Why Do VC Funded Startups Love "Fake Growth?"

Startup Therapy

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1y ago 29:59

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In today’s Startup Therapy Podcast, Wil and Ryan discuss why some founders tend to go on the “fake growth” route. Some Startup companies may look like they are soaring and scaling real fast but in reality, these Startups are spending more than they are getting back from revenue. So how can you identify if you, as a founder, are going the real growth route or the fake growth route?

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What to Listen For

00:00 Intro
02:20 Fake Growth vs. Revenue
05:20 Some people are raising the same money as you, but in a different story
06:54 Why momentum is attractive to investors?
08:18 Staffing
11:45 If your fake growth becomes successful, you’re a hero
17:48 When everything was going the right direction until it wasn’t
19:24 It’s like a Ponzi scheme
24:09 The employee and the stockholders
27:50 Founders who experienced this shows contrition

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