Startup Founders Are Turning Away More Money From VC Firms
Startup founders are taking less money at lower valuations from big VC firms. The reason: They all want the "halo effect" of long-term partnerships.
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Startup founders are taking less money at lower valuations from big VC firms. The reason: They all want the "halo effect" of long-term partnerships.
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Ashley Welch and her cofounder were finally in the room for the big break they'd been working towards: a chance to pitch their tech startup to a prominent venture-capital investor. Though she was confident in her vision for the company, Welch was frustrated by her business partner's habit of talking over her. Suddenly, the investor they were pitching, Jason Calacanis, stopped the conversation. "Who's the CEO?" he wanted to know. "I am," Welch's partner responded without skipping a beat. "No, you're not," Calacanis shot back. "She's the CEO." Just like that, Welch was the CEO, and her...