Ask HN: Did anyone's life ever gotten more comfortable after accepting funding?
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Re: Ask HN: Did anyone's life ever gotten more comfortable after accepting funding?
#2Bringing in an investor that would be willing to replace you with a new management team is a Bad Idea(tm). It's also a bad idea to try to mislead your investors and replace yourselves.
Outside money can be great if you want to build a really big business and need the capital to win the market. But there are tons of businesses that are better off using revenue as funding.
One of the drawbacks of the tech media is how few people talk publicly about the businesses where the founders would have been much better off if they'd only avoided funding.
Re: Ask HN: Did anyone's life ever gotten more comfortable after accepting funding?
#3You want a life-style business. And that is absolutely fine. Investors want you to be very busy, scale the business and build a large company. Is the only way they can make their money back.
(I work for a venture fund in Dubai)
Re: Ask HN: Did anyone's life ever gotten more comfortable after accepting funding?
#4Re: Ask HN: Did anyone's life ever gotten more comfortable after accepting funding?
#5I've never heard of anyone successfully using investor money to hire people which replace them. Even so, hiring people is incredibly time consuming, and you will have to manage them.
If you're profitable and your goal is to reach financial independence, in this market I would not raise. If your goal is to make as much money as possible and lose all sense of work life balance, then raising money may be for you.
Re: Ask HN: Did anyone's life ever gotten more comfortable after accepting funding?
#6If your definition means being able to afford some level of living expenses, you're in a different boat.
Re: Ask HN: Did anyone's life ever gotten more comfortable after accepting funding?
#7Re: Ask HN: Did anyone's life ever gotten more comfortable after accepting funding?
#8Investors have an insatiable appetite for more money and they tend to push founders to work more even if they are exceeding expectations...
Re: Ask HN: Did anyone's life ever gotten more comfortable after accepting funding?
#9If you're already happy at your current level just grow it organically and don't look back.
Remember: happiness is the ability to be content with what you already have, not with what you could do.
I wrote about this years ago, shameless blog post plug:
http://jacquesmattheij.com/three-roads-to-the-top-of-the-mou...
Best of luck, whichever path you decide to take.
Re: Ask HN: Did anyone's life ever gotten more comfortable after accepting funding?
#10I think you've answered your own question. Taking outside money will make life busier, increase pressure, and create investor expectations that may be different from your own. Bringing in an investor that would be willing to replace you with a new management team is a Bad Idea(tm). It's also a bad idea to try to mislead your investors and replace yourselves. Outside money can be great if you want to build a really bi…
Any specific examples?