.@pmarca explains why startups need preferential attachment and how great VCs help them get it:
"If you think about mechanically what's happening with a startup, a startup needs to basically get into a loop in which it's accruing more and more resources as it goes."
"When a company gets momentum, what it means is the next resource that you need is preferentially willing to attach to your thing as opposed to somebody else. That's the mechanical process that drives the power law curve."
"A top-tier VC is a bridge loan of credibility at a point in time when the startup maybe deserves it, but just doesn't have it yet. And that credibility is harvested in the form of primarily personnel, money, and brand. And those three things turn out to be really important early on."
With @collision and Charlie Songhurst on Cheeky Pint
Video
Erik Torenberg (@eriktorenberg)
— https://nitter.net/eriktorenberg/status/2067627331532042599#m