VC Funding Works for <1% of Companies: Why Lean AI-Native Teams Win
cen6wkf · reddit · 2026-07-23
Greg Isenberg and Derek Andersen argue that venture capital funding only works for less than 1% of companies, and only a fraction of VC-backed startups ever return the capital.
They share a specific example: $600K in engineering costs against $300K in recurring revenue. This "golden anchor" of apparent success nearly sank the company. In the AI era, running a lean team sized to the actual problem is presented as the more correct and viable model for most builders.
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