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Are you VC-funded? No, we're profitable

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Re: Are you VC-funded? No, we're profitable

#41

"Now the same question seems to be coming from a position of customers trying to determine how much of a risk they're willing tolerate when doing business with VC-funded companies." To be fair, this was one customer's question, not necessarily a trend. The merits of taking VC are debatable. But I don't think we're at a point where potential customers broadly are skeptical of a funded startup. If nothing else, it mean…

As a nuance: the VC thinks you can deliver to them. It's not necessarily the same thing as delivering to your clients.

Re: Are you VC-funded? No, we're profitable

#42
post #18

Earlier quoted context omitted.

Why does it always have to be about maximizing exits at all costs? There's people that simply enjoy their company and working in it, they only luck to sell when they are old and there are no great heirs to the business. And that's true for billion dollar companies too.

Bootstrap = chance of failure, more work because you can't hire a team to do significant amount of work for you VC-funded = Full Salary early, network for future jobs if company fails, shortcuts like joining an incubator and selling to your cohort for early sales figures (which can then be used to get more money)

VC-funded: you give up equity and control

Re: Are you VC-funded? No, we're profitable

#43

It's a bit of a non sequitur: having a profitable business is ideal but if a startup can grow fast with VC money it can be acquired for 40x (Wiz) - 1000x (WhatsApp) revenue even if not profitable

Maybe I'm just saying what VC wants me to say, but if it's the sort of business a VC would invest in, you need to worry about a competitor blitzscaling over you.

That’s true but interests of customers are orthogonal to the vc interests
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