Molson Hart

You've invested in a startup in middle America. You believed early, took the risk, help the team. It gets traction. A coastal VC later wants to invest. Some VCs will try to remove rights like pro-rata rights from early investors. They see you as dead weight.

This isn't good. It hurts your returns. You want to keep doubling down in your winners in venture. How do you avoid it? 1- Stay close to the founders+company. Do the work adding value to the team. Help. If you're big value add, founders can/will fight to keep you involved.

2- Be clear from the beginning that you don't give up things like pro-rata or information rights agreed to in the early rounds. Some investors get this acknowledgment in writing even. Expectation setting is key to avoid surprise conflict.

Ideally, it never comes to this: 3- Make sure the legal docs protect your investment. This is the nuclear option to ensure things don't happen against your will. "Majority of round approval" provisions, etc can make it tough if everyone else is willing to give up pro-rata.

This yet another case in point: Only people who are willing to do the work and get their hands dirty should be directly angel investing. Or, you're better off putting that money with a GP who will.

Shame the VC trying to do that on Twitter. Start a war. Raise your profile in the process. Works in the rap game. Works here too I bet.