Maybe I have been extremely lucky my whole life, but I have never thought of a startup as being risky. Financial risk is all about investing your personal human capital and looking for the highest expected value. When I approached the end of college, I looked at what I was given (mediocre programming skills, some street smarts, a knack for bs) and I realized that my expected financial return was much higher in a star…
Could you clarify how you arrived at the numbers for the five year expected return?
Just come up with expected exits if you were to start a startup then come up with percentages as to which you think those exits are reasonable.
The numbers I came up with were largely based on my personal feeling of how good I am at this whole being a business-man business, this is different for everyone.