Neumann: Seed entry pricing matters despite Silicon Valley binary outcome beliefs
Jerry Neumann · 20VC: Why Follow-On Investments Are Always A Better Investment, Why Spray and Pray Investing Is Like The Stock Market & Why Startups Need A Board From Day One with Jerry Neumann · Apr 30, 2018 · at 15:46
Angel investor Jerry Neumann discusses valuation discipline and price sensitivity in seed-stage investing with host Harry Stebbings.
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“I don't believe in the binary outcome that Silicon Valley has been sort of talking about for the past 10 years. You know, it doesn't matter what the entry price is because the outcome is either going to be huge or nothing. I think that even if that were true, if you have a bunch of binary decisions, you end up with a binomial distribution, right? So it does matter what the price is.”
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