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It's someone else's money. - VC raises money to invest - VC or the individual partners buy the infrastructure (or already owns it through different channels)
by TAForObvReasons 8y ago
It's someone else's money.
- VC raises money to invest
- VC or the individual partners buy the infrastructure (or already owns it through different channels)
- VC instructs companies it funds to use infrastructure it owns
$$
Now, of course there's interest in successes in the fund, but even when a bet doesn't pan out the VC firm can profit
- thaumasiotes 8y agoThat does not "pad the ROI". It lowers the ROI of the fund. It may launder some money from the fund into a VC's personal pockets, but that's not the same thing.