There are two key elements which define whether you are ready:
(a) Your company's stage in its lifecycle and
(b) Your management's maturity/openness to partnership.
With respect to (a), your company should have developed or acquired the basic skills. You know that your concept is sound, that the product or service works, and that there is a ready market. Having tested and re-tested and adopted your strategies and products to the greatest extent possible with extremely limited resources, you are at a point where you need tap into VCs funding, expertise and network to realize your company's true potential. This, however, is often times a big step for you as you will be inviting outsiders for the first time. This is where (b) is very important. VCCs perceive any potential investment as an opportunity for partnership and cooperation to rally their respective skills towards business building and maximizing shareholder value. You and your management must realize from the outset, that most VCCs are not passive investors and that in fact to the contrary, VCCs will take an active role in helping navigate the uncharted commercial waters with you. A key ingredient of successful partnership is that you and your management are ready for such a relationship; that you are aware of your particular strengths and weaknesses and see synergies in a partnership with VCCs.