The pre-seed round I regret
I invested in a round that was too big. Here is what it did to a good company.
In short. Too much money early sets a price the company has to beat. The second round got harder, not easier.
In 2019 I joined a round of €3 million for a company with no revenue. I was flattered to be invited. That was the problem.
The valuation set a bar the next round had to clear. Eighteen months later the company was better and the round was harder. They raised flat, and two people left.
E. Brandt
Weiter.
Go deeper · The numbers
Teardown: a real deck, slide by slide
Twelve slides, my notes on each, shared with the founder’s permission.
Become a member · $5 a monthKeep reading · The words
What a SAFE actually promises
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