Winners Double Down
I have been involved in the Dallas startup ecosystem for several years now. While Dallas has experienced some notable growth, I find that the average founder has the wrong mentality.
I regularly hear "Funding, we need funding, Dallas doesn't have enough capital, we need to raise money, money now, please invest please, funding or death."
There are a few companies who genuinely do need an infusion of capital early on, but for most they are prematurely seeking an investment. In addition, a lot of founders are looking for one big win to set them up for life. This is not unique to Dallas. I cannot stress how big of a problem this is.
Although I don't know him personally, I've been so impressed by Dave Copps. He and his team at Brainspace worked hard for many years and had a massive exit - I'm quite positive he could have sat back, bought a house (or two) on the beach, and taken it easy for the rest of his days.
He's doubling down, and recently joined Ben Lamm's new venture Hypergiant, which is another Texas startup heavyweight. Why? Probably because it's in his blood. Probably because he knows better. Probably because he has great perspective. Probably because he's an authentic entrepreneur.
This is not just relevant to tech startups either. I have become friends with an amazing couple that ran a local business for over 20 years! They stuck with it, weathered many storms, and sold their company for a healthy sum. Guess what? They aren't settling. If anything, they are taking more risk and are reinvesting a significant amount of that capital.
This encourages me. This fires me up. This is healthy.