Silicon Valley Firms Having Cash Showers

Carl Bialik from WSJ writes "'The market for high-technology start-up businesses is so intense in Silicon Valley that some companies are being showered with millions of dollars from investors -- without even asking for it,' the Wall Street Journal reports. The home-improvement website Done Right received an email from a well-known investment firm inquiring about putting cash into the company. 'Paul Ryan, Done Right's chief executive officer, says the missive wasn't sent to him or to his executives -- it landed in a general corporate email inbox,' the WSJ reports. 'Mr. Ryan wasn't put off by the impersonal plea: "We're having very good discussions with [the firm] right now," he says, declining to name the potential investor.' The Journal notes that 'pre-emptive' funding is, of course, risky, and harkens back to bubble-year investment trends."

Comments

I get those kind of email all the time too...

[Anonymous Coward]

I don't think it is a good idea to send money first in order to free up some ready capital from Nigeria though...

Re:Better than other kinds of showers, I suppose

[CountBrass]

"Insightful"? Perhaps the moderator used that in place of "-1, Eeewww!"?

Re:It's actually a pretty good deal

[BadAnalogyGuy]

It's not a given that the other 19 in 20 will result in 100% loss.