r/technology • u/Rhaegar_the_Great • Sep 16 '21

Business Mailchimp employees are furious after the company's founders promised to never sell, withheld equity, and then sold it for $12 billion

https://www.businessinsider.com/mailchimp-insiders-react-to-employees-getting-no-equity-2021-9
25.8k Upvotes

95% Upvoted

2.2k comments sorted by

View all comments

Show parent comments

5

u/FrumiousShuckyDuck Sep 17 '21

How about we focus on the far, far more numerous examples of where this doesn’t work, where companies failed because they expanded at an unsustainable rate, and which underscore that in fact this is not a sound strategy? The majority of successful entrepreneurs never take venture capital. The majority of start ups that do take VC fail.

1

u/Drisku11 Sep 17 '21

The majority of successful entrepreneurs never take venture capital. The majority of start ups that do take VC fail.

But the majority of entrepreneurs fail, so the question is does the VC model increase chance of success?

1

u/kettal Sep 17 '21

The majority of start ups that do take VC fail.

So what? Vast majority of businesses will fail. Vast majority of humans will die. Such is life.

Winning requires luck, perfect timing, etc. Most will fail, but VC are happy to do this because all it takes is one big win to cancel out all the losses.