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For modern large companies, employee tenures are typically only a few years and passive ownership (typically via investment funds) even shorter and more diversi
by em500 6y ago
For modern large companies, employee tenures are typically only a few years and passive ownership (typically via investment funds) even shorter and more diversified, so I don't know which people you're talking about who have their whole life invested in a single company. VC aren't really interested in mom and pop restaurants and flower shops.
- btilly 6y agoClarification. VCs invest in startups, not "modern large companies". (Getting a modern large company would be the hoped for outcome, not starting place.) While it is true that the people working there generally move on after a few years, it is also true that founders and early employees dedicate their lives to the startup.
- em500 6y agoIf your main claim is that VC interests are not fully aligned with founders or employees, sure, probably, but I don't seen any party having claim to some moral upper ground. If you're talking about SV style VC backed startups, It's not evident at all to me that VCs are seeking higher risk than founders seeking VC financing or early employees seeking significant equity stakes. Furthermore, they only dedicate a large part their lives to the if it looks like it's heading towards a big payoff, otherwise that dedication is limited to a few years at best.