Business
“The start-up economy today is only about moving money, not value creation.” This is the provocative norm we posed to veteran Fund Managing Partner,VT Bharadwaj, partner, A 91 Ventures & we began the discussion with something like this..venture capital firms basically mop up money from various sources – individuals and institutions, pension funds across the world, etc.—and then pool it up to then fund start-ups and new ventures. Basically, they move others’ money around and make more money by doing so. We pushed the argument further by saying that VCs are not “making” anything, in the traditional sense of manufacturing or creating. If anything, they’re manufacturers of belief, getting those with investible wealth to believe enough in ventures that don’t currently exist to back them with their surplus money.
In this entire reductionist approach, where is the conversation around sustainable value creation? Listen in to what he has to say…
#startups #Funding