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The guy mentioned has quite a significant online profile. He runs a startup that just raised quite a bit of money and I heard about him before I clicked the pos
by hogFeast 7y ago
The guy mentioned has quite a significant online profile. He runs a startup that just raised quite a bit of money and I heard about him before I clicked the post.
Not going to link (tbh, anyone can probably find this guy/his picture/videos online) in case this turns out to be a case of mistaken identity (the guy who raised the money is 100% the guy Krebs is talking about...maybe Krebs is wrong though) but...if this is true...it seems that some well-regarded people really didn't do their due diligence.
- deleted 7y ago[deleted]
- jacquesm 7y ago> it seems that some well-regarded people really didn't do their due diligence. That is not rare at all. Lots of scammers try to milk investors. Usually unsuccessfully but sometimes they score, and sometimes they score big too.
- hogFeast 7y agoYep, one of the investors is a guy who has made $25m from investing in similar companies (and ran his own). Scamming institutional investors isn't unusual. I know the lead investor on the deal is one of these PE/VC bubble firms that sprung up in the last ten years. But there are people involved who are definitely not stupid. Also, the company is most certainly not a scam. Again, I heard about them years ago, and they have a legitimate business selling to consumers (i.e. it is fairly straightforward to check if the business exists).
- lonelappde 7y agoOf course they did due diligence. They found someone with profitable ideas and execution. This very site is funded by an investor that brags about explicitly filtering for founders that break the rules they can get away with ("being naughty" and "hacking the system"), and has made millions of dollars from startups like AirBnB that are built and marketed on that premise.