Companies have different capital requirements during their life-cycle, but as I mentioned last week, it is an entrepreneur's job to identify the most efficient and attractive source of capital at any given point in the company's life-cycle.
All that said, VCs are going to protect themselves. They understand they are investing in a risky asset class and will limit those risks as much as is possible. They're going to demand liquidation preferences, maybe even 2x, and they're going to take board seats.
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