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August 7, 2015 01:00 am GMT
Original Link: http://feedproxy.google.com/~r/Techcrunch/~3/HrAWmnM3dyA/
How Venture Capital Incentives Promote Zombie Companies
It feels like every other day: Another company raises a massive round of funding. We tend to assume that a company that’s raising money must be doing well. However, the truth is that venture capital funds’ incentives drive them to fund companies that should have folded long ago. These “zombie companies” are money pits, ultimately shrinking the returns of entire funds… Read MoreOriginal Link: http://feedproxy.google.com/~r/Techcrunch/~3/HrAWmnM3dyA/
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