Jonathan Kamens 86 473d ago

RE: https://stefanbohacek.online/@stefan/116257411374685567

Um… Is raising $100 million in Series B funding and then just… not telling anybody about it for a year a thing that happens? Because at least in my experience, that's not a thing that happens.
It seems like a pretty big red flag when a company raises $100 million and then decides they shouldn't tell anybody about it for a year.
No?
#Bluesky #VC #VentureCapital

Show threadDemonHusky
@jik pretty common for there to be some delay from close to announcement for startups. A year might be more than usual, but a few months is common
Mar 19 at 7:18pmWeb
Show threadJenn, blobby goblin3d ago
@DemonHusky yeah, coming from startup world, sitting on it is not something all that unusual. a year is long, but that doesn't give me pause. what does is who's funding it. @jik
Show threadikuturso 🇪🇺3d ago

@titania what do you think is the likely reason for sitting on it and timing the announcement as the previous CEO steps down in this case?

@DemonHusky @jik

Show threadDemonHusky3d ago
@ikuturso @titania @jik I'm not following bsky enough to give a real answer, but, in general, the announcement of funding is a form of advertising, including about the idea that you are opening up hiring in a big way. So there might be some internal stuff you want to reorganize before making a big deal about your money. Or it's advertising to customers and you want to get your product just a little closer to release so you can take orders (probably not this case, but just how to think about it)
Show threadDemonHusky3d ago
@ikuturso @titania @jik sometimes you are advertising to the next investors, so if you get 2 years of runway and you want to have a year of fundraising (both common startup numbers), being closer to the year mark is an advertisement that you are looking for new money
Show threadDemonHusky3d ago
@ikuturso @titania @jik but to the original question, there isn't really an obligation to make a big deal about getting funding. VCs like the press to make them sound more important and companies use it to get their name out, but plenty of startups don't really announce all investment. If you spend time looking at VC investment trackers, there are a ton of question marks for how much and when a company was invested in because it isn't public
Show threadikuturso 🇪🇺3d ago

@DemonHusky they definitely seem to have delayed the hiring as well, it's just a little surprising that they were content with waiting for a year when the past 12 months has looked pretty bleak for them in terms of active user numbers. Also wonder how the new interim VC CEO taking over as they do announce it fits in.

@titania @jik