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Why I Turned Down $5 Million in VC Funding

groovehq.com

11–20 of 120 posts

Re: Why I Turned Down $5 Million in VC Funding

#12
post #2

I really like reading groovehq's blog. The writings are very specific with lot of actual details. This one is no exception and great piece of writing. The actual customer email screenshots are a gem. Just one suggestion: To get rid of the pop up that comes up first time when you visit the page, you have to click the cutesy "No Thanks I don't want to grow my business". This even though is trying to be different does n…

Good catch :) Fixed...

np. So are you thinking about re-wording the "No thanks I don't want to grow my business" thing OR you believe strongly in it :)

Re: Why I Turned Down $5 Million in VC Funding

#16

Earlier quoted context omitted.

Sorry about that, should have only popped up if you left the page :( Gonna have to talk to bounceexchnage.com about this... Thanks for the heads up.

FWIW I opened it in a background tab. Still completely unacceptable. (EDIT: as in, your site is giving a value proposition and I don't accept it if it includes a massive popup)

Well that's entitled. It's his site, he can do what he wants. Even if that does mean that I'll put it through Instapaper to avoid that stuff and not sign up to his mailing list.

Re: Why I Turned Down $5 Million in VC Funding

#19
Probably off-topic, but something I've never understood reading these things:

How does this funding actually work? From what little I know (the stock market) you'd sell an equity stake in your company for a certain amount and you have money in your personal bank account.

But it sounds to me like all these funds somehow go back into the company?? how?? what am I missing?

Re: Why I Turned Down $5 Million in VC Funding

#20
post #19

Probably off-topic, but something I've never understood reading these things: How does this funding actually work? From what little I know (the stock market) you'd sell an equity stake in your company for a certain amount and you have money in your personal bank account. But it sounds to me like all these funds somehow go back into the company?? how?? what am I missing?

The company issues new shares and the funds go into the company bank account. You own the same number of shares as before, but a lesser percentage.
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