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Another thought I had: they don't want to help you succeed in small increments because then you're 1) not likely to need their help any longer (they don't have
by loceng 6y ago
Another thought I had: they don't want to help you succeed in small increments because then you're 1) not likely to need their help any longer (they don't have you on a metaphorical leash), and 2) the more successful you are the more leverage you have in negotiating and could find other suitors to fund you at better rates.
- EGreg 6y agoWell, I think there are different kinds of VCs. And anyway, as usual there is a way to address this... they can just get options (but not obligations) to have preferential rights in follow-on stuff, such as right of first refusal.