Customer Quote by Fred Wilson
“Equity capital is expensive. Every time you do a raise, you dilute.”
About This Quote
Source Interview: The Twenty Minute VC, Fred Wilson, 2015
Raising equity capital costs money and reduces existing owners’ share of the company.
In simple terms: Funding dilutes ownership.
Consider non‑equity financing options.
Themes
Mood
Type
When to use this quote
- seed funding
- growth stage financing
- venture capital negotiations
Key Concepts
Questions to Reflect On
- When is dilution acceptable for growth?
- What non‑dilutive funding sources exist?
Equity may be expensive, but sometimes necessary for scaling.