Startups need specific growth curves

  • The Valley of Death must be small. Most VCs will not fund a company that spends too long with low revenue or few users. This is another manifestation of the timescale constraint.
  • Growth must be monotonic (always going up and to the right.) In rare circumstances a startup can survive flat or declining growth for a period if its management had the foresight or luck to raise funds before the lackluster growth that last until the growth resumes up-and-to-the-rightness.

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