I have been part of the VC industry for the past 7-8 years and have had my fair share of learning.

A founder should know what they are getting into and also the outcome.

You are one of the many founders your stakeholders are backing to maximize their wealth.

Our ecosystem had too much cash in the last few years, everyone or anyone ended up becoming an angel investor, and fundraising became easy. One could raise an idea and pedigree.

As a founder, you should know that your stakeholders are looking for a great outcome from their investment. It is risk capital for them, and clauses like drag along rights or liquidity preference as a few clauses added for the same.

As a founder, you have a few options.

  1. Build a monopoly and become a market leader
  2. Get acquired with a profitable exit
  3. Go IPO and give bombastic returns
  4. Get busted and let investors sell your company on peanuts
  5. Get yourself and team acqui-hired

In short, knowing the future outcomes: strategize and execute apart from paying yourself well, working hard, and breathing. In short, don’t kill yourself or live in misery. Enjoy every moment and learn from the journey.