In a way I find these calls to their portfolio a bit strange, after all it's because VC is enabling these companies to run beyond their fundamentals that they c

In a way I find these calls to their portfolio a bit strange, after all it's because VC is enabling these companies to run beyond their fundamentals that they could be in problems during downturns. Businesses running on tight budgets and well within their revenue are inherently more resistant to shock. In this case the shock is economy-wide but you could have shocks that affect only the tiny segment of the industry that you are in. e.g. new regulation, PR disasters, supply chain disruptions, ... They're also more efficient from a return on equity perspective. It's just a better way to build a business with the only exception being that you might have to raise a lot to compete or to fundamentally deliver your value proposition.