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Literally every founder is capable of figuring out the basic unit economics of their business. But when VC money is abundant the unit economics don't matter bec
by gizmo 4y ago
Literally every founder is capable of figuring out the basic unit economics of their business. But when VC money is abundant the unit economics don't matter because growth is the only metric worth tracking.
- wpietri 4y agoOh, I believe they're capable of figuring these things out. My question is whether they did. For example, I could imagine a founder who knew what a real business was, but just said, "In crazy times we'll do crazy things", took the VC money, and mainly shut up about the problems, while quietly trying to mitigate the risks. Or I could imagine that the OP is literally correct here, that many never bothered to figure this stuff out because it did not matter for the short term, and in fact would interfere with them projecting an SBF-grade aura of extreme confidence. I've certainly met people in both camps. I'm just wondering if the latter have truly become very common, or even possibly the majority in some circles.