Something #startups and #VCs hopefully already noticed - but it's now almost official as many smart VCs argue the same;
What changed about VC game?
- increased competition
- greater access to information about business formation
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- shift out of high-barrier-to-entry markets like chip manufacturing
- shift into lower-barrier markets like software
- internationalization of talent
All these make it more difficult for VCs to sustain their past level of performance.
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(and let's not forget most VCs are money losers when adjusted for risk)
So what new approach to investing can save VCs and help startups?
Simple - MORE DIVERSIFIED ONE!
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Less reliance on a small number of big hits in a small geographic area (unless you're in NYC or SilVal) while more relying on global #communities and providing global access to capital for those who best fit your #investment #thesis!
π of story
Petr Palan π±
@NewFounderCoach
Building & operating companies in tech for 20+yrs, now helping founders turn SW&HW ideas into π businessesπ°// built 12, exited 4 and worked with 100+companies
