# Ratatouille and the Art of Being a VC
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2021-10-20
Category: FINANCE
Category URL: https://financedigest.com/category/finance
Meta Title: The Real Meaning Behind 'Ratatouille': Lessons for
Meta Description: Join Yusuf Ozdalga on a journey of paralleling the world of venture capital with Anton Ego's epiphany in Ratatouille. Explore the true meaning of
URL: https://financedigest.com/ratatouille-and-the-art-of-being-a-vchtml

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![Yusuf Ozdalga, London Partner, QED Investors](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/yusuf-ozdalga-450x367-1736837540106-compressed.jpg)

_By **Yusuf Ozdalga,** London Partner, QED Investors_

The animated Pixar movie Ratatouille depicts the adventures of a rat following its life passion of becoming a Parisian chef against all odds. In the finale of the movie there is a memorable monologue where the snobby and hard to please food critic Anton Ego (as voiced by Peter O’Toole) finally comes to his senses and realizes the true meaning of his own labor, triggered by discovering that the sublimely delicious meal he just savored was in fact prepared by a rat.

“ _In many ways, the work of a critic is easy. We risk very [little yet enjoy a position over those who offer](https://www.financedigest.com/big-fall-in-euro-zone-inflation-offers-little-help-for-ecb.html "Big fall in euro zone inflation offers little help for ECB") up their work and their selves to our judgment. We thrive on negative criticism, which is fun to write and to read. But the bitter truth we critics must face, is that in the grand scheme of things, the average piece of junk is probably more meaningful than our criticism designating it so. But there are [times when a critic truly risks something](https://www.financedigest.com/the-spritz-gets-a-shake-up-something-nothing-launches-new-ready-to-drink-spritz-in-time-for-summer.html "The Spritz gets a shake up! Something & Nothing launches new ready-to-drink Spritz in time for summer"), and that is in the discovery and defense of the new. The world is often unkind to new talent, new creations. The new [needs](https://www.financedigest.com/electric-scooters-market-rising-need-for-eco-friendly-vehicles.html "Electric Scooters Market – Rising Need For Eco-Friendly Vehicles ") friends.”_

Watching this, I could not help but to draw parallels with the work I do as a venture capital investor in [early stage](https://www.financedigest.com/valuing-your-early-stage-startup.html "Valuing your Early Stage Startup") companies.

As VC investors, we see and listen to hundreds, if not thousands, of [founders presenting their business](https://www.financedigest.com/a-female-founders-top-tips-for-success-for-women-in-business.html "A female founder’s top tips for success for women in business") ideas to us each year. By design, we cannot [invest in all of these ideas and invariably find ourselves in the position](https://www.financedigest.com/liverpools-new-chinatown-perfectly-positioned-for-property-investment-this-chinese-new-year.html "Liverpool’s New Chinatown perfectly positioned for property investment this Chinese New Year") of saying no to the vast majority of founders that cross our paths. Unlike Anton Ego, I should like to think that the overwhelming majority of VCs do not thrive on negative criticism – in fact [saying no is probably one of the hardest part of the job](https://www.financedigest.com/amazon-ceo-says-job-cuts-to-exceed-18000-roles.html "Amazon CEO says job cuts to exceed 18,000 roles").

Nonetheless, we have to engage in some sort of critical thinking during the process of [reaching our decisions](https://www.financedigest.com/the-personal-circumstances-currently-driving-equity-release-enquiries-and-how-to-reach-the-right-decision.html "The personal circumstances currently driving equity release enquiries and how to reach the right decision"), and no matter how nicely we try to deliver our message or how thick skinned the founders (as they indeed very much are, or if not, inevitably become over time), the act of saying no is hard on both sides.

But as Anton Ego points out, in the grander scheme of things, the blood, sweat and tears that founders and early [employees sacrifice on the road to success are infinitely more meaningful than the work](https://www.financedigest.com/voice-quality-matters-quarter-of-employees-working-from-home-still-experiencing-regular-connectivity-issues.html "Voice Quality Matters: Quarter of Employees Working From Home Still Experiencing Regular Connectivity Issues") we do and the judgment we pass as venture capitalists. Compared to what it takes to get a new idea off the ground, [coming up with a yes or no decision on a particular funding](https://www.financedigest.com/have-multi-asset-funds-had-their-day-or-is-their-best-yet-to-come-new-whitepaper-from-camradata-explores.html "Have multi-asset funds had their day or is their best yet to come? New whitepaper from CAMRADATA explores") round feels insignificant indeed.

Of course, as VCs we in practice do a lot to help the [process of innovation](https://www.financedigest.com/how-can-stream-processing-act-as-a-catalyst-for-innovation-in-financial-services.html "How Can Stream Processing Act As A Catalyst For Innovation In Financial Services?") and creation. Beyond the capital that we put behind entrepreneurs, we [spend time](https://www.financedigest.com/its-time-for-banks-to-spend-on-digital-mortgage-journeys.html "It’s time for banks to spend on digital mortgage journeys") helping refine ideas, act as connectors, cheerleaders, coaches, and in the best of cases we roll up our sleeves and act as co-creators or even (dare I say) co-founders.

However, there is indeed that one time where we as VCs can make a truly significant difference, and that is when we go out on a limb and risk not just our capital, but also our reputation, [track record](https://www.financedigest.com/norway-on-track-for-record-gas-export-will-be-ready-for-winter-gassco-ceo.html "Norway on track for record gas export, will be ready for winter -Gassco CEO"), or career on an idea that is truly new, truly disruptive, truly innovative.

Believe it or not, this does not happen as often as one might expect from looking at the venture ecosystem from the outside. There are trends, topics and themes that [become “hot” and many end](https://www.financedigest.com/euronext-italian-arm-to-become-group-wide-clearer-from-end-2023.html "Euronext Italian arm to become group-wide clearer from end 2023") up chasing the latest flavor of the month, flocking like moths to a flame while disregarding other less obvious ideas.

And as much as [venture capital](https://www.financedigest.com/breaking-down-venture-capitals-gender-and-diversity-barriers.html "Breaking down Venture Capital’s gender and diversity barriers") should be about taking risks, it is only human nature that investors look to offset those risks. Ideally this is just wise risk mitigation – however taken to an extreme, this can lead to a certain kind of conformism in the VC world, and sap they [system of true innovation](https://www.financedigest.com/the-hemodynamic-monitoring-systems-market-to-clamber-on-the-shoulders-of-innovation.html "The Hemodynamic Monitoring Systems Market To Clamber On The Shoulders Of Innovation").

Hence, a VC really comes into their own when they are willing to make a leap of conviction as [well as faith to take a risk](https://www.financedigest.com/fed-keen-to-be-well-positioned-to-act-on-inflation-other-risks-minutes-show.html "Fed keen to be ‘well positioned’ to act on inflation, other risks, minutes show") alongside the founder, not knowing exactly where the road will lead, but believing they will figure it out together.

The world is often unkind to new creations. The new needs friends, and [venture capitalists](https://www.financedigest.com/corporate-venture-capitalists-eye-startup-opportunities-across-cee.html "Corporate venture capitalists eye startup opportunities across CEE") become their best self by becoming that friend.


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