> Earlier folks / seed funds have more than enough money and even if they take hits on marks the reality is that they invest at such low prices they are still '

> Earlier folks / seed funds have more than enough money and even if they take hits on marks the reality is that they invest at such low prices they are still 'good', but (a) they don't know exactly what to buy because they don't know what the later-stage folks are in the market for and (b) they really don't know what prices the later-stage folks will pay for things (which directly impacts what they are willing to pay)... — https://twitter.com/lessin/status/1528750068932788225 https://twitter.com/lessin/status/1528750068932788225 VC is a https://en.wikipedia.org/wiki/Keynesian_beauty_contest https://en.wikipedia.org/wiki/Keynesian_beauty_contest As a founder, you aren't paying the VC, the VC is paying you; you are the product and this meta-market is the actual real game you are playing. See: "Series A Exit Clause" – it's baked into your capitalization structure