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no kidding.. where are these investors?? my company raised a small round e years in. enough to keep us engineers comfortable but no where near 6 million. meanw

no kidding.. where are these investors?? my company raised a small round e years in. enough to keep us engineers comfortable but no where near 6 million. meanwhile my cofounders have years of experience in financial analysis and running a restaurant while I have 10 years of experience as an engineer before stepping in here as cto and first technical hire. We actually do have traction and getting new customers every day off a product that was self funded. I can't understand investing 6 million on a 19 year old with no experience with an ego fueled by insecurity. A startup needs to be run like a phalanx because there isn't room for redundancy and dead weight. And definitely can't afford to stick to a ego fueled "vision." I trust my cofounders to do their job and they in turn trust me. the "vision" should always be about serving the users and thats pretty easy to quantify if you are willing to humble yourself and engage with them. the good news is we will have more favorable terms when we do a series A. The good thing about starting a startup in a recession is that you're more accountable to making your business actually be something people want.

mgkimsal 3y ago
A few years ago, if some angel or 'friend of family' had a few hundred $k sitting around, they were getting 0 return on it. Investing in speculative startup ideas was at least a promise of a return. Now those same startup ideas are going to be competing against 5% no risk return. Some of the ideas like the one referenced above may not see $6m-level funding activity again because of higher rates now.
- drBonkers 3y ago
  > A few years ago… a few hundred $k sitting around… getting 0 return on it. People say this with poorly invested money all the time, but I must be missing something. You could invest it in an index fund, say the S&P 500, and annually yield over 10% on average [1]. [1] https://www.officialdata.org/us/stocks/s-p-500/2016?amount=100&endYear=2023 https://www.officialdata.org/us/stocks/s-p-500/2016?amount=1...
- Archelaos 3y ago
  > ... competing against 5% no risk return Until recently, this was less than inflation. A year ago the inflation rate of the US$ was more than 8%. So the net result when applying an interest rate of 5% was -3%. Less than in most of the period before 2021 when assuming an interest rate of 0%. I doubt that investors are not aware of this, arn't they?
- deleted 3y ago
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canadianfella 3y ago
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mgkimsal 3y ago

A few years ago, if some angel or 'friend of family' had a few hundred $k sitting around, they were getting 0 return on it. Investing in speculative startup ideas was at least a promise of a return. Now those same startup ideas are going to be competing against 5% no risk return. Some of the ideas like the one referenced above may not see $6m-level funding activity again because of higher rates now.

drBonkers 3y ago
> A few years ago… a few hundred $k sitting around… getting 0 return on it. People say this with poorly invested money all the time, but I must be missing something. You could invest it in an index fund, say the S&P 500, and annually yield over 10% on average [1]. [1] https://www.officialdata.org/us/stocks/s-p-500/2016?amount=100&endYear=2023 https://www.officialdata.org/us/stocks/s-p-500/2016?amount=1...
Archelaos 3y ago
> ... competing against 5% no risk return Until recently, this was less than inflation. A year ago the inflation rate of the US$ was more than 8%. So the net result when applying an interest rate of 5% was -3%. Less than in most of the period before 2021 when assuming an interest rate of 0%. I doubt that investors are not aware of this, arn't they?
deleted 3y ago
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canadianfella 3y ago

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