Should You Raise Venture Capital | Ep. #693

Nomzy Stholly

6 min

Investing & Markets

Description

In episode #693, Eric and Neil discuss the pros and cons of raising venture capital. Tune in to hear why the juice may not be worth the squeeze. TIME-STAMPED SHOW NOTES: <ul> <li>[00:27] Today’s Topic: Should You Raise Venture Capital</li> <li>[00:40] Neil still raises venture capital.</li> <li>[00:50] If your idea is huge and you’re trying to swing for the fences, it is hard to do without raising venture capital.</li> <li>[01:18] It depends on what you’re trying to do with your business.</li> <li>[01:40] Rand Fishkin got so diluted while running <a href= "https://moz.com/">Moz</a>, that it ended up hurting him in the long run.</li> <li>[01:55] He could have sold the business for a profit, but did not take advantage of this opportunity.</li> <li>[02:20] His VC’s dissuaded him from taking what would have been a great deal.</li> <li>[02:35] VC’s can often steer you away from a clear vision, because they have their own desires.</li> <li>[03:25] Instead of trying to take money to make life easier up front. Think about the long term consequences.</li> <li>[03:50] You could end up in a fundraising cycle.</li> <li>[04:15] Build an audience first, so you have some leverage when you go to VC’s.</li> <li>[04:35] Neil met with some private equity guys in New York.</li> <li>[04:52] Neil didn’t want to do monthly or quarterly meetings, nor did he want to be beholden to investors.</

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Episodes

Should You Raise Venture Capital | Ep. #693

Nomzy Stholly

6:41