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Keynes

2020


Startups Are a Beauty Contest

·2 mins
One of the hard truths in startups, especially VC funded startups, is that perception matters more than reality. Many people are able to raise vast amounts of money at high valuations on little more than excitement about the prospect of a viable business some time in the future. Most VCs earn their living from fees, and they earn more in fees when valuations go up, followed by subsequent funding rounds, with larger amounts of capital invested.