I don't see an absence of new funds as a bad thing. There are 1,200 funds out there today. That's 200 more than at the height of the last bubble. Given that returns are always concentrated in the top funds, it's time for some of these funds to go away.
Don Jones - VentureDeal
· 2 years ago
Venture capital firms were still working through boom cycle excesses in 2003-2004, so they naturally began to raise new funds in 2005-2006. It is the cycle in my estimation, and nothing specific to worry about. If anything, it shows a fairly strong desire on the part of institutions to continue allocating funds to the "Alternative investments" line item in their budgets...
Mike Allen
· 2 years ago
Sarbanes Oxley! IPOs were an important exit vehicle for venture capital investments. The Sarbanex Oxley regulatory bureaucracy has killed off many IPOs from taking place. This must have an impact upstream (ie in the venture capital arena).
Roger Wehbe
· 2 years ago
The Problem with VC is that the owner suddenly finds himself with 8 bosses the second he signs that contract.
I have 8 bosses Bob. Pardon me? 8 Bosses. Eight? Eight Bob! That means that when I screw something up, I have to hear 8 different people tell me about it.
Denny K Miu
· 2 years ago
If we think of VC as resellers and our startups as the marketable product, then the problem is really that there is not many customers (i.e., liguidity opportunities) for companies. On top of that, it does not take much to build a company these days, so it is non-trivial for the VC's to tell a story when they are trying to raise money. The following is one bootstrapping entrepreneur's perspective on what the VC's are and what they are not (at least from the last bubble).
The reality behind this issue has more to do with the growing credit crunch that is currently affected the world's economy. VCs aren't the only one's affected. Investment appetite in alternative (and riskier) investments is dying down.
Michael Rice
· 1 year ago
They NVCA 2008 prediction survey seems to support the assertion that the number of VC's will decline. Seems like there will be fewer VC's putting more money into industries that need more capital (like clean tech).
All Comments
I have 8 bosses Bob. Pardon me? 8 Bosses. Eight? Eight Bob! That means that when I screw something up, I have to hear 8 different people tell me about it.
How to Turn Your VC into Your Worst Enemy?
http://www.lovemytool.com/blog/2007/10/vc-worst...
--Denny--