How long is each venture funding supposed to last for the company being funded?

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JASON LEMKIN

As a SaaS founder, how should the currently ongoing correction of SaaS valuations affect decisions regarding further capital rounds? (series A)
How do VCs view the CEOs of startups who draw six-figure salaries and drive expensive sports cars when the company hasn’t made a dime and isn’t doing well? Is this common?

I think like many venture axioms, founders get bad advice here out of good solid rules

The 18-24 month rule is a good one — until it isn’t.

The real answer is Until The Traction Where You Know Someone Will Write You Another, Much Larger Check.

I know this is subjective, but pay attention.  Listen to what the expectations are.  Ask your current investors.  Talk to VCs you know, but that can’t invest now.

Find out what it will take.

And stretch your cash to get there.  However long it takes.

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Published on February 29, 2016
As a SaaS founder, how should the currently ongoing correction of SaaS valuations affect decisions regarding further capital rounds? (series A)
How do VCs view the CEOs of startups who draw six-figure salaries and drive expensive sports cars when the company hasn’t made a dime and isn’t doing well? Is this common?
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