Good post on lifestyle vs. VC funded businesses
September 11th, 2007 by Benjamin KuoSid Mohasseb over at Venture Farm (and who is also an active angel investor) has a good post on what a lifestyle business is. One thing which I see (and I’m sure lots of angels see, as well) are businesses which — although they may be profitable and growing — are better defined as lifestyle businesses than something venture-fundable. Generally, these businesses don’t have the possibility of rapid scaling, quick merger/acquisition, or other exit that a venture investor would be interested in; however, that doesn’t mean it isn’t a good business. It just means you’re unlikely to attract outside investment.
