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nearly every VC and accelerator in the world is going to ask you, "what's your exit plan?" and look at you like a Martian if you say you're in it for the long h
by inhumantsar 2y ago
nearly every VC and accelerator in the world is going to ask you, "what's your exit plan?" and look at you like a Martian if you say you're in it for the long haul rather than exit as soon as an exit is viable.
imho that sort of "aim for the exit" thinking strongly incentivizes pump-and-dump behaviour and I think the bandwagoning we see with every hot new tech is exactly what one would expect as a result.
- BobbyJo 2y agoWell... they are investing to make money, not to hold shares in a company forever. If they wanted to do the later they'd buy index funds and sit on them. Most (I'd bet nearly all) capital sources for VCs do both actually. Also: 1) IPO is one of those exit strategies. Tons of startups are aiming to become long lived independent companies. 2) M&A makes sense for lots of businesses, as you get to take advantage of better economies of scale as part of a larger org. Saying it's your exit plan doesn't make you a scammer.