| Yes, I fall into that category I've had multiple offers to buy and invest. And always do your due diligence. One turned out to be a shell company - which means a bigger company secretly trying to low ball acquire my company In some cases it's VCs or celebrities and you do your due diligence * At the end it comes down to one simple thing If the VC feels this founder and his team worked very hard and not taking that $800,000 (or $800K + x) means those people will get a bit more (and for the company people it means a lot while for VC it means nothing Then VC doing it is a genuinely good thing
Now consider what it means to someone considering General Catalyst At best - they are great guys At worst - they are smart It also means for sure that they are not parsimonious
spiteful
shortsighted
vindictive
penny wise and pound foolish
So now any founder taking investment from General Catalyst knows that there is a good chance that General Catalyst are honest and reasonable
They will not sabotage an exit to try and maximize their cut at the expense of founders * Is this deriving too much from a simple act? Perhaps However, in an industry where VCs are usually known for kicking out founders, this is a welcome change |