Businessweek has an interesting article about the venture capital business.
The possibility of landing a venture capital deal entices many aspiring entrepreneurs, but the reality is harsh. Although VCs invest significant amounts of money, the number of companies that get funded is tiny. In 2007 there were 3,813 deals that totaled $29.4 billion, according to the PricewaterhouseCoopers/National Venture Capital Assn. MoneyTree Report, which measures VC activity in the U.S. Data are scarce on what proportion of companies that seek venture funding actually get it. But anecdotally, National Venture Capital Assn. spokeswoman Emily Mendell estimates that of every 100 business plans a venture firm receives, 10 get a serious look, and one gets funded.
And now the worse news for many of you (and me)…
If you're not in a medical or tech sector and you're not located in a hotspot like Silicon Valley or Boston's Route 128 corridor, your chances of getting VC funding are virtually nil, Shane says.
No surprise there, really. Has technology really made the world flatter? When it comes to VC money, maybe not.
One in three billion men got to marry your wife… most never even got a good look. You beat the odds. It happens.
Rob – I’m sure you’ve met with the people from Chrysalis Ventures right here in Louisville. What did you think?
Charlie – I like that analogy. I’m going to steal it!
Actually, since Mrs. Businesspundit is 6’0″, she limited her pool of suitors to men her height or taller. I had an unfair advantage