Charting Form Ds to roughly see the state of venture capital “fund” raising
1–10 of 81 posts
Re: Charting Form Ds to roughly see the state of venture capital “fund” raising
#2I think everyone knew, even without looking at any data, that startups were in a bubble thanks to Covid, when every "shoeshine boy" was studying to be a webdev at a start-up.
Like how many food delivery apps that are actually profitable can the economy handle?
Re: Charting Form Ds to roughly see the state of venture capital “fund” raising
#3VCs were literally pitching to startups to take their money during the pandemic (there were several articles about that at the time). That nonsense will now come home to roost as companies that took money at those hyper-inflated valuations will now need to face reality.
LPs that let their money get tied up in such nonsense are also about to head into a world of pain. I fear the present AI bubble will only exacerbate the pain as both sets of bad investment decisions come crashing down around the same time.
Re: Charting Form Ds to roughly see the state of venture capital “fund” raising
#4I think everyone knew, even without looking at any data, that startups were in a bubble thanks to Covid, when every "shoeshine boy" was studying to be a webdev at a start-up. Like how many food delivery apps that are actually profitable can the economy handle?
I think the real real giveaway is that like 90% there's a big exit, it's an aquihire and the "product" is quickly dumped.
Re: Charting Form Ds to roughly see the state of venture capital “fund” raising
#5I think everyone knew, even without looking at any data, that startups were in a bubble thanks to Covid, when every "shoeshine boy" was studying to be a webdev at a start-up. Like how many food delivery apps that are actually profitable can the economy handle?
I think the real real giveaway is that like 90% there's a big exit, it's an aquihire and the "product" is quickly dumped.
Yep. Many / most aquihires are pretty ugly financially. While the headline sounds impressive (“X startup acquired for $250M”) the reality is that with preferred cap tables and terms most folks see nothing and investors are merely trying to recoup some losses or make a modest (less than S&P500 index fund return) return on investment. It’s basically a fire sale to salvage what’s left from the wreckage.
Founders might get a little something and most shareholder employees get nothing.
Re: Charting Form Ds to roughly see the state of venture capital “fund” raising
#6VCs were literally pitching to startups to take their money during the pandemic (there were several articles about that at the time). That nonsense will now come home to roost as companies that took money at those hyper-inflated valuations will now need to face reality. LPs that let their money get tied up in such nonsense are also about to head into a world of pain. I fear the present AI bubble will only exacerbate…
>VCs were literally pitching to startups to take their money
LMAO, true. A "friend" from that space was making money introducing VCs to "entrepreneurs", lol. He was fully booked!
Re: Charting Form Ds to roughly see the state of venture capital “fund” raising
#7Good, many bad companies will release good developers to work on more productive things. It's healthy for everyone.
Re: Charting Form Ds to roughly see the state of venture capital “fund” raising
#8VCs were literally pitching to startups to take their money during the pandemic (there were several articles about that at the time). That nonsense will now come home to roost as companies that took money at those hyper-inflated valuations will now need to face reality. LPs that let their money get tied up in such nonsense are also about to head into a world of pain. I fear the present AI bubble will only exacerbate…
[dead]
Re: Charting Form Ds to roughly see the state of venture capital “fund” raising
#9VCs were literally pitching to startups to take their money during the pandemic (there were several articles about that at the time). That nonsense will now come home to roost as companies that took money at those hyper-inflated valuations will now need to face reality. LPs that let their money get tied up in such nonsense are also about to head into a world of pain. I fear the present AI bubble will only exacerbate…
Geeze, I had a product with real users and a path to monetisation and I got ignored… is it because I was in Europe?
Re: Charting Form Ds to roughly see the state of venture capital “fund” raising
#10VCs were literally pitching to startups to take their money during the pandemic (there were several articles about that at the time). That nonsense will now come home to roost as companies that took money at those hyper-inflated valuations will now need to face reality. LPs that let their money get tied up in such nonsense are also about to head into a world of pain. I fear the present AI bubble will only exacerbate…
Geeze, I had a product with real users and a path to monetisation and I got ignored… is it because I was in Europe?
Yes