Comments on: Why do VCs insist on a pay cut? http://www.newdelhitimes.org/2007/01/why-do-vcs-insist-on-a-pay-cut/ Gaurav Bhatnagar reporting from New Delhi, India Tue, 31 Jan 2012 10:14:00 +0000 hourly 1 http://wordpress.org/?v=3.0 By: Deeps http://www.newdelhitimes.org/2007/01/why-do-vcs-insist-on-a-pay-cut/#comment-3220 Deeps Sun, 23 Sep 2007 20:19:50 +0000 http://www.newdelhitimes.org/?p=382#comment-3220 Hey all, I would primarily go by Gaurav's comment with the following possible options for a entrepreneur. 1. We should remember, that the Indian ecosystem for product entrepreneurs is just starting to build up. Its unlike the US system 2. To vouch for a high risk / high rewards proposition, the entrepreneur should be ready for a pay cut, even if it does not match the average industry standards. 3. But the Angel investors, or the VCs, also should keep in mind, when the guy is ready to put his 24X7, personal sacrifices and commitment, paying his bills and his covering his liabilities should be an open option. 4. The entrepreneur should be ready for a 6 months contract negotiation of pay cut. deeps Hey all,
I would primarily go by Gaurav’s comment with the following possible options for a entrepreneur.
1. We should remember, that the Indian ecosystem for product entrepreneurs is just starting to build up. Its unlike the US system
2. To vouch for a high risk / high rewards proposition, the entrepreneur should be ready for a pay cut, even if it does not match the average industry standards.
3. But the Angel investors, or the VCs, also should keep in mind, when the guy is ready to put his 24X7, personal sacrifices and commitment, paying his bills and his covering his liabilities should be an open option.
4. The entrepreneur should be ready for a 6 months contract negotiation of pay cut.
deeps

]]> By: Deeps http://www.newdelhitimes.org/2007/01/why-do-vcs-insist-on-a-pay-cut/#comment-5961 Deeps Sun, 23 Sep 2007 20:19:00 +0000 http://www.newdelhitimes.org/?p=382#comment-5961 Hey all, I would primarily go by Gaurav's comment with the following possible options for a entrepreneur. 1. We should remember, that the Indian ecosystem for product entrepreneurs is just starting to build up. Its unlike the US system 2. To vouch for a high risk / high rewards proposition, the entrepreneur should be ready for a pay cut, even if it does not match the average industry standards. 3. But the Angel investors, or the VCs, also should keep in mind, when the guy is ready to put his 24X7, personal sacrifices and commitment, paying his bills and his covering his liabilities should be an open option. 4. The entrepreneur should be ready for a 6 months contract negotiation of pay cut. deeps Hey all,
I would primarily go by Gaurav’s comment with the following possible options for a entrepreneur.
1. We should remember, that the Indian ecosystem for product entrepreneurs is just starting to build up. Its unlike the US system
2. To vouch for a high risk / high rewards proposition, the entrepreneur should be ready for a pay cut, even if it does not match the average industry standards.
3. But the Angel investors, or the VCs, also should keep in mind, when the guy is ready to put his 24X7, personal sacrifices and commitment, paying his bills and his covering his liabilities should be an open option.
4. The entrepreneur should be ready for a 6 months contract negotiation of pay cut.
deeps

]]> By: nazish http://www.newdelhitimes.org/2007/01/why-do-vcs-insist-on-a-pay-cut/#comment-3219 nazish Wed, 09 May 2007 11:01:03 +0000 http://www.newdelhitimes.org/?p=382#comment-3219 hey guyz i found a really cool site promoting entrepreneurship by providing funding,incubation,mentoring n wht not.check it out. www.genportal.org hey guyz i found a really cool site promoting entrepreneurship by providing funding,incubation,mentoring n wht not.check it out.
http://www.genportal.org

]]> By: nazish http://www.newdelhitimes.org/2007/01/why-do-vcs-insist-on-a-pay-cut/#comment-5960 nazish Wed, 09 May 2007 11:01:00 +0000 http://www.newdelhitimes.org/?p=382#comment-5960 hey guyz i found a really cool site promoting entrepreneurship by providing funding,incubation,mentoring n wht not.check it out. www.genportal.org hey guyz i found a really cool site promoting entrepreneurship by providing funding,incubation,mentoring n wht not.check it out.
http://www.genportal.org

]]> By: nazish http://www.newdelhitimes.org/2007/01/why-do-vcs-insist-on-a-pay-cut/#comment-3218 nazish Wed, 09 May 2007 10:57:42 +0000 http://www.newdelhitimes.org/?p=382#comment-3218 hey guyz i found a really cool site promoting entrepreneurship by providing funding,incubation,mentoring n wht not.check it out. www.genportal.org hey guyz i found a really cool site promoting entrepreneurship by providing funding,incubation,mentoring n wht not.check it out.
http://www.genportal.org

]]> By: nazish http://www.newdelhitimes.org/2007/01/why-do-vcs-insist-on-a-pay-cut/#comment-5959 nazish Wed, 09 May 2007 10:57:00 +0000 http://www.newdelhitimes.org/?p=382#comment-5959 hey guyz i found a really cool site promoting entrepreneurship by providing funding,incubation,mentoring n wht not.check it out. www.genportal.org hey guyz i found a really cool site promoting entrepreneurship by providing funding,incubation,mentoring n wht not.check it out.
http://www.genportal.org

]]> By: Paavani http://www.newdelhitimes.org/2007/01/why-do-vcs-insist-on-a-pay-cut/#comment-3217 Paavani Mon, 05 Feb 2007 11:27:50 +0000 http://www.newdelhitimes.org/?p=382#comment-3217 Same Q as Kris, I also have. Everytime I visit this blog thinks -might see a New look of New delhitimes. Work and all are excuses. Now change it. :) Same Q as Kris, I also have. Everytime I visit this blog thinks -might see a New look of New delhitimes.
Work and all are excuses. Now change it. :)

]]> By: Paavani http://www.newdelhitimes.org/2007/01/why-do-vcs-insist-on-a-pay-cut/#comment-5958 Paavani Mon, 05 Feb 2007 11:27:00 +0000 http://www.newdelhitimes.org/?p=382#comment-5958 Same Q as Kris, I also have. Everytime I visit this blog thinks -might see a New look of New delhitimes. Work and all are excuses. Now change it. :) Same Q as Kris, I also have. Everytime I visit this blog thinks -might see a New look of New delhitimes.
Work and all are excuses. Now change it. :)

]]> By: Gaurav http://www.newdelhitimes.org/2007/01/why-do-vcs-insist-on-a-pay-cut/#comment-3216 Gaurav Sun, 04 Feb 2007 21:11:33 +0000 http://www.newdelhitimes.org/?p=382#comment-3216 Thanks for the comments folks. The point I was trying to make was that an entrepreneur is taking a significant risk even without taking a big salary cut. For an angel round, I agree that a pay cut (or even no salary) is expected. But when a VC comes in and pumps in a few million dollars into a business, it might be short sighted to insist on low salaries for founders. Gunjan, your insight on the "living dead" companies is interesting. I can easily see that happening to many companies which can get very profitable but might not provide significant exit options! Kris - NDT2.0 will happen! Am just a little too tied up with work these days. Need to get back into the groove soon! Thanks for the comments folks. The point I was trying to make was that an entrepreneur is taking a significant risk even without taking a big salary cut. For an angel round, I agree that a pay cut (or even no salary) is expected. But when a VC comes in and pumps in a few million dollars into a business, it might be short sighted to insist on low salaries for founders.
Gunjan, your insight on the “living dead” companies is interesting. I can easily see that happening to many companies which can get very profitable but might not provide significant exit options!
Kris – NDT2.0 will happen! Am just a little too tied up with work these days. Need to get back into the groove soon!

]]> By: Gaurav http://www.newdelhitimes.org/2007/01/why-do-vcs-insist-on-a-pay-cut/#comment-5957 Gaurav Sun, 04 Feb 2007 21:11:00 +0000 http://www.newdelhitimes.org/?p=382#comment-5957 Thanks for the comments folks. The point I was trying to make was that an entrepreneur is taking a significant risk even without taking a big salary cut. For an angel round, I agree that a pay cut (or even no salary) is expected. But when a VC comes in and pumps in a few million dollars into a business, it might be short sighted to insist on low salaries for founders. Gunjan, your insight on the "living dead" companies is interesting. I can easily see that happening to many companies which can get very profitable but might not provide significant exit options! Kris - NDT2.0 will happen! Am just a little too tied up with work these days. Need to get back into the groove soon! Thanks for the comments folks. The point I was trying to make was that an entrepreneur is taking a significant risk even without taking a big salary cut. For an angel round, I agree that a pay cut (or even no salary) is expected. But when a VC comes in and pumps in a few million dollars into a business, it might be short sighted to insist on low salaries for founders.
Gunjan, your insight on the “living dead” companies is interesting. I can easily see that happening to many companies which can get very profitable but might not provide significant exit options!
Kris – NDT2.0 will happen! Am just a little too tied up with work these days. Need to get back into the groove soon!

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