It's not really accurate to say that the VC game makes $0.50 on the dollar. If that was true, they wouldn't be in business. They make money by hitting grand slams--throwing out a BS number here--every 30 times at-bat. That's all they need. What's unfortunate about the VC model is that 29 out of those 30 at-bats is made on the backs of people who genuinely believe that they have a strong chance of being that grand slam. It's those startup founders who end up with the grey hair and circles under their eyes. As long as their are optimistic dreamers, there will be VC patrons.
Except it's not 1/30, it's more like 1/300 which still sounds generous to me.
As for founders with grey hair, I admire their passion, but I didn't get to where I am now by lighting both ends of my life candle on fire for a 1/300 chance of being better off. Fuck that noise. I'd rather have a life and be poor.
