Hacker Newsnew | past | comments | ask | show | jobs | submitlogin

> But in terms of total # of employees, total $ of turnover and profits I would expect it to be the reverse.

In general, the less money that startups raise, the better their returns:

https://techcrunch.com/2016/10/15/overdosing-on-vc-lessons-f...

There are a number of reasons for this, a big one being that marginal revenue is always the least profitable:

https://techcrunch.com/2017/10/26/toxic-vc-and-the-marginal-...



This is fully compatible with the OP's point. They mentioned total $. Returns are percentages.


The revenue can be 0. As long as the shares are worth a lot, you are still a very rich person.




Consider applying for YC's Fall 2026 batch! Applications are open till July 27.

Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: