This is only tangentially related to "Why Silicon Valley Works", but am I the only person who is frustrated by "famous" VC's saying that "founders should stop worrying about their valuation"?
I can't get over this. This is like a used car salesman telling you not to worry about the cost of the car, just to remember that there are free weather mats included!
I feel that there is a connection here as to "why Silicon Valley" works from the perspective of VC's in a position to influence founders. However I'm not feeling particularly eloquent today and haven't fully formed these ideas.
I thought about the valuation problem for a little bit when my company finished raising its Series B, and I came to the conclusion of not worrying about the valuation independent of hearing the quotes, as an engineer. Here's the important point - the valuation means little until an exit. Any valuation beforehand is only a step in that direction. All work needs to be done to maximize the value of the company in preparation for that day - anything along the way is a distraction from that end goal.
Granted, it is a necessary distraction for many of these companies, since they require VC funding in order to expand operations.
I can't get over this. This is like a used car salesman telling you not to worry about the cost of the car, just to remember that there are free weather mats included!
I feel that there is a connection here as to "why Silicon Valley" works from the perspective of VC's in a position to influence founders. However I'm not feeling particularly eloquent today and haven't fully formed these ideas.