In a well argued article in The New Yorker Nathan Heller questions the very core of VC claims. With reference to the book“VC: An American History” by Harvard Business School professor Tom Nicolas (I wrote about this and Fred Wilson’s article on this – post #196 – Whales. Not Unicorns) where the narrative starts with Whaling and its funding in the early 19th century.
Girish Mathrubootham is the Poster Child of VC funded Indian SaaS industry. He raised $400m from marque investors like Sequoia, Accel, Google and Tiger Global. SaaSBooMi, the Asian Saas meet for founders is, well, booming. This year it is slated for 24 & 25 Jan and yours truly will be there (thanks to Suresh Sambandam, CEO Kissflow).
A good place to start reflecting on the state of startups is to analyze the state of VC investments in 2019. As expected possibly the most succinct and comprehensive overview is available in this post by Tomasz Tunguz. The investment in quantum and the number of rounds have declined in Q4 – although it is possible that all deals have not been announced yet.
Last week Jason M. Lemkin pointed to Marc Benioff’s TechCrunch Disrupt interview where he told his starting up story – how he went up and down Sandhill Road and no one was interested in his vision of cloud and how no one without exception offered him any money. Its his friends in US and Japan who stood by him and help him build Sales Force which is now 100Bn in market cap.
I sat through a session organised by TiE,Bangalore of Francisco Santolo the founder of Scalabl – Argentina based Academy of Entrepreneurship and innovation, during his recent trip to the city. He had some radical views and an endearing personality making him instantly likeable. His core message was – the current VC funded startup ecosystem is broken. And in this article in Medium he explains why. It is useful to look at alternate thought processes from time to time to ensure you are doing what is right for your dream and not what is expected in the current discourse of building a startup. If you follow my posts you will know I do agree with a lot of this line of thinking and have followed and written about Rand Fishkin and others who have contrarian views to the current discourse.