Investing in VC, like other equity investments, is both a beta play and an alpha play.
Beta is exposure to the market / risk factors.
Alpha is excess return from picking better than average startups.
Until VC indexes are broadly investable, you're fully exposed to both. #vc
It’s hard for me to believe that most venture businesses in the US can have 24+ months of runway (and grow) on just $200k.
If you’re raising a very small round (I was pitched two of these this week) this is what the investor is thinking, even if they don’t say it. So, I’d suggest starting with why so little?