Except Bain has an 80% success rate and mostly deals with troubled companies.
Keep attacking capitalism guys, it's going to really help you in November :P

.


On Thu, May 24, 2012 at 3:56 PM, Judah McAuley <ju...@wiredotter.com> wrote:
>
> Huh, I didn't find it funny at all. Correct, yes. Just not funny. Then
> again, I've known about the similarities between PEGs and the Mafia
> for awhile. Venture capital has a somewhat (though usually less
> corrosive) version of it as well in the tech world. A VC group will
> make an investment in company A, say a hosting provider. Then they
> will make investments in tech companies B and C. But as part of the
> deal, they say "hey little start up, you need to host your stuff with
> company A, they are totally awesome and friends of ours, they'll treat
> you right". This process then artificially inflates the books of
> company A, making it look like it is able to attract a lot more
> customers than it really is. The VC is able to tout that company in a
> way that they couldn't if they had just dumped another round of money
> at it because the financials look so much better. Continue playing
> this game with your investments from a bunch of different companies,
> making them be customers of one another and you can create a whole
> artificial web of what looks like "success" to outsiders without any
> of the companies actually being as successful as they are portrayed
> and therefore making it easier for VCs to get a good exit.
>
> Always know where your money is coming from and what strings are attached.
>

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