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The Startup Ideas Podcast cover image

I asked a $2B investment genius for his best startup ideas

The Startup Ideas Podcast

NOTE

Balancing Operator Risk and Capital Market Risk in Entrepreneurship

Entrepreneurs often feel the desire to shift from intangible ventures to tangible ones. It is common for them to seek a project they can physically interact with. This transition is acceptable if the entrepreneur has built credibility in the field. Investing in a project presents two main risks: operator risk and capital market risk. It is crucial not to take on both risks simultaneously as it can lead to a poor investment decision. A credible operator can attract more capital with less risk, while a less credible one may face more challenges in securing funding for their venture.

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