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I’ve worked in many early startups and I’ve never seen anyone use such a loan.
by garmaine 7y ago
I’ve worked in many early startups and I’ve never seen anyone use such a loan.
- jkaplowitz 7y agoWere they in the US and funded by VCs? That kind of startup probably doesn't need to do this. Unsure about VC-funded businesses elsewhere. Many or even most small businesses without VC funding do take that kind of loan.
- IG_Semmelweiss 7y agoYou work at the 1% The real world is filled with barbershops, daycares, bars, clinics, PVC manufacturers etc None of them get VC money. When they need money, they go to a bank and usually have to place a PG in order to get funds. Tech startups have it easy. Its all equity. You are not pledging your lifetime earnings on a business idea. Once tech startups lose their upside potential (prob not anytime soon if ever), you will be sitting with the regular folk, those that pledge their skin and life to their business.