June 4, 2020

a16z’s talent x opportunity fund is AWESOME!

a16z has just solved a big thing that has frustrated me for a long time. A VERY common principle of many VCs is that they won’t even consider funding an entrepreneur who hasn’t got the ‘commitment’ to have quit their job and gone full-time on their idea. But do you know what that implies?

a) You are fortunate enough to have squirreled away enough money to survive for 6-12 months on zero income. [See chart below]

or

b) Your friends and family network is affluent enough to give you the most risky of capital to support you through building the product and getting that initial traction.

If you are in your twenties and living in a major city, then your ability to do this is pretty unlikely – Check these stats from www.collegeinvestor.com:

 

Little known fact: I fell out of the foster system and went to live solo at age 17, fortunate enough to be supported by a government that provided financial assistance to low income students (NZ) . Beyond university I single mindedly focused on getting access to members of the powerful/affluent networks needed to get my professional life kick-started. It was hard, but nowhere NEAR as hard if I had been a person of color, LGBTQ+ identifying or an immigrant (I am a cisgender white male).

Bravo a16z – BRAVO!

 "We are looking for entrepreneurs who did not have access to the fast track in life but who have great potential"

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