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by fsloth 2823 days ago
"some forms of financing like venture take away your control of work intensity."

How is that? I find it unlikely any VC would go to court just because founder insists on sane working hours for employees. Or is there some leverage here I'm completely missing?

2 comments

I don’t have hard evidence, and certainly not every VC would act this way. There is a great episode of Startup where they seek additional funding and eventually settle on an investor with a long time horizon. YC itself is known for having a longer horizon than most.

But for VCs with an aggressive stance towards working longer, there are many subtle ways to stop supporting a founder that goes against their working culture assumptions.

Increased combatitiveness in board meetings, reduced support in tapping their network for key hires, and increased attention paid toward advising competitors in their portfolio are a few that come to mind.

VC will not participate in the next round, or vote favourably with founders in next board meeting, or spread false news about work ethics or some other crap, which can lead to a down round. Have seen all the three happen.