3 ms·
If you take VC money, your goal becomes the VC's goal. VCs need a liquidity event to happen within the expiration of the fund that they wrote the check from. I
by hkmurakami 11y ago
If you take VC money, your goal becomes the VC's goal.
VCs need a liquidity event to happen within the expiration of the fund that they wrote the check from. IPOs are theoretically unbounded in terms of availability.
- akulbe 11y agoI would say this is all the more reason not to take VC money, but bootstrap on your own. Why give up control?
- nemothekid 11y ago>Why give up control? For access to capital. If you were an Uber/Lyft competitor, it becomes very hard to compete with competitors who have near vast amounts of money to spend on marketing and customer/driver acquisition. Both Sidecar and Hailocab (in the US) lived this first hand. Some (if not most) businesses cannot be bootstrapped. It took a while for Google to become profitable, and who knows if the search product would have been as good if they had to focus on generating revenue on day 1.