Should You Ask a Venture Capital Investor to Sign an NDA?

5 months ago
27

Should you ask a VC to sign your NDA before sharing information about your startup?

Startups thrive on outcompeting their peers through innovation. Its understandable that many startup founders will want to jealously guard information about their innovation, their product, and their business.

But is a good strategy to ask for an NDA when approaching venture investors when seeking capital? In this video, I discuss:

- the reasons a VC will not sign your NDA
- why its a bad tactic to ask for this
- when its appropriate to ask

If you're a startup looking to raise capital, you don't want to miss this advice borne from 10 years of VC investing experience.

I am not a lawyer, and nothing I say in this video should be construed as legal advice. This is my personal opinion from ~10 years of experience as a VC investor.

00:00 Intro
02:30 Why a VC won't sign 1st reason (time consuming)
03:22 Why a VC won't sign 2nd reason (makes job harder)
04:30 Why a VC won't sign 3rd reason (its a red flag)
05:48 Why its a bad tactic for startups to ask for an NDA
09:21 When to ask for an NDA

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