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Should Your Startup Bootstrap or Raise Venture Capital? | Dalton & Michael Podcast

Y Combinator Startup Podcast

NOTE

Not Every Business Needs Venture Capital

Most businesses, particularly those that could appear on platforms like Shark Tank, should not rely on venture capital for their funding needs. A majority of startups, potentially less than 1%, do not receive venture funding, indicating that such funding is an anomaly rather than the norm. It’s essential to recognize that venture capital is designed for high-growth potential ventures capable of yielding 100 to 1,000 times returns on investment. Attempting to apply venture capital to businesses that do not aspire to significant growth will only lead to disappointment for all parties involved.

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