Chapter
The Problem with Blindly Investing in Startups
15:05 - 22:49 (07:43)
Blindly investing in startups without proper due diligence can lead to unforeseen problems down the line when the rosy picture painted by founders doesn't quite match up with reality.
Clips
The trial of Elizabeth Holmes and the fall of Theranos brings up questions about the potential behavior shift of entrepreneurs and investors in the startup industry.
15:05 - 18:18 (03:12)
Summary
The trial of Elizabeth Holmes and the fall of Theranos brings up questions about the potential behavior shift of entrepreneurs and investors in the startup industry. The fear of not meeting forecasts and stretching the truth to acquire capital may become an incentive for some founders.
ChapterThe Problem with Blindly Investing in Startups
EpisodeE45: Theranos & VC fraud risks, China bans video games, Texas SB8, Apple app store, CA fires, Rogan
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
The danger of inflated projections in board meetings was discussed, as well as the tendency for people to paint a rosy picture of the future.
18:18 - 21:29 (03:11)
Summary
The danger of inflated projections in board meetings was discussed, as well as the tendency for people to paint a rosy picture of the future.
ChapterThe Problem with Blindly Investing in Startups
EpisodeE45: Theranos & VC fraud risks, China bans video games, Texas SB8, Apple app store, CA fires, Rogan
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
Taking fast money from investors without undergoing proper diligence puts the founder in a risky position, and can lead to trouble when justifying to LPs.
21:30 - 22:49 (01:19)
Summary
Taking fast money from investors without undergoing proper diligence puts the founder in a risky position, and can lead to trouble when justifying to LPs. With the right qualities that investors look for, founders like Mike may create more value in a company and are worth slowing the process down for.