Trying to win a competitive Series A against a firm like Sequoia is nearly impossible for a smaller fund. Top firms leverage an overwhelming arsenal of social proof, including board seats at the world's most valuable companies and references from iconic founders, creating an insurmountable competitive moat.

A16z's foundational belief is that founders, not hired "professional CEOs," should lead their companies long-term. The firm is structured as a network of specialists to provide founders with the knowledge and connections they lack, enabling them to grow into the CEO role and succeed.

Applying Conway's Law to venture, a firm's strategy is dictated by its fund size and team structure. A $7B fund must participate in mega-rounds to deploy capital effectively, while a smaller fund like Benchmark is structured to pursue astronomical money-on-money returns from earlier stages, making mega-deals strategically illogical.

The seed investing landscape isn't just expanding; it's actively replacing its previous generation. Legacy boutique seed firms are being squeezed by large multistage funds and new emerging managers, implying a VC's relevance has a 10-15 year cycle before a new cohort takes over.

To win highly sought-after deals, growth investors must build relationships years in advance. This involves providing tangible help with hiring, customer introductions, and strategic advice, effectively acting as an investor long before deploying capital.

Series A is a brutal competition where top-tier firms have an insurmountable advantage. Their brand and network are so powerful that if a smaller fund wins a competitive Series A deal against them, it’s a strong negative signal that the top firms passed for a reason.

Raising venture capital is often a network-driven game. If you don't already have a network of VCs or a clear path through an accelerator, your focus should not be on fundraising. Instead, dedicate your effort to building a product people want and gaining traction. VCs will find you once you have something compelling to show.

The career arcs of venture and buyout investors differ starkly. VCs rely on networks relevant to young founders, leading some to retire by 45 as connections become stale. In contrast, buyout investing is an apprenticeship business where age and experience are increasingly valued.

Large tech conferences often foster consensus views, leading VCs to chase the same deals. A better strategy is to attend smaller, niche events specific to an industry (e.g., legal tech). This provides an information advantage and helps develop a unique investment perspective away from the herd.