Why Do VC Funded Startups Love "Fake Growth?"

06/02/2023 29 min Episodio 198
Why Do VC Funded Startups Love "Fake Growth?"

Listen "Why Do VC Funded Startups Love "Fake Growth?""

Episode Synopsis


In today’s Startup Therapy Podcast, Wil and Ryan discuss why some founders tend to go on the “fake growth” route. Some Startup companies may look like they are soaring and scaling real fast but in reality, these Startups are spending more than they are getting back from revenue. So how can you identify if you, as a founder, are going the real growth route or the fake growth route?Sign up for the Startups Newsletterhttps://www.startups.com/newsletterResources:Startup Therapy Podcast https://www.startups.com/beginJoin our Network of Top Founders Check in with us on LinkedIn | Wil Schroter | Ryan RutanWhat to Listen For00:00 Intro02:20 Fake Growth vs. Revenue05:20 Some people are raising the same money as you, but in a different story06:54 Why momentum is attractive to investors?08:18 Staffing 11:45 If your fake growth becomes successful, you’re a hero17:48 When everything was going the right direction until it wasn’t19:24 It’s like a Ponzi scheme24:09 The employee and the stockholders27:50 Founders who experienced this shows contrition