I started writing this post in Chicago, I finished it in New York, and now I am editing and posting from Kuwait. With each city I have edited to match the sentiments I have been exposed to.
The state of venture capital in three acts.
ACT I: Chicago
Sentiment: excitement, “we have great ideas, we just need money”
ACT II: New York
Sentiment: “high demand has led to overpriced investments; the way to go is to set up a Venture Capital Fund that acts like a PE fund” … (if it looks like a duck….)
ACT III: Kuwait
Sentiment: “looks good but I’ll pass” // “but i can put my money in X and get 7%; why put my money and MAYBE get 400% or nothing?”
My conclusion: If you want to raise money from the conservative gulf states- call it a Growth PE Fund
I will be doing a post soon describing the venture capital scene in the Gulf States. If the term Gulf States is new to you, go here: Gulf States