[Deutscher]

I don't really know how venture funding works, so pardon my stupid question: Why did he need/want to raise $41m from outside when he sold his company for $850m a few years ago?

[gallerytungsten]

A) He probably didn't own very much of it at that point.

B) Using other people's money is always a lesser risk.

C) Raising big money = big PR ("social proof").

[larrys]

"Raising big money = big PR ("social proof")."

And of course the mafia always needs to be cut into any good deal and requires a "taste" and to dip their beak.

[twelvechairs]

This is his business - the raising of money, not the production of high-quality long-term products...

[earbitscom]

I asked this of an old boss of mine who cashed out perfectly fine and then raised money for his next business. It's not just about money - having people like Sequoia Capital on your team is more valuable than the money.

[dwynings]

The simplest answer: because he could.