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VCs don't do first stage funding, almost never. What you're saying is not at all how it works in SV. The early stage investment typically comes from private ang
by solve 11y ago
VCs don't do first stage funding, almost never. What you're saying is not at all how it works in SV. The early stage investment typically comes from private angel investors who previously got rich from startups themselves, and invest their own money.
1st stage investment sources are absolutely needed. It's not optional just because it's not easy to accomplish. Trying to compensate in some other way that ignores early funding is total nonsense. There's no valid substitute. There's no way around it that doesn't hurt entrepreneurs.
- toyg 11y agoYes, and what I'm saying is that other cities will likely lack "investors who previously got rich from startups themselves" with an angel attitude, so there is no point in trying to hunt them down. The beauty of SV is that you can find capital at pretty much any level: from bootstrapping angel to big-time VC to exit deal. Other districts will likely lack some or most of that, at some or most levels, and will have to compensate some other way.