Exciting @BananaCap_ Black Friday deal:
50% off your last round 🔥 🚀
Bring me your most recent term sheet. I’ll invest at a 50% discount to the last rounds valuation.
Today only - limited time - move fast! 🚨 ⏰
To add, it's not about whether our startups can fill the party round at ~$20m (they can), it's about the expectations and subsequent support afterwards.
I am worried about this latest YC batch.
The $375K MFN from YC means many are being forced to raise at a $2M on $20M to prevent excessive dilution.
Spoken to 5+ Tier 1 VCs who normally do several YC companies and aren’t doing any with this round structure.
🤷♂️
We've seen this play out. B2B FMCG marketplaces raised absolute war chests when VC $ was plentiful.
Leading cos have GMVs in the 100's of millions with a very similar set of economics (2-5% in product margin.)
In 2023+, we will see a *dramatic* shift in this landscape.
/1
Dirty secret of fintech is money is a commodity. If your entire business is buying and selling a commodity, you’re no different than a d2c e-comm brand