coleslawfail's comments

Final tally - 51 votes here to the contrary.

Those who know avoid Khosla.

For all you new founders, tread lightly.

Thank you for saying this publicly. If more did the bubble around his persona would quickly pop.

I'd have no problem if all he did was negotiate good terms. He certainly owes his LPs that. The problem I have is presents the persona as being founder friendly. Sadly, he's at the far other side of that spectrum.

The hostility comes from the large gap between his public persona and what people actually know. That annoys me, yes. He's not a guy that accomplished people actively seek out.

You can judge him solely based on his portfolio. You dont need me for that. And that portfolio is lacking big wins and more importantly, founders who have become really successful.

As my note below implies, there's a big difference between a lead investor and a follow on. If he were a go-to VC, we'd see it in his portfolio.

Vinod's been at this far long enough to judge his results. He gets his ROI but at the expense of founders. That's why we don't see him in the upper echelon and where his marketing doesn't match what is known among knowledgeable parties.

Also, was KV your lead investor?

His investment thesis is high-growth startups. Funny enough, that's YC too. What you are leaving out is his thesis assumes overwhelming control. That thesis is not in a founder's best interests. It's far better to raise less.

Nice dodge though turning hundreds of startups into tens based on no evidence. And in fact, when you look at his non-cleantech portfolio you can see that almost every YC startup would have a place there, especially the biggies and especially when they just need growth equity now.

The problem is Vinod saw the insane terms he could get in cleantech, while pushing founders aside, and so he anchors to those terms for everyone, including other VCs. The proof is in his lack of big wins, not even from his Kleiner days.

Glad you have had a positive experience. I wish you the best in building your company.

Can you comment on why so few YC companies have raised from them?

My comments have received a total of 53 points. KV has tried suing thefunded. And big, successful startups haven't taken his money.

Of course, then there's insisting on 50% equity plus an options pool that comes from founder shares at the seed stage...

I didn't say he's a bad VC. I'm sure his LPs love him.

He's just not who he markets himself as. It's not about you and your company. It's about him.

As for YC, they have what, 400 companies? For a guy who is supposedly (self-proclaimed) so founder friendly, and has $3B in funds, not one big YC company has taken money from him?

Your proof is not how the Valley works, in my view. They know and so they steer clear. That's the glaring proof. Good companies stay away until it's growth equity. Heck, look at Square. They gave Khosla a board seat as part of a huge valuation. He certainly didnt get that company off the ground.

38 points - so far - from those 7 comments. I'm simply saying what many, many people already know to be true.

But again, judge his portfolio for yourself. For a guy who says he's founder friendly where's the first generation of successful founders. He's been at it long enough...

Point to what I've said that is false.

Danielle is great. But do you know the terms she and her team got? She doesn't control the board, does she?

As for me, direct experiences and those of many people I know. Vinod's duplicity is well-known.

Not true in my understanding. They do deals when they have to, no sooner. And more often than not, they are a pain to deal with.

You? No. He helps himself, first and foremost. And it goes far beyond an ROI. He makes sure he's uniquely in a position to win. That's not founder friendly.

Again, the proof is in the portfolio. He wins, few founders have with him. The lack of YC there is telling...

That's marketing, not a record. Look Vinod talked big in green tech and he got his ROI. But where are all the founders who made gobs of money? And where's the epic changes he was crowing about?

Now he's pulling the same stunt in healthcare. He's rushing in with naive founders, taking big stakes, and all he needs to do is flip a few to have the set return a decent ROI. But the founders are mere cannon fodder. And he justifies it with his own ego - you are blessed to have him aboard!

Not true. Yes he takes what appears to be big risks but he hedges by insisting on insane terms. Then it's his and only his company. A good guy he is not. Smart, yes. He does deals no one else will. There's value there but mostly to him and his LPs. The founders are mere employees.

One easy test is the lack of YC companies in his portfolio. Another is the lack of big name founders he created. It's all about Vinod.

For those down voting me, please go ahead and list all of the YC Companies who have taken money from him. He's supposed to be soooo founder friendly. So why do the best early stage startups avoid him?

That's his con. Then you go to them, pitch, and they want half your company.

New/naive founders get Bad Vinod.

Experienced founders who don't need him get Good Vinod.

Sadly it's an open secret.

Wish I could say this openly but the secret truth in the Valley is connected startups know to avoid seed/A round money from Khosla, if you can. They are very aggressive on terms and it's all about Vinod. They do plain shady stuff, like share your details and plans with their portfolio companies. At a seed stage they regular push for 50% of the equity and call it an "experiment". Then rather stick behind you, they pull the plug.

Don't believe me? Take a look at their portfolio and ask why with all of their resources so few YC companies are there. Xobni and ...? The other bigger companies all took growth equity not early money. In all my time in the Valley the gap between Vinod's public persona and the underlying truth is the biggest con I've run into. And of course he just keeps up the PR cause that's his best source of naive founders. Few others send him deals to lead. The good ones they keep to themselves and shut him out, until he gets in a growth terms (e.g. Square).