This Golden Strategy used by VC’s will change your life!

VC’s or venture capitalists are the people who invest in startups, upcoming businesses or even in companies who have been established decades ago, Loosely any person who provides capital for a venture to run can be called a venture capitalist. They take up an equity stake in exchange for the capital they provide so they can be a part of the growth potential of the business.

Now, since these VCs invest in revolutionary and game changing ideas which tend to change one aspect of our lives, For e.g. Facebook changed the way we interact with each other, Amazon changed the way we shop, Google entirely revolutionized the ‘searching on the internet’ aspect.

It is pretty obvious that the VC’s are actively looking for the next Google or the next Amazon or Facebook, But the very obvious problem with that is that not everyone can be the next Google or Facebook, That’s why there’s just one of them and not a 100,000.

But hey, everyone who jumps on the wagon aspires to create a billion-dollar company, or as today’s startup industry calls it ‘Unicorn’

Even Tho it is statistically very unlikely, Here’s why

India currently has around 100,000 startups registered but only 108 of them have the unicorn status

Thats only 0.1% of the startups!

For context only 1 in 1000 ideas gets properly executed to an extent providing game changing returns

So how do VCs know which company is going to be the next unicorn?

Spoiler Alert: They Don’t!

In fact, if a VC invests in 10 companies around 3–5 of them completely fail and go bankrupt!

That’s almost 50% of sure shot bankruptcy rate!

Still, they are very optimistic about their next investment and still look for the unicorn in each one of their investments.

So, what’s the advice?

Well, let’s stop beating around the bush and get to the advice,

The point is, we do very similar things with our life as well, some of us go into corporate jobs, some of us get into startups and some of us like me, get into writing and making content creating personal brand.

But more often than not, these things do not turn out the way we expect them to be, or at least the way we want them to perform,

Even though we statistically do much better than the 50% bankruptcy rate,

Still, we believe as if it is the end of the world and we should just stop trying new ideas altogether.

But if VCs are optimistic about their next investment even with a 50% bankruptcy rate, Why aren’t you?

Afterall you too are yet to find your 0.1% of the idea that generates a 100x or heck even a 1000x return for you.

In essence what I’m trying to say is that don’t quit trying new ideas or things just because the first couple of them didn’t work for you, Keep the curiosity alive and keep searching for the next big thing!

After all, A Game changing revolutionary thing could just be around the corner, For You!