As part of a panel discussion on investor strategies, Claude Haw, Dave Furneaux, Rick Cornwall and Dave McCarthy reflected on each of those issues — all of which have changed dramatically over the last 12 months.

Kodiak Venture Partners' Furneaux said his firm has had to adjust its investing strategy to account for a relatively slow demand for communications products. It is now targeting startups that will have products ready two or three years out.

"The issue we're all focused on is timing of the market. We're looking for a flexible plan to develop the business so we can hit the market right on,” he said.

BDC Venture Capital's Cornwall also recognized the timing factor, emphasizing he wanted next-generation technology. "We're looking for companies that are going to skip a generation.”

It was very much a back to basics type of approach being conveyed by the distinguished panel, as evidenced by McCarthy's view on the evolution of term sheets.

"We're back to basics: fear and greed. I think we'll be seeing more things like entrepreneurs being asked to commit some of their own money,” said the BCE Capital venture professional.

Another change in term sheets is the industry is moving toward more syndication, said Venture Coaches' Haw. "We're seeing more players on term sheets, and that's a good thing. The company will be stronger as a result.”

Not only is Haw seeing term sheets differ in structure from a year ago, but he's also seeing more of them. "If anything, the number of good opportunities has increased.”

It's a sentiment shared by Furneaux, who expressed that Kodiak is more committed than ever to Ottawa startups.

"Our dealflow is greater than it's ever been. We've seen a tremendous number of entrepreneurs that want to get back in the game,” he said. In regard to opportunities VCs would like to exit from, Haw expects to see mergers and acquisitions continue to be popular.

"We've always wanted companies in it for the long-haul, but having said that, we're likely to see a significant return of M&A activity in the two- to three-year timeframe,” he said.

Furneaux agreed, although he noted that M&As would probably get done at lower prices than in the past. "M&A activity is always going to be around, but we have to lower our sights. Acquisitions are going to be done at lower prices.”