Paradoxically, market downturns like the 2008 recession are the best entry points for a venture capital career. This allows investors to "enter low and exit high," capitalizing on lower valuations and the inevitable market recovery.
Not all great businesses are suitable for venture capital. A 1,500-year-old Japanese carpentry firm is a fantastic business, but it lacks the exponential growth and massive scalability that define a VC-investable company. Founders must know the difference.
The cultural stigma of failure in Japan has significantly diminished. Investors now actively seek to back serial entrepreneurs who have previously failed, as long as their initial hypothesis was logical and they learned from the experience.
Reframe the pitch meeting from a judgment session to a mutual evaluation. Founders are selecting a partner for 7-10 years and must assess the investor for chemistry and fit, rather than just seeking capital from a position of need.
The stereotype of lifetime employment in Japan is obsolete for young people. Startups have become a high-status career path, surpassing prestigious consulting jobs like McKinsey in desirability, signaling a major cultural and economic shift.
Fundraising isn't a single transaction. A top Japanese VC prefers to invest in founders he's known for over two years, valuing trust built through long-term relationships over a polished fundraising pitch.
Don't overload an investor in the first meeting. Your sole objective is to pique their curiosity with your most compelling value proposition. If you succeed, follow-up meetings and deeper questions will naturally occur.
Predict AI's enterprise rollout by modeling autonomous driving. It starts as a human-assisted tool, moves to an internal process with a human "safety copilot," and only becomes fully autonomous when society and regulations are ready, not just the tech.
VCs can handle pivots and financial struggles. Their primary nightmare is a founder who quits. A startup's ultimate survival hinges on the founder's psychological resilience and refusal to give up, not just market or product risk.
