LPs are feeling the pressure of startups not finding exits

http://techcrunch.com/2016/05/09/lps-are-feeling-the-pressure-of-startups-not-finding-exits/

by tim_sw • 10 years ago

7 5 10 years ago

Animats2• 10 years ago

Well, duh. All those overvalued "unicorns" are tying up venture capital. Going public and bailing out the early stage investors doesn't work if you're way overvalued. Especially when you have to publish real numbers in the prospectus.

The series C investors may turn out to be the greater fools for a number of major startups. Uber comes to mind.

oarsinsync• 10 years ago

Uber actually seems less likely than a lot of startups. Their (minimum) running costs are tiny relative to revenue.

Animats2• 10 years ago

Their big expense is buying market share by running at a loss in new cities. One source says only SF is actually profitable.

hugodahl• 10 years ago

To those of us who may not be hip to acronyms, could someone clarify LP and GP? presumably not speaking of Long Play (LP) records or General Practitioners (GP).

Seems like fundamental writing/journalism to introduce an acronym in long form when introduced. For example "blah blah Initial Public Offering (IPO) yada yada".

sharth• 10 years ago

Limited Partner and General Partner.

https://www.quora.com/What-is-the-difference-between-Limited...

LPs are feeling the pressure of startups not finding exits

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