Money
Venture Capitalist Strategy Targets Startups in Debt to Force Lean Operations
Lewis Howes School of Greatness
The Science of Doing Less to Achieve More | David Epstein
"Another prominent venture capitalist I was interviewing said his whole strategy is to go for companies that are like in a little bit of debt. So it's not, they're not going to die, but they're getting really lean and scrappy."
Epstein reveals an insider venture capital strategy of deliberately investing in slightly indebted companies to ensure they remain disciplined. This validates Bill Gurley's industry saying that more startups die of indigestion than starvation, meaning excess resources often hurt more than help by eliminating the creative constraints that force innovation.
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Lewis Howes School of Greatness