perspectives on funding and venture capital (VC)
how VC is evolving, and musings on funding alternatives for founders
by sari and · updated 4mo ago
perspectives on funding and venture capital (VC)
The deadline for YC S24 is tomorrow. Here's why you SHOULD NOT APPLY TO YC: YC seems like a reasonable proposition. They give you some money to help start your business, and they promise you access to a community of people that can help you along the way. In exchange, they don't ask for much. The standard YC deal is $500K for 7% equity. That doesn... See morealex added 6mo ago
alex added 7mo ago
Why @obsdmd is 100% user-supported and not backed by VC investors: 1. We want to stay small, we don't need to hire lots of people 2. We follow strict principles that we do not want compromise 3. Our users are happy to support us, we don't need VC money Obsidian will not exist… Show moreandrea added 8mo ago
- 🧱Alternative funding model (inspired by cooperative breweries) Get 1,000 people to chip in $1,000. Make them members/ co-owners. Put each person's name on a brick behind the bar. Let them brag to their friends that they co-own the bar Apply this to other businesses
andrea added 9mo ago
- One thing that seems to have been forgotten over the past few years: venture capital isn’t a fit for every company. It’s not a fit for *most* companies. Venture is structurally built for the moonshots. The asset class is predicated on the power law, on high loss ratios, on what… Show more
andrea added 1y ago
there’s nothing wrong with this except that most founders don’t want to build moonshots - they want to build good businesses that allow them to make a good living and are meaningful for the people they serve.
🍋 Make Lemonade Podcast 🍋 Turning down a Series A term sheet at a $50m valuation 🤯 Our CEO @jrfarr explains why we chose to turn down a $50m valuation series A and bootstrap the company instead. Full video link below ↓andrea added 1y ago
seems like a tidal shift in founders relationship to VC happening
- The vast majority of founders want to raise something like a small seed round to get going and then never need capital again. What if we just listened to them?
andrea added 1y ago
this is true. big opportunity for people in VC to shift to building for this kind of customer. Go bug or go home is not what founders want.
- There’s a lot of mis-information being shared about VC performance and how it translates into LP returns. There’s also a lack of understanding about how the VC ecosystem broke the LP ecosystem over the past few years and why this matters A LOT. Here’s what’s going on:🧵👇
Sarah Drinkwater added 1y ago
AI is so hot right now. We’ve had 100+ investors reach out. We don't have time to meet with everyone so instead we're sharing our investor presentation with the world: http://rewind.ai/invest... See moresari added 2y ago
this is an incredibly crafted pitch.
