3 ms·

the second someone tells me that there has been an incredible shift of power and they are no longer in control, my bullshit meter shoots up off the charts. espe

• adventured 11y ago
  It's certainly true in most respects that founders have acquired increased leverage. Mostly due to 1) a million dollars isn't what it was in 1995 2) since 2000 the Fed has been almost constantly pumping liquidity into the US economy, this has made capital far more readily available 3) it has become very cheap to develop and launch products; the cost to manage a million users has plunged over the last ten years 4) knowledge is far more widespread about the industry, practices, etc. among entrepreneurs 5) funding options, systems, networks, have become far more widespread Today there are dozens of angel networks that are easy to access for tech startups, in basically every major city in the US. In 1995 that simply wasn't the case. The further along you can develop your business, the greater leverage you have with venture capitalists. Today you need them more to accelerate growth than anything else. The negative example, that I've been seeing a lot of lately, are very aggressive liquity preferences by VCs. Perhaps I'm just noticing it more, rather than the terms getting worse.