4 ms·
The problem is these vultures tend to swoop in while the company is still alive and kicking. Everybody expects their company to do amazing in 3 to 5 years and i
by mbrumlow 8y ago
The problem is these vultures tend to swoop in while the company is still alive and kicking. Everybody expects their company to do amazing in 3 to 5 years and if does not they kick it to the curb.
The problem is if you look at all the amazing companies that are doing really well. The majority of them took near 10 years to come to their own. Half the amazing companies in SV if ran buy these PE guys would not exist if they were given to them at year 5 of their life.
- pas 8y agoIf it was that alive and kicking founders wouldn't have sold it off to the vultures. :/ There's difference between PE and PE. Look at SoftBank's Vision fund, they want to invest still more than 100B USD (it's already at around a 100), they want to fuel growth of sectors, etc. And then there's "company turnaround management", where the employee count chart gets turned around, and cashflow becomes king.