18 Comments
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Peter Ashby Smith's avatar

Your distinction also points to something broader than venture capital, Petar.

Whenever two parties optimise for different success metrics, conflict eventually looks like betrayal.

Founders often assume everyone is playing the same game because everyone uses the same language: growth, success, value. But incentives slowly redefine those words.

That's why one of the first strategic questions isn't "How do I raise capital?" It's "Whose definition of success am I adopting?"

Petar Dimov's avatar

Incentives shape behavior, and understanding whose definition of success you're optimizing for is one of the most important decisions a founder can make

John Brewton's avatar

Dilution doesn't just shrink ownership, it changes the shape of the whole outcome.

Petar Dimov's avatar

Well said John. Dilution changes the economics of every future decision

Shweta Sharma's avatar

An insightful read. Too many founders focus on raising capital without fully understanding the long-term implications of dilution, governance, and exit dynamics. Capital should accelerate the right business model, not redefine it.

Petar Dimov's avatar

That's exactly it. Capital should support the business you're building, not force you into becoming a different company

Melanie Goodman's avatar

The distinction between founder and investor outcomes is significant. How can founders navigate this complexity to achieve their desired results? What metrics should they focus on?

Petar Dimov's avatar

It starts with defining what success actually means for the founder before fundraising begins. From there, ownership, control, dilution, and exit expectations become much easier to evaluate

Sharyph's avatar

This hits on a truth that rarely gets talked about in the open. The narrative around raising capital is so romanticized that founders often forget they are essentially signing up to play someone else's game.

A life-changing liquidity event for an individual and a fund-returning home run for a VC are miles apart. If you don't define what winning looks like for yourself before taking on external money, you easily end up optimizing for a scoreboard that doesn't actually serve you.

Petar Dimov's avatar

Defining your own version of success before taking outside capital changes the entire journey

Joel Salinas's avatar

Venture math changes the meaning of success is such an important point

Petar Dimov's avatar

Venture math really changes the conversation once founders understand how fund economics shape investor decisions

Melanie Goodman's avatar

the point about forcing every good business into a venture frame is the one that sticks: so many strong companies get funded for an outcome they were never built for. Have you seen founders spot that mismatch early enough to change course, or usually only once the dilution’s already done?

Petar Dimov's avatar

It happens both ways, but unfortunately many founders only recognize the mismatch after several funding rounds. The earlier they understand it, the more options they keep

Gabriela Birova's avatar

This explains why some “wins” still feel wrong later.

Petar Dimov's avatar

Thank you Gabriela. Sometimes the numbers look like success, but the outcome doesn't match what the founder actually wanted

Daniel Ionescu's avatar

The scary part is how reasonable every step feels.

Raise a bit, hire a bit, give up a bit, chase the next number.

Then one day the company is worth more, you owns less, and the finish line has somehow moved without asking.

Hodman | How To Build With AI's avatar

How often do you think Founders will sit and think about what 'enough' looks like? Or is this something people only figure out in hindsight?