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Startup investing 101: An Interview with Startup Incubator and Accelerator Founder Space Founder, Steven Hoffman

Money Tree Investing

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How Much Should You Invest in Startups?

In most investor portfolios, if you look at venture capitalists or even angel investors, their portfolio, usually they might invest in ten companies. Usually one of those companies, the one that hits it right and grows like crazy, that company is worth more than all their other investments combined. When i advise start ups, i tell them, spread your money out, but not too widely. Don't put all your money in one pot, first of all, because you never know. No matter how sure a deal seems, these are usually early stage start ups.

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