Entrepreneurs turn tables on venture capitalists at TheFunded
Date: Monday, February 18, 2008 @ 22:01:15 GMT
An entrepreneur has turned the tables on venture capitalists by
creating TheFunded, an online community where heads of start-ups expose
devils and saviors in the world of moneyed investors.
Adeo Ressi founded the unprecedented online
forum in March of last year to show entrepreneurs how to swim among
financial sharks and not be devoured.
He is so wary of powerful venture capitalists that he remained anonymous until last month.
"The entrepreneur basically walks into a wolf's den as a lamb," Ressi told AFP. "We are going to change that."
TheFunded lets start-up chief executives rate venture capitalists and share stories of dealings with them.
The website reveals complaints of venture capitalists being arrogant, duplicitous, and even possibly stealing ideas.
One venture capital firm is described as "smart, but dangerous ...
Don't get sideways with these guys or the tires of the bus they throw
you under will hurt."
There are stories of investors changing terms in final moments or ousting founders in order to sell firms for fast profits.
"I think TheFunded is a good source of anecdotal data that helps
inexperienced entrepreneurs learn a little bit about how the Silicon
Valley works," Morgenthaler Ventures general partner Drew Lanza told
Full story: http://www.physorg.com/news122447664.html