I knew it. We were just waiting to hear it form an official source. Thanks for the link, Jakub. A guy I hold in high respect was making a point on the Spanish blogosphere that you need to ask for at least 1M from a VC if you want to get a shot. I dissent. Now my intuitive dissents have been verbalised and proved.
Two main premises support my (and obviously many others) theory
- Hardware is cheap
- Software is increasingly easy to produce
So, basically what we see is a market where a start up can get up and go at a fraction of the costs it took before. In this light a lot of investors have decided to approach seed capital in a more agile, small and disperse manner.
Some examples are already visible in guys like Y Combinator, Charles River Ventures which has started to fund 10-20k projects and Jeff Clavier’s 12M fund for tech star-ups.
It’s a new dawn of micro-ventures. Let’s see where it gets to, but it sure sounds nice!
In the picture, a very a propos theme for this post: Caravaggio’s David with the head of Goliath, which is in Madrid’s Prado Museum ;-)
Tags: funding, investors, micro-funding, seed, tech start ups, venture capital
