Guha: VCs prefer a 10% chance at $1B over guaranteed $100M
Rabbi Guha · Founder Market Fit Got Them $4.2M Before a Product Existed · Mar 4, 2025 · at 10:04
Rabbi Guha, co-founder of Thesis, discusses why venture capitalists reject revenue-generating businesses that lack power-law upside potential.
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“One of them being that you being able to convince them that this is a VC business. It means that this is, this has the potential to become a billion dollar company at some point. Even if it is like it's a 10% chance, that's what they are probably looking for. That a 10% chance of becoming a billion dollar company versus let's say a hundred percent chance of becoming a hundred million dollar company.”
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Guha: VCs hesitate on India-based founders, not Indian identity
“There is obviously, I'll be honest that there is a hint of hesitation among the Silicon Valley VCs for founders who are based out of India, but not so much like Indians.”
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“Especially at our stage, the seed stage, when we raised, we didn't have a product. We just had an idea and we wanted to bring this in front of people.”
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“What we do is basically train the LLM to understand these design patterns. And instead of you having to manually encode them into your application or manually hard code them into your application, You can just use RLLM to generate it on the fly and just engage…”