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In case it was not clear, I was talking from getting VC money, meaning you already have some cash to run for some months. Why would a VC want to see their mone
by yeukhon 9y ago
In case it was not clear, I was talking from getting VC money, meaning you already have some cash to run for some months.
Why would a VC want to see their money burn to the ground if all they see is hiring 200 people when you really just 100 people?
- elmar 9y agodon't ignore the lack business acumen of some VCs.
- sgroppino 9y agoMostly because they just look at number of users and hope someone will buy the company at a users multiplier valuation and nothing else?
- elmar 9y agoheadcount is a relevant metric to justify higher valuation when you are unsophisticated investor that probably never built a Tech-Startup yourself. "the guys I invested in are killing it they just doubled the headcount" VC pitching LP's for new fund.