5 ms·
even though pg says "there’s no reason for companies to turn it down" There would be an advantage to being the only company not to accept the funds. i imagine
by samwise 16y ago
even though pg says "there’s no reason for companies to turn it down"
There would be an advantage to being the only company not to accept the funds. i imagine the press and standing out in the herd might be well worth passing on the 150k.
Plus i think others angles and VCs will through money at you knowing you turned down the easy money.
- il 16y agoOr it might backfire and just show that you don't have enough business sense to take the money.
- pmjordan 16y agoThat doesn't seem a terribly good reason to turn it down. A valid reason might be that the company is already profitable or has "enough" runway from a friends & family or non-YC seed round. In this case the convertible note's due date (or interest, if there is none?) might somehow be a problem, as it forces the company to sell more equity to get a conversion valuation. It goes beyond my knowledge of these things, however.
- paul 16y agoIf you're looking to stand out, you could also stab yourself in the eye with a fork.
- brudgers 16y agoBeing better is a better way to stand out.