Airbnb, My $1B Lesson • Hacker News Board

Re: Airbnb, My $1B Lesson

#11

Post by bbcbasic » Thu, Jul 23, 2015, 3:38 AM UTC

sokoloff wrote: post #2

Does it strike anyone else as unseemly to share the pitch deck? I get that it's 7 years ago, but still seems like something a little out of bounds to me.

I upvoted you because it is useful to get answers to this, and thought the downvotes are a bit harsh.

Re: Airbnb, My $1B Lesson

#12

Post by [deleted] » Thu, Jul 23, 2015, 3:39 AM UTC

pjy04 wrote: post #7

What bugs me is that the founders went back on the deal that was agreed upon in person.

[deleted]

Re: Airbnb, My $1B Lesson

#13

Post by taylorhou » Thu, Jul 23, 2015, 3:40 AM UTC

This happens the other way around as well for founders. Cheers to Paige for the insight and thoughtful conversations we've had. He's most likely got a nice investment in a few future unicorns.

Re: Airbnb, My $1B Lesson

#14

Post by mangeletti » Thu, Jul 23, 2015, 3:41 AM UTC

andrewstuart wrote: post #8

pjy04 wrote: post #7

What bugs me is that the founders went back on the deal that was agreed upon in person.

A deal ain't a deal till its signed off. I make deals and negotiate all the time and I've negotiated thousands of times. It's a very good sign when you have a verbal agreement but you're a fool if you think that's a finished deal. It's the quick and the dead - if people are serious about a deal then they need to move quickly, wrap it up and sign it. If you are selling something (yourself, your company, shares in your…

A verbal contract is just as legally binding as a written contract. It's just that most people don't have authorized audio/video recordings of these kinds of interactions.

Re: Airbnb, My $1B Lesson

#15

Post by sjtgraham » Thu, Jul 23, 2015, 3:43 AM UTC

pjy04 wrote: post #7

What bugs me is that the founders went back on the deal that was agreed upon in person.

Docs were finished, a "closing dinner" was had, a handshake was made on the deal, and then AirBnb backed out. If an investor pulled that on a YC company I'm sure they would be blackballed rather quickly.

Re: Airbnb, My $1B Lesson

#16

Post by swimfar » Thu, Jul 23, 2015, 3:44 AM UTC

[deleted] wrote: post #12

pjy04 wrote: post #7

What bugs me is that the founders went back on the deal that was agreed upon in person.

[deleted]

Are those startups still around? Could you list some examples?

(Note: I'm not being facetious. I'm genuinely curious)

Re: Airbnb, My $1B Lesson

#17

Post by HappyTypist » Thu, Jul 23, 2015, 3:47 AM UTC

sjtgraham wrote: post #15

pjy04 wrote: post #7

What bugs me is that the founders went back on the deal that was agreed upon in person.

Docs were finished, a "closing dinner" was had, a handshake was made on the deal, and then AirBnb backed out. If an investor pulled that on a YC company I'm sure they would be blackballed rather quickly.

To be fair, you'll also need to consider if there is a power imbalance with the company and the investor. Co-founder are the "smaller guys" here.

Re: Airbnb, My $1B Lesson

#18

Post by shasta » Thu, Jul 23, 2015, 3:47 AM UTC

mangeletti wrote: post #14

andrewstuart wrote: post #8

Earlier quoted context omitted.

A deal ain't a deal till its signed off. I make deals and negotiate all the time and I've negotiated thousands of times. It's a very good sign when you have a verbal agreement but you're a fool if you think that's a finished deal. It's the quick and the dead - if people are serious about a deal then they need to move quickly, wrap it up and sign it. If you are selling something (yourself, your company, shares in your…

A verbal contract is just as legally binding as a written contract. It's just that most people don't have authorized audio/video recordings of these kinds of interactions.

Not all contracts... https://en.wikipedia.org/wiki/Statute_of_frauds

Re: Airbnb, My $1B Lesson

#19

Post by mangeletti » Thu, Jul 23, 2015, 3:48 AM UTC

The most interesting takeaway for me is the spreadsheet of stats. I find it highly motivating to see how meager their start was. You hear all the time from startups, "We weren't an overnight success. We worked hard for years...", but seeing stats like these in hindsight really sends that message.

Re: Airbnb, My $1B Lesson

#20

Post by andrewstuart » Thu, Jul 23, 2015, 3:49 AM UTC

sjtgraham wrote: post #15

pjy04 wrote: post #7

What bugs me is that the founders went back on the deal that was agreed upon in person.

Docs were finished, a "closing dinner" was had, a handshake was made on the deal, and then AirBnb backed out. If an investor pulled that on a YC company I'm sure they would be blackballed rather quickly.

You could equally say:

"Docs were finished, a "closing dinner" was had, a handshake was made on the deal, and then the investor didn't sign"