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That's a great argument for proving that startup founders are a braver group of people than VCs. It's a terrible argument, however, for convincing a VC to fund
by zachalexander 14y ago
That's a great argument for proving that startup founders are a braver group of people than VCs.
It's a terrible argument, however, for convincing a VC to fund you.
- waterlesscloud 14y agoWhen did founding a startup become about proving how brave you are? That seems like a very poor standard of evaluation. All else being equal, it seems to me that a founder with a smart approach to managing risk is a better bet than one who is reckless about it.
- zachalexander 14y ago> When did founding a startup become about proving how brave you are? It's not. What I was trying to say (perhaps unclearly) is it seems like you're arguing a moral point, that since VCs can diversify to reduce their risk, it's only fair that founders get to do the same. And that's true. If you're founding a startup, and want to pool equity with other startups, nobody is going to prevent you. But VCs might be less inclined to fund you too. So it's a question of what matters more to you -- taking more risk and perhaps getting more funding, or having less of both.