HN user
Thanks, I guess I was wrong on that count. It makes sense.
The first part continues to baffle me. If I have a proven profit of $X/year and I have the market captured (speaking on the order of 10% or 50%, doesn't matter), how does it make sense to seek investment in the order of 100*X? What's the goal? Why not just keep milking the proven cash cow and stop growing and risking?
A question to you entrepreneurial types. Why does an globally established and growing company with a proven business model want to raise a billion dollar investment?
It's money they'll have to pay back with interest and I assume there would be other strings attached (like the high risk implied by the planned move that was now canceled). How is possibly better than organic growth at this point where they are probably close to market saturation (in the sense that further exponential growth is implausible)?
A question to you entrepreneurial types.
Why does an globally established and growing company with a proven business model want to raise a billion dollar investment?
It's money they'll have to pay back with interest and I assume there would be other strings attached (like the high risk implied by the title of this article). How is possibly better than organic growth at this point where they are probably close to market saturation (in the sense that further exponential growth is implausible)?