Earlier in the year I believed that someone would soon start a Venture Capital Fund to back high schoolers. It should happen and will.
I now have a great idea for a new Venture Capital Fund….The Venture Cash’ Bernacke’ Fund….our tagline ‘Fourty Percent Returns are EASY, try ONE Percent!’
Venture is back. My friend Jon Callaghan wrote a great piece about the state of Venture Capital . He is bullish and for the right reasons. I was extremely bullish last fall and now too busy to be as bullish, but I agree in principle.
I have the good fortune of being recently funded at Stocktwits. A few of the other businesses I have helped fund are also knee deep in cash from investments this year. I just learned a shitload from trying to safely deposit $3 plus million in short-term CD’s at a multitude of banks. It’s a good problem to have, but not one most founders will want to deal with.
I guess you could call your broker at Lehman, Bear or the other 165 banks that have failed and see what they offered.
I would prefer to try and find the 6-10 that may survive for two more years.
There are hundreds of companies in 2009 and likely more in 2010 that will get $2-$10 million in funding. I know the nightmare that lies ahead for managing that cash.
For them I offer…Howie’s Venture Cash Fund.
P.S. The hoops, paperwork and processes to earn zero on our money is enough to make me hurt someone at the FED. We have a ‘talking point’ government and ‘Fed. It’s wrong, and it will choke the recovery for a very long time. Continue to be very careful.
