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I forgot who wrote about this publicly, but I remember reading that an investor whose money you've lost in the past is far more likely to fund you in the future
by anon20141109 12y ago
I forgot who wrote about this publicly, but I remember reading that an investor whose money you've lost in the past is far more likely to fund you in the future than one you've never met. I thought that was kind of funny, and having succeeded once and failed twice, I can now say that it's true.
Also, as an entrepreneur when doing diligence on whether to accept an investment, I always lookup some of their failed investments and contact the founder. I want to know how the investor behaved when things were going poorly. It's a much better indicator of whether you want to work with them then the padded references they give you (especially when it's to companies that badly want the investor to follow-on in their next round).
Posted anonymously as losing someone's money is still something I prefer to not be associated with.
- yuhong 12y agoPosted anonymously as losing someone's money is still something I prefer to not be associated with. I try not to post this on every thread, but this kind of thing is horrible. I am talking about the reason OP have to post anonymously.
- general_failure 12y agoHave you lost anybody's money?
- serf 12y agoan investor isn't just anybody, it's someone who has signed on for the risk inherently involved in investment for a chance at larger rewards. There is (should be) less moral obligation since an investor should be more acutely aware of this risk than a regular old person off the street. I would feel terrible losing someone's money who didn't realize it was an option to lose; an investor should not be capable of being that person.