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austhrow743 7 days ago

Do we know that they need to raise and are not sustainable? I don't think them raising is evidence of either.

dh2022 6 days ago | parent [-]

Why would they raise money if they do not need? Raising money dilutes existing shareholders - who are probably not too happy about it.

troyvit 6 days ago | parent | next [-]

I worked at a place once where the CEO basically said that it's a lot easier to raise money when you don't need it than to raise it when you do. The US economy is looking pretty weird with a bunch of conflicting predictors. Maybe they're buffering for a recession.

naijaboiler 6 days ago | parent [-]

Its always true. Whether you are a start up or an individual. People throw money at you when you least need it. But when you do need it, they give all types of hassle

Temporary_31337 6 days ago | parent | prev [-]

depends on who is making a decision and how exactly is the funding round structured - for some investors, diluting other shareholders is actually a good thing. For existing employees, if they get an option to partially cash out now is probably better than waiting indefinitely for an IPO etc