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Why do sites like Twitter or Formspring need funds from venture capital firms?
10-15-2012, 07:56 PM
Post: #3
Andrej Offline
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At the beginning they need money for infrastructure, like servers, offices, employees. In exchange for financing them, VCs get shares in the firm.
Founders of new sites try to convince venture capitalists by making presentations of their project. Here's an interesting interview with a venture capitalist http://www.econtalk.org/archives/2009/08...start.html
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[] - Doctor Deth - 10-15-2012, 07:56 PM
[] - Andrej - 10-15-2012 07:56 PM

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