

Idiot Tests During Seed Pitches - jackgavigan
http://rafer.net/post/119047975336/idiot-tests-during-seed-pitches

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paulhauggis
"The valuation is all about market conditions and how many offers you get and
has nothing to do with ‘valuing the company.’"

Valuation is very important to the founders, because if it sells a few years
down the road for less than the valuation, chances are they will get nothing
out of the deal because the investors/VC need to get paid back first.

It kinda makes me wonder if both sides don't care about this..they just want
to get their payout and it's treated like playing roulette at the casino.

If I ever get funding, it will be when I have customers and a real valuation.
This way, I actually have a real chance at earning a payout instead of
essentially becoming an employee of my own company.

