Bill Nguyen: The Boy In The Bubble

Re:Bill Nguyen: The Boy In The Bubble by jphackworth on Saturday November 12, 2011 @08:01PM (#3229481)

There's no big secret why Bill Nguyen can raise money. Once you have sold one company for $850 mil, you aren't going to have trouble raising money in the future.

[ Parent | on HN ]

Re:Bill Nguyen: The Boy In The Bubble by tatsuke95 on Saturday November 12, 2011 @08:50PM (#3229559)

Which is one of the problems with the Valley. These incubators operate on the same premise. Take Techstars, where they openly said, "It's about the people, not the idea." We're literally throwing money at people to think of ideas, and it stems from our obsession with "stars". Is it that hard to wait for a tangible product?

There is so much money sloshing around, and people are so scared to miss a deal that they're willing to take all the risk up front. It's crazy, and doesn't work like that in any other industry I can think off..

[ Parent | on HN ]

Re:Bill Nguyen: The Boy In The Bubble by drumdance on Saturday November 12, 2011 @09:08PM (#3229590)

It's a long way from $20-150k to $41 million.

And many other industries work this way. Biotech and oil & gas come to mind. In fact, the tax laws around carried interest were enacted to encourage oil & gas exploration.

[ Parent | on HN ]

Re:Bill Nguyen: The Boy In The Bubble by kiba on Saturday November 12, 2011 @08:57PM (#3229571)

That how YC works, I think.

[ Parent | on HN ]

Re:Bill Nguyen: The Boy In The Bubble by neurotech1 on Saturday November 12, 2011 @10:40PM (#3229800)

I honestly believe YC is different. It's not just about "People" or their ideas, but in their execution.

Throwing money blindly and seeing what sticks doesn't seem to be the YC modus operandi. It is interesting to see the number of YC alumni who join other YC startups, or do a second start-up, with similar teams and a new idea.

I would hope to measure up to the YC standard, and get myself and my ideas accepted, when the timing is right.

[ Parent | on HN ]

Re:Bill Nguyen: The Boy In The Bubble by jodrellblank on Sunday November 13, 2011 @02:31PM (#3231552)

I honestly believe YC is different. It's not just about "People"

http://techcrunch.com/2011/05/24/y-combinators-paul-graham-w...

[ Parent | on HN ]

Re:Bill Nguyen: The Boy In The Bubble by Deutscher on Saturday November 12, 2011 @09:04PM (#3229582)

I don't really know how venture funding works, so pardon my stupid question: Why did he need/want to raise $41m from outside when he sold his company for $850m a few years ago?

[ Parent | on HN ]

Re:Bill Nguyen: The Boy In The Bubble by gallerytungsten on Saturday November 12, 2011 @09:12PM (#3229595)

A) He probably didn't own very much of it at that point.

B) Using other people's money is always a lesser risk.

C) Raising big money = big PR ("social proof").

[ Parent | on HN ]

Re:Bill Nguyen: The Boy In The Bubble by larrys on Sunday November 13, 2011 @12:42AM (#3230091)

"Raising big money = big PR ("social proof")."

And of course the mafia always needs to be cut into any good deal and requires a "taste" and to dip their beak.

[ Parent | on HN ]

Re:Bill Nguyen: The Boy In The Bubble by twelvechairs on Saturday November 12, 2011 @10:22PM (#3229756)

This is his business - the raising of money, not the production of high-quality long-term products...

[ Parent | on HN ]

Re:Bill Nguyen: The Boy In The Bubble by earbitscom on Sunday November 13, 2011 @03:22AM (#3230311)

I asked this of an old boss of mine who cashed out perfectly fine and then raised money for his next business. It's not just about money - having people like Sequoia Capital on your team is more valuable than the money.

[ Parent | on HN ]

Re:Bill Nguyen: The Boy In The Bubble by dwynings on Saturday November 12, 2011 @11:34PM (#3229931)

The simplest answer: because he could.

[ Parent | on HN ]

Re:Bill Nguyen: The Boy In The Bubble by akkartik on Saturday November 12, 2011 @08:29PM (#3229510)

I think it also makes acquisitions more likely.

[ Parent | on HN ]

Re:Bill Nguyen: The Boy In The Bubble by protez on Saturday November 12, 2011 @10:51PM (#3229833)

Not just raising money, but attracting smart people and getting takeover offers from APPL, AMZN, GOOG, MSFT, etc., apparently. The bubble in this market already convinced the investors that trading start-ups can work without users. The other delusional money is waiting to take their shares at x5 price anyway.

[ Parent | on HN ]