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Dear SaaStr: What Are The Unspoken Downsides of Being a VC or Angel Investor?

  • As a VC, success is measured primarily by returns, unlike as a founder where success is measured on multiple levels.
  • There is quite a bit of gossip around VCs who can't raise a fund or have made bad deals.
  • Partner disalignment is common at most VC firms due to the cumulative nature of partnerships and sourcing LP capital.
  • VC firms tend to become desensitized to startups that can't become Unicorns or address their concerns.

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