The following is a PowerPoint presentation given by Adeo Ressi of thefunded.com to a group of professors from the Harvard Business School. He brings up several good points, and there’s no question that venture capital has not quite been the same business since the tech bubble thunderously popped, but I wonder if funding more ventures is really a fundamental part of the solution. Back in the industries’ heyday, firms were much smaller, invested in fewer companies and investors spent a significantly greater portion of their time working directly with the entrepreneurs. If firms started to expand their portfolio’s even more, start-ups would be even more isolated from the VCs and funds would offer little more value-added than a bank. Worth a look!
Adeo Ressi’s Leaked Presentation on the Broken Venture Capital Industry