Mittal: Brands like FAO Schwarz were acquired for over $100M alone
Alex Mittal · 20VC: How Every VC Firm Is A Marketplace, Why A Large Amount of Promise in AI Today Is Impossible & Entrepreneurs 3 Main Pain Points of Fundraising with Alex Mittal, Founder & CEO @ Funders Club · Mar 22, 2017 · at 22:58
Alex Mittal, founder and CEO of FundersClub, cites examples of consumer retail brands that retained substantial acquisition value based on brand equity alone.
0:00 / 0:06exact quote · 7.0s
720p mp4 · rendered on demand · StarZero watermark
“FAO Schwartz, and I think recently the sharper image, like the brand alone's have been acquired for a hundred million dollars plus, right?”
quote is from the automated transcript, cleaned for reading: filler sounds and stutters are removed, nothing is rephrased. names can be misheard (the analysis reads context, assessments check outside sources). how →
More from Alex Mittal
Alex Mittal: Many AI startups promise what is fundamentally impossible
“The bad news is that I believe we're in a point in time where, and this is, you know, I think I mentioned that this is like blasphemy for me to say as a VC, given, you know, AI is sort of hot right now, but we're in an era where what is being promised by a lot…”
Alex Mittal: Current AI is fancy data processing, not true intelligence
“This is, like, more fancy processing of data that leads to more cases where you can automate things that previously were not automatable, but it's not intelligence.”
Mittal: Most tech VCs do not understand brand-based investing
“But I believe that most technology VCs don't understand that because we invest in technology and technology differentiation. And so I think you can get in trouble when you Start changing when your actions are separated from your strategy and knowledge base.”
Mittal: Senate legislation will allow non-wealthy people to become accredited investors
“There's revolutionary almost legislative changes happening right now in the Senate, for example, that will, for the first time in history, in U.S. History, make it possible for people to qualify as accredited investors outside of just being wealthy.”
Mittal: Every VC firm functions fundamentally as a marketplace
“Every VC firm is actually, to some extent, a marketplace. You've got limited partners. Those are typically institutional or very well-to-do investors. You've almost like the market makers in the middle. And then of course you have the founders, the entrepreneu…”
Mittal: Repetitive fundraising pitch shows distract founders from building their businesses
“The repetitiveness of the process. You're literally going through the same, I guess, pony show over and over again. And sometimes like as an entrepreneur, like you can get addicted to this. Like sometimes it's cause it's exciting to tell your vision and story …”