Too much money is killing startups? | #DailyBlink12
Quoting from an article on Inc42 Media
“ Addressing an audience at the University of Tokyo, leading investor Masayoshi Son and Jack Ma, founder of his first major investment opened up about their thoughts on money and taking high-risk bets. While Ma said that “too much money” inevitably leads to a “lot of mistakes”, Masayoshi Son, known for his huge ticket size investments, said that he would “continue to invest more and more”.
Ma said, “You don’t make mistakes when you don’t have money. When you have too much money, you will make a lot of mistakes.” This can be seen in the light of recent crisis SoftBank faced with its huge investment in coworking company, WeWork and its eventual fall.”
Easy Investment is like drugs. It kills your thinking process. Here’s one of my favorite from Bhavin Turakhia:
Here’s something entrepreneurs around the world are saying about fundraising:
— Sometimes, money just hides the real problems. If you don’t know what those issues are, you’re going to be throwing good money after bad. Money should be the last thing entrepreneurs worry about, says Caroline Ceniza-Levine, co-founder of SixFigureStart, a New York City-based business-coaching firm.
— Bulking up too quickly, however, can steal time from actually building your business, says Rohit Arora, CEO of Biz2Credit
— Once you take money from angels and VCs, you may find your obligations overwhelming. “It’s much easier to fail, learn, and adjust when you don’t have investors.You can move faster, and there are fewer people to explain things to, says venture capitalist Guy Turner of Hyde Park Venture Partners in Chicago.
Learn Bootstrapping. Thrive on creative juice meanwhile allowing yourself to learn every inch of your business. If you are first time founder and trying to build a startup, you will have to tweak a lot with your ideas and since you are creating a new market which is undoubtedly a very tough job, you need to very patient with your actions. Things won't reply back overnight. You cannot defy the laws of nature. There are certain principles associated with creation of something. Learn, observe and follow those principles.
Often time it’s very tough handling the micro and macros in between but you will learn a lot from a whole new perspective of living your life. You will certainly start looking for reason behind every happening around you and the best part is connecting the dots looking back what you have experienced which might a lot of founders with funding won’t get to realize. The skin in the game is real when you are fund constraint and every ounce of your products brings you clarity and dimension each new day even if it becomes very tough at times. You will understand the granularity and each day seems like an abundance of learning opportunities, it’s euphoric.
Entrepreneurship is taking mankind forward. With your ideas and passion for your craft, you bring new things into life around you for your people that a lot might have never imagined off. If you can pull this off, this is no less than a religion, a religion of shaping out new possibilities with your own hands — you heartcraft it. Imagine the possibilities you can give birth to. Entrepreneurship is beautiful, it’s a marathon of life. You might discover the new you even if you fail or succeed because I believe building a startup is a journey to self-discovery.
Start from the basics: food, shelter & WORK. Atleast, that’s what is working for me till now.
Thanks for reading. I hope you found this helpful. Say Hi 👋 Twitter Instagram. I’d love to connect.
Your Friend,
Riten
