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karthik2206
karthik2206

Posted on • Originally published at 2.flexiple.com

VC investment is not right for most startups

Let's be honest, more often than not when a startup makes headlines, it is because they raised a VC round.

Sure, it does deserve some celebration. But VC funding is a means to an end, not the end itself, isn't it? Moreover, it is not a make or break for your startup. Rather it is just one of the many growth levers.

In the report, we look at some stats:

  • Only 1% of startups actually get funded
  • On average, startups spend about 6 months to get funding

Also, we breakdown the VC model and realise that its economics requires startups to make a 100x return. So, the question ask yourself - what is your motivation behind starting up?

I share my reports regularly on twitter - you can follow me there :)

If you want to read the full report, you can here.

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