Venture Capitalists - Are They a Necessary Evil?
Any venture capitalist you meet will be pretty high on themselves, and they will tell you they create economic activity.
Of course, most entrepreneurs don't usually have that similar view, rather they see them as a necessary evil.
Are VC a necessary evil? You see, in many regards Venture Capitalists have left a bad taste in the mouths of many economic development associations, but they realize that new ventures must have funding.
The VC credibility as you remember was at an all-time low after the dot-com bubble burst.
The venture funding arena does create jobs, and economic opportunity, but don't kid yourself, the VC are out for themselves, first and foremost, like any business, they want to make money, any way they can, whatever it takes, even if they have to pull favors from here to hell and back.
Why do cities and local politicians want to support VC so much, if they are merely out to enrich themselves? Well, it's simple, you see, when cities and economic development associations get behind business start-ups they want to support the local home-grown teams, and they want those jobs to stay there, organically grown if you will.
Nevertheless, maybe the incubator model is a better way to go? Assisting garage type start-ups with what they need and choosing the best concepts could really help with the innovation needs of each DMA, and smaller regional areas in the US.
America needs to keep up with the innovative pushes in South Korea, Japan, Germany, Australia, China, India, Brazil, etc.
It appears to me that we are losing our edge, and the concept of the US becoming the "knowledge workers" of the world seems somewhat "wishful thinking" because our innovations, inventions, concepts, designs are being stolen as fast as we produce them, and those nations which copy various aspects of our free-market system, are actually doing it better than we are as we bombard it with bureaucracy, barriers to entry, and socialist-style-governance.
Soon they will be teaching us how capitalism works, and why it works.
This is why we need an innovation revival and I'd say that Venture Capitalists are one vehicle, but we need to explore them all and move this ball forward as fast as possible.
Please consider all this.
Of course, most entrepreneurs don't usually have that similar view, rather they see them as a necessary evil.
Are VC a necessary evil? You see, in many regards Venture Capitalists have left a bad taste in the mouths of many economic development associations, but they realize that new ventures must have funding.
The VC credibility as you remember was at an all-time low after the dot-com bubble burst.
The venture funding arena does create jobs, and economic opportunity, but don't kid yourself, the VC are out for themselves, first and foremost, like any business, they want to make money, any way they can, whatever it takes, even if they have to pull favors from here to hell and back.
Why do cities and local politicians want to support VC so much, if they are merely out to enrich themselves? Well, it's simple, you see, when cities and economic development associations get behind business start-ups they want to support the local home-grown teams, and they want those jobs to stay there, organically grown if you will.
Nevertheless, maybe the incubator model is a better way to go? Assisting garage type start-ups with what they need and choosing the best concepts could really help with the innovation needs of each DMA, and smaller regional areas in the US.
America needs to keep up with the innovative pushes in South Korea, Japan, Germany, Australia, China, India, Brazil, etc.
It appears to me that we are losing our edge, and the concept of the US becoming the "knowledge workers" of the world seems somewhat "wishful thinking" because our innovations, inventions, concepts, designs are being stolen as fast as we produce them, and those nations which copy various aspects of our free-market system, are actually doing it better than we are as we bombard it with bureaucracy, barriers to entry, and socialist-style-governance.
Soon they will be teaching us how capitalism works, and why it works.
This is why we need an innovation revival and I'd say that Venture Capitalists are one vehicle, but we need to explore them all and move this ball forward as fast as possible.
Please consider all this.
