Project 365: Day 100 — Trading Startup Stories
I took an Uber Pool back home this evening. I usually hate taking pool rides home for the simple reason that it would usually involve being in company and I prefer commuting in silence.
I was pleasantly surprised to have a gentleman for company during my ride. I was on a call with a friend when he boarded the cab but when the call ended, he and I started chatting. This man is also part of a Startup — he called it a niche fintech startup but the product itself though niche has tremendous potential in my mind, aside from a good client roster.
We got talking about how easy startup investment keeps happening these days. Having recently joined a startup that is in a much better current position than some of its industry peers, too often I wonder about how top VC funds make investments in businesses I would never put my money on. Risk appetite is one thing but some of them look too risky to stick one’s neck out on, even if you have the money.
He told me about a friend of his, a consultant at a top fund who was tracking the movement of startups and was part of a team that identifies potential investment opportunities in startups. This friend told this guy that too often the mandate comes from the top — invest regardless of whether or not you see ROI — a crazy move one would think. There’s also the fact that a lot of startups have investment being pumped in, the source of which is black money — which lands these startups in trouble sometimes. Imagine foreign investors investing in your baby and then a couple of years down the line, you realize that the money came from a dubious mafia source. That could tarnish your reputation easily.
It was a short but insightful conversation and I have to admit, when the guy started talking, I was quite wary; I usually am wary of strangers trying to approach me.
With that, I’ve hit a triple digit score. Feels really good! Thanks for reading! Cheers to the next milestones — the next 265 days and then who knows, a 4 digit number! That’s it for today.