Re:Sequoia Capital: Armchair quarterbacks
by hello_moto on Tuesday October 14, 2008 @11:18AM
(#332264)
A quote from the seattlepi.newsource:
"What few people understood was that the reason that they didn't make money was that for the previous five years every time there was a trade-off between making more money or growing faster, we grew faster,"
They were making money.
Re:Sequoia Capital: Armchair quarterbacks
by cstejerean on Wednesday October 15, 2008 @10:42AM
(#333337)
I'm sorry, I don't understand what you mean.
It depends on the business models. Some companies can be built cheap and they can reach profitability quickly. Not all companies can follow this model. Sequoia doesn't just invest in YC style companies that can be built by 2 people over 3 months. I highly recommend you take a look at http://www.sequoiacap.com/company/all-stages
"Google, while a startup, added value to the universe and soon enough figured out how to take monetary advantage of that value."
How do you define "soon enough"? IMHO soon enough at a time where there's plenty of venture capital to go around might be very different from soon enough at a time when capital is scarce. Take a look for example at the story of how Amazon reached profitability. http://seattlepi.nwsource.com/business/158315_amazon28.html Amazon also figured out how to become profitable, but it took them 6 years to do so. That was soon enough back then, it might not be soon enough today.