It's startup season. Who'da thunk it?
14 May 2008 12:18
You’d think this challenging economy would be, shall we say, inhospitable to new startups.
And yet.
I am personally aware of four different companies just getting off the ground now—two from CMU, one in Atlanta and one in Texas. A fifth tried to recruit me via LinkedIn two weeks ago. I mentioned this to a CTO friend of mine, and his response was that “there’s a lot of money out there.”
My pet theory is that a lot of potential angel investors are the sorts of people hedge funds target as customers. Well, so much for that. If you’re going for high risk and high return, startups fit the bill and don’t take management fees. They might take a long time to pay off, but if it takes a few years before you can sell something anyway, it might as well be a few years when no one’s buying, right?
My friends think of me primarily as a crazy leftist, but you gotta hand it to capitalism. Financial downturn making it harder to find places to invest? Put it in the real economy and things might get fixed from the bottom up. Competitive markets rule.
Category: geekery
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