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nick gogerty

yes that is very true. We are looking only for $1.5m to build out our distribution, product is done and VC math doesn't work for us.

Amielle Lake

I think you are right in that tech companies have fallen on difficult capital raising times. However, perhaps the evolution doesn't need to come from people sitting on their laurels waiting for the markets to turn around, but rather we should change the way we think about these kinds of investments.

Should we modify the structures of these financings so that we can adapt to risk/reward profiles of investors (e.g. tax incentivised structures?

Should we set valuation parameters as we have with biotech and alt energy companies (e.g. phase 1, phase 2 etc.)?

The Internet has done much to teach us that there a lucrative business models out there. However, I think we have still to learn from how to invest in these things properly. Unlike most tech deals, the Internet is not necessarily about creating technologies that have specific IP value or with strong bariers to entry - rather it's about creating a community of thousands of users. The community is monetizable, the technology is irrelevant.

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