--- > A respected VC once explained that a third of their investments flop and a third break even, so they need that last one third to be so successful that they both cancel-out the flops *and* make big returns for investors. That's all to say they play the opposite of moneyball: they aren't looking for safe bets, but a few home runs. You only need to pick one Uber-scale success to make up for picking a dozen Juiceros. - [View Highlight](https://read.readwise.io/read/01hvp2t9fa2t20rs67nt3qp0b1) --- > Once you sell your first startup, VCs knock down your door to fund your next one. Whenever you hear about a [stupid startup](https://www.theverge.com/2021/4/29/22408818/mighty-browser-chrome-cloud-streaming-web?ref=sandofsky.com) getting a truckload of funding, it's likely a case of a successful founder's sophomoric follow-up to another winning startup. - [View Highlight](https://read.readwise.io/read/01hvp2tqeka8zkjjm1j154kmwt) --- > It's very likely that the next time Humane raises money, they'll have to value the company less than what they told their last group of investors. These "Down Rounds" screw recent investors and employees, as the stock that they bought is worth less than what they paid for it. It also has a chilling effect on longtime employees. Do not be surprised by an exodus. - [View Highlight](https://read.readwise.io/read/01hvp4k2qz8kv7ww88mwmv655v) ---