Due to the relentless hype of venture capital funds and the business press, many entrepreneurs believe that getting venture capital is synonymous with a successful venture and great wealth. And they also believe that you cannot build a giant business without venture capital. Both assumptions are not true.
What is true is that venture capital is very, very difficult to get. In fact, they fund so few ventures each year that the only reason why they are so important is that a few of their ventures become glorious successes. Out of an average of about 600,000 new businesses started each year, venture capitalists fund only about 300 startups and about 3,500 to 4,000 total deals. To get VC, you need to be in a hot industry and have the potential to be a dominant company in the hot industry. Read more