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Comment by shafqat | Hacker News Reader

I find it ridiculous that a significant percentage of the population here equate raising VC money with selling your soul. I know you cite the SvN post, but that is one opinion. Raising VC is good for some businesses, bad for others. So is your hiring plan. So is your product choices. And a hundred other things.

We struggled for a long time, and our business came perilously close to the end a few times. But you know what got us out? Funding. VCs. Amazing investors that were thoughtful, supportive and value accretive. The marketing that we could invest in with our funding. We're doing millions of revenue now, and it is all because we were able to light the rocketship with our VC fuel. And did I say our VCs became great friends and mentors, even through the tough times?

It's not for everyone, and my experience may be an outlier. But let's stop with the snarky ant-VC comments.

I agree with the rest of your points and good luck with the pivot!

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>"I find it ridiculous that a significant percentage of the population here equate raising VC money with selling your soul."

Really? I find the opposite. Every "we're hiring" thread brags about the company being "VC funded" and people seem to fall all over themselves figuring out the best pitching strategies or slide deck appearances.

I always find it odd, because being VC funded isn't good or bad in and of itself. There we agree.

> Raising VC is good for some businesses

As said before: The fact that people "celebrate" a funding event is really bass-ackwards when you think about it.

It says that the company couldn't figure out how to grow without bringing in a bunch of financiers, who have a low hit rate (3 go north, 3 go south, 4 turn into the living dead), who provided negative 10 yr returns even with Google in the portfolio, and who take 2-3% + 20% of exit from their own investors.

Definitely an excuse to drink, but not for reasons of celebration.

> And did I say our VCs became great friends and mentors, even through the tough times?

If you consider them among your friends, you have not hit the tough times.

They are your business partners. And when it comes time to sacrifice you in order to make some money you will be sacrificed.

thank you for sharing - certainly, one takes VC money because he thinks he's better with it (and the implications of having heavier profit incentives) than without it.

> ... equate raising VC money with selling your soul... one opinion... Raising VC is good for some businesses, bad for others

one interesting datapoint is that most* YC startups accept the Yuri Milner offer (auto 150k angel round). not that all startups are like YC startups, and that all businesses should take money, and that taking money/aiming for the stars is what defines a startup, but I do feel a bit of a stigma of "if you aren't a startup you and your company suck". As I get better acquainted with Dunning-Kruger I wonder if all those YC founders are mortals after all, just like you and me. or maybe i'm on the wrong end of it again ;)

*no source, read it 6 months ago

edit: this doesn't even make any sense, sorry haha

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