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http://thefunded.com is a great community of founders and CEOs, and includes many bitter people who were burned by investors. I've seen a handful of horror stories on there.

See this post for example, even though it doesn't speak directly to your question of being broke after an exit, because it talks about investor control: http://thefunded.com/funds/item/5822

"From a purely technical standpoint, venture capitalists can't easily 'fire founders' either, yet two thirds of founding teams are eliminated. In fact, most investment agreements have more provisions to force a sale than they do to eliminate a founder. "




That article was very informative.

I still don't fully understand what a VC has to gain by eliminating the founders?

So as long as the board is owned by non-founders, a sale can be forced even though the founders disagree and want to continue operating ... even if the sale will leave the founders with nothing? ... that seems so diabolical!




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