News for hackers. Stuff that matters.

A comment on Starting a Company Outside Silicon Valley Just Saved Me $1.1M.

Re:Starting a Company Outside Silicon Valley Just Saved Me $... by jawnv6 on Wednesday January 23, 2019 @12:33PM (#18980376)
50% of VC funding lands in CA. 50% of that is on Sand Hill. So ~25% of all VC funding happens in offices in Palo Alto, the sheer efficiency of chasing a funding round can't be beat.

For an established serial entrepreneur with a proven track record, it can absolutely make sense to stay in an area you know. But I think that math really changes if you're going to be cold calling VC's, trying to wrangle meetings from 3 time zones away, get meetings bunched up to consolidate travel, etc. The overhead of redeye travel is relegated to a joke at the end, where's the "measurement" on that?

[ Parent | on HN ]
Re:Starting a Company Outside Silicon Valley Just Saved Me $... by JohnFen on Wednesday January 23, 2019 @01:11PM (#18980808)
But that only matters if you're chasing VC money. That's the norm in silicon valley, but (depending on your goals) it's not necessary in order to start a profitable business.

I've started and sold a handful of successful tech companies, but have never taken a dollar of VC money.

[ Parent | on HN ]
Re:Starting a Company Outside Silicon Valley Just Saved Me $... by jawnv6 on Wednesday January 23, 2019 @06:02PM (#18984107)
Right, the article is chasing VC money. They have a calculator to see how far a VC dollar will take you called "VC Arbitrage". The author takes flights to SF specifically for VC meetings.

You're talking about a situation wholly removed from the article, why?

[ Parent | on HN ]
Re:Starting a Company Outside Silicon Valley Just Saved Me $... by JohnFen on Wednesday January 23, 2019 @07:46PM (#18984920)
Because I was engaging in a broader discussion. I'm sorry for offending you.
[ Parent | on HN ]
Re:Starting a Company Outside Silicon Valley Just Saved Me $... by bluGill on Wednesday January 23, 2019 @01:16PM (#18980875)
You only need the VC who funds you though. Chasing after one elsewhere might be better odds because everyone else is looking to CA.
[ Parent | on HN ]
Re:Starting a Company Outside Silicon Valley Just Saved Me $... by jawnv6 on Wednesday January 23, 2019 @06:05PM (#18984125)
"the" VC? lol
[ Parent | on HN ]