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Anytime we paint another group of people as an "other" whether because of race or culture or whatever, we do our selves a disservice and encourage conflict and
by michaelochurch 15y ago
Anytime we paint another group of people as an "other" whether because of race or culture or whatever, we do our selves a disservice and encourage conflict and misunderstanding.
It goes both ways, though. VCs still make entrepreneurs pay the VCs' own (!) legal fees, they still roll out criminal terms like participating preferred and multiple liquidation preferences ("because fuck you, that's why") which are essentially legitimized extortion, and they still take months to make decisions that could be made in under a week with appropriate masculinity. Terms and behaviors like that emphasize the separation: you're not among us, and this is what you'll deal with for the right to breathe the same air as we do.
Why do they get away with this? Because most of them look out for each other, not entrepreneurs. Because if you don't take that "deal" with the 4x liquidation preference and participating preferred, the VC offering it is going to call up 6 other VCs and damage your reputation and they will lose interest as well (the extortion factor).
The two-class world still exists, and unless you worked directly with Mark Zuckerberg, VCs are of a higher class than entrepreneurs and they don't even want to share an elevator with you. It shouldn't be that way, but it is. Yes, being an entrepreneur is more fun when things are going smashingly well, but VCs don't have to worry about their kids' school bills when things aren't going well. Plus, VCs can always become entrepreneurs and have a leg up (from the connections and inside track they established while in VC) when they do so. The 25th-percentile outcome for a VC is that he doesn't make partner but gets an executive position at a portfolio company. The 25th-percentile outcome for an entrepreneur is, for a hint, not the option to go into VC for a few years.