I wonder if anyone has insight into Tilt5 with Jerry Ellsworth. I hear complaints that they can’t raise constantly despite being a healthy profitable business.

I was always told that revenue and profit is bad for valuations. Profit is for lifestyle businesses.

Possibly b/c it locks in a real valuation and prevents playing valuation games with future expected MAU/cashflow.

That’s when it’s ‘oh crap, go go go’ on the investor side, because the startup owners can’t play as many games with valuations.

When the investors are picking and choosing, they usually want to see that you have some ability to deliver.

It does make it harder to raise funds on vapor.