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As someone who is thinking about shopping his company around: YES YES YES There is no transparency in this market, and advice is especially lacking for those t
by lquist 13y ago
As someone who is thinking about shopping his company around: YES YES YES
There is no transparency in this market, and advice is especially lacking for those that have no VCs.
- ivankirigin 13y agoVCs are actually really important players here. They are so well connected and have worked on so many transactions, that they really help. I wonder how they would fit into an open marketplace. Another side is that talking to a VC about selling is a serious conversation. It can affect things like likelihood of follow on funding, so opening one door can close another.
- rhizome 13y agoThey are so well connected That VCs are thought of as a group of people who are well-connected, presumably to other well-connected people, does it make logical sense to think of them as a cartel?
- ivankirigin 13y agono
- qq66 13y agoNo, because VCs don't team up with each other to try to restrict competition. That's the definition of a cartel. In fact, they regularly compete with each other by offering better deal terms (valuation, liquidation preference), or by bringing more to the table (counsel, networks, services).