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The fundamental objective and aim of seed investment is to assist a company in launching its operations successfully. It is necessary to cover the early stages of product development, thorough market research, and other processes during the initial step. Seedcapital is a component of the initial investments made in young businesses.
While the seedcapital gap has closed, there are still only a handful of venture capital firms here in NYC investing in the crucial Series A/B rounds. In contrast, many Silicon Valley funds are large with much capital to put to work (which is why we are seeing them lead NYC deals at these stages).
Been there Done that This is very depressing for all future founders, or even currently early stagefounders. A little piece of advice for future founders: find something that turns revenue quick, profitable and cash flow positive quick and forget about fantasy businesses that take a decade to turn profitable like twitter!
The founders were simply wrong about their assumptions about customer needs. It turns out the term “visionary founder” was usually a synonym for someone who was hallucinating. Founders Need to Run the Company Longer. So, almost like clockwork 20 th century startups fired the innovators/founders when they scaled.
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