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Does profitability equate to paying back all the VC money burned getting to this point? They were losing billions every quarter for a long time. I haven't loo

by ProAm 6y ago

Does profitability equate to paying back all the VC money burned getting to this point? They were losing billions every quarter for a long time. I haven't looked at their quarterlies in a while though but Id be surprised if they were remotely right-side up.

quickthrowman 6y ago
No, it means a profitable quarter.
ksenzee 6y ago
No, because the VC money is equity rather than debt. Profitability doesn't include "make sure the owners get some cash." It just means you made more money than you spent this quarter.
pault 6y ago
Investment rounds aren't loans, they're... Investments. You're selling them a stake in the company, not borrowing money. I'm sure there are exceptions but that's generally how it works.