Startups And Impact Investors – Good or Bad?

2 min read

startup

Value = Valuation. Valuation -> Profits. Profits!= Profiteering. Are you a startup wondering about this sequence? Then you may want to consider working with impact investors. There are benefits and pitfalls in doing so, before discussing them let’s first define the types of venture capital. 1) The Three Different Kinds Of VCs Traditional investors, also often called institutional VCs, have a single bottom line: financial returns. In other words, the LPs investing in a fund are counting on the fund manager to take their investment and make money, 3x net of fees with a 20% IRR are the benchmarks for…...

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Amit Garg I have been in Silicon Valley for 20 years -- at Samsung NEXT Ventures, running my own startup (as of May 2019 a series D that has raised $120M and valued at $450M), at Norwest Ventures, and doing product and analytics at Google. My academic training is BS in computer science and MS in biomedical informatics, both from Stanford, and MBA from Harvard. I speak natively 3 languages, live carbon-neutral, am a 70.3 Ironman finisher, and have built a hospital in rural India serving 100,000 people.