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neomtoday at 3:12 PM0 repliesview on HN

Not necessarily. Supply chains and vendor management into scale is very difficult and very very expensive, I think we prob spend north of $200MM to get to $150MM ARR, but the economics started to shake out thereafter based on CAGR. To do this without owning 0% of the company while still recognizing needing a lot of cash in the system to keep everything lubricated, (for example Michael Dell might be fine personally extending a $500MM line of credit to the business, if the business has $50MM in venture funds on some predictable growth rate) - basically you use true risk capital via the smallest amount of equity you can give to de-risk downstream capital requirements. I don't know anything about how Oxide is growing their business so this could be total nonsense in their case, but it's how we built a generational business (digitalocean)!