Why milestone-based funding kills startup agility and constrains founder agency

So what they're saying is we don't trust you.

24:57 / 25:24

So what they're saying is we don't trust you. We don't want to give you agency. We want to make sure that we pre agree to how you will behave and what you will achieve to give you portions of the money that we are that we've put on the table. And this is a way of constraining your self determination, your agency, your agility, your ability to move. What will happen, because you're in a start up, is your goals will change. You will learn. You will change. You will pivot. You will adjust.

About this clip

The guest argues that milestone-based funding structures are fundamentally flawed because they constrain founder autonomy and self-determination. They explain how pre-agreed goals and phased funding releases limit a startup's ability to pivot, learn, and adapt - which are essential capabilities for early-stage companies navigating uncertainty.

Why this clip

This presents a counterintuitive argument against a common VC practice, challenging the conventional wisdom around milestone-based funding structures.

24:57 - 25:2428scontrarian take

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