Hacker News Reader

Comment by mwfunk | Hacker News Reader

This assumes that (a) they need the money and/or (b) they could even do something they want to do with the money that they aren't already doing. I could imagine all sorts of cases where neither of these things are true, and everything's going well and according to plan. If everyone's expectations are already being met, what's the point in putting yourself on the hook to someone else for something more, regardless of how much money it is or how low the additional expectations are?

I could see the logic from a VC perspective- VCs aren't going to make any money from companies that don't take funding from them. Companies that don't take funding may as well not exist to them. VC firms themselves are businesses that make money by nurturing other businesses. That just means that all VC firms need startups to nurture, it doesn't mean that all startups must be nurtured by VC firms.

View on HN

> This assumes that (a) they need the money and/or (b) they could even do something they want to do with the money that they aren't already doing.

edit: I realized my response references a different comment I made. Sorry about that, I've modified it.

If there's nothing you could do with the money then I agree it makes no sense to spend time and energy raising. That doesn't seem to be the OPs position though, instead there seems to be a moral reason for not raising money. I'm not arguing that all startups must be nurtured by VCs, just that saying there's no conditions under which you'll accept money from a VC isn't a rational stance.

I'm not sure where you read all of that into OP's comment. I don't read it as there being a moral reason, I read it as them thinking they have better things to do right now than to seek or even entertain finding offers. Taking other people's money is a total pain in the rear, and worth avoiding if you can build the company you want to build without it.

"not entirely sure" doesn't sound like an obstinate position.

Since, in my mind anyway, a lot of companies that take VC money appear to be acquihired or bought out and have their services shuttered: As a customer, seeing them not taking VC money is a plus in my book. VC money adds uncertainty to the long-term viability of the company.

I don't want to go into the details of this specific case. I just want to point that what you call rational is in itself a set of values someone has to suscribe to. It is a moral decision. It just happen to be the most common.

This is a good point. Having been in both positions, a startup that has taken on lots of funding, and going the DIY route, the DIY route has been much more effective.

The business model would need to support it though. The business model taking on lots of cash needed a community to be effective and would have been extremely difficult to achieve without those resources. Being able to self fund and find paying customers early is not always an option.

Reply on news.ycombinator.com