truly exceptional founder versus an average one is immediately evident in the business's trajectory.

After being rejected three times, Home Depot's banker Rip Fleming threatened to resign, telling his CEO he'd rather lose his job than fail to back good people like Marcus and Blank. This act of extreme partnership, unknown to the founders for years, saved the company.

Home Depot's founder, Bernie Marcus, walked away from a crucial $2M investment from Ross Perot over minor control issues, like what car he drove. He prioritized partner alignment over immediate capital, believing a bad partner would inevitably doom the venture, regardless of the money.

Startups can't compete with established leaders on credibility, but they have a unique advantage: access. Position your offer not as being "better," but as providing direct contact with the founder, contrasting it with the impersonal, multi-layered support of a large corporation.

Facing investors who started calls by saying they rarely invest, Natalie Gordon began her pitch with a slide showing $250M in revenue. VCs would assume it was GMV, and when corrected, their skepticism vanished. The surprise forced them to take the meeting seriously.

To build immediate trust and demonstrate value, QED partners engage with founders by simulating a board-level conversation from the first meeting. This "pretend I'm your investor" approach showcases their expertise and builds rapport, proving their founder-friendliness rather than just promising it.