3 ms·
> as seed-stage companies shouldn't have to pay for an audit According to the new CEO, FTX had no board and lacked basic due diligence. That doesn't seem too
by threeseed 4y ago
> as seed-stage companies shouldn't have to pay for an audit
According to the new CEO, FTX had no board and lacked basic due diligence.
That doesn't seem too onerous for seed-stage companies once they have taken external funding to have in place.
- beambot 4y agoMost seed funds (sub-$2M checks) have to make a large number of investments (like 15 per partner every 2-3 years) to make the fund economics work. Sitting on as many boards would be impossible / ineffective. The situation is different when you hit SeriesA, where partners generally do up to 3x investments per year. This results in a more manageable board load.