Loading video...

Video Failed to Load

Go Home

Ben Horowitz cosigned the Databricks co-founders in 2013, when they were Berkeley academics. " When I met with them, they were like, 'We need to raise $200,000.'" "I said, 'I'm not gonna write you a check for $200,000. I'll write you a check for $10 million.'" "You need to...

146,905 views • 3 days ago •via X (Twitter)

16 Comments

a16z's profile picture
a16z3 days ago

w/ @lennysan on Lenny's Podcast (Sep 2025)

Max Bern's profile picture
Max Bern3 days ago

Asked for 200k and he said "here's $10m become a company." Not sure if that'd scare or excite me.

richard's profile picture
richard3 days ago

w story

NotaDEV's profile picture
NotaDEV3 days ago

most of us are still waiting on the 200k, let alone the 50x version

Abhishek kothari's profile picture
Abhishek kothari3 days ago

Wild that the investor had to talk the founders into a bigger swing. What did he see in the Databricks team that they hadn’t seen in themselves yet?

Youth's profile picture
Youth3 days ago

The scarce skill after the capability jump is still falsification, not more drafts.

sofi e,'s profile picture
sofi e,3 days ago

Thanks for sharing this

Larry Pu's profile picture
Larry Pu3 days ago

Raising too little money could extremely limit the runway, which can result in failure of company. Investors know that

Bobby's profile picture
Bobby3 days ago

Semper Fidelis

Gustavo Hernandez's profile picture
Gustavo Hernandez3 days ago

@DanielleFong I hope this happen to us @Kavanahio

why's profile picture
why3 days ago

That’s a wild gap between the check they asked for and the one he wrote. A very early bet on the team.

Gary Drucker, CIC's profile picture
Gary Drucker, CIC3 days ago

Two Berkeley academics starting a company need a general liability insurance policy first. A 10 million dollar check without a certificate of insurance is a claim waiting to happen. I would have called them the same day.

Rob Meder's profile picture
Rob Meder3 days ago

that was smart. really smart.

Ivan Damnjanovic's profile picture
Ivan Damnjanovic3 days ago

Databricks is pretty good, but I haven't seen their roadmap?

Crio Songo's profile picture
Crio Songo3 days ago

That's the top-tier investor's vision, this bet totally paid off for a16z.

࣪˖ sophie m.'s profile picture
࣪˖ sophie m.3 days ago

Totally agree with this

Related Videos

Keith Rabois: “I tell founders not to worry about runway. Worry about lift.” “If you think about lift in a plane context, a company is only valuable if you achieve lift. Runway is a tactic for achieving lift, and you may need to extend the runway so that you have more time to get lift. But unless you’re actually achieving lift with that extra time, it doesn’t help you.” Keith continues: “I hate when a founder is like, ‘I want to raise this much money because it gives me two years runway.’… That is a stupid way to think about your fundraising.” Instead, founders should ask themselves what they need to achieve to achieve lift, and then work backwards from that. When Keith invests at Khosla Ventures and Founders Fund, they write internal memos about the three key risks to the company. Usually you can’t achieve all three in one financing, so founders should be asking themselves, What’s the most important inflection? And then structure their financing to achieve that. Keith advises founders that it’s ok to let their runway go very low if they feel like they’re approaching lift: “A lot of founders get very bad advice like ‘Oh, you need to have this much runway or you won’t be able to raise money from strength.’ That’s nonsense. If you have traction - if you hit a viral coefficient of 1 with three months of runway - almost every VC on the planet knows how to invest in that company, and it will not be a problem.” Video source: Khosla Ventures (2024)

Startup Archive

256,038 views • 11 months ago

Keith Rabois: “I tell founders not to worry about runway. Worry about lift.” “If you think about lift in a plane context, a company is only valuable if you achieve lift. Runway is a tactic for achieving lift, and you may need to extend the runway so that you have more time to get lift. But unless you’re actually achieving lift with that extra time, it doesn’t help you.” Keith continues: “I hate when a founder is like, ‘I want to raise this much money because it gives me two years runway.’… That is a stupid way to think about your fundraising.” Instead, founders should ask themselves what they need to achieve to achieve lift, and then work backwards from that. When Keith invests at Khosla Ventures and Founders Fund, they write internal memos about the three key risks to the company. Usually you can’t achieve all three in one financing, so founders should be asking themselves, What’s the most important inflection? And then structure their financing to achieve that. Keith advises founders that it’s ok to let their runway go very low if they feel like they’re approaching lift: “A lot of founders get very bad advice like ‘Oh, you need to have this much runway or you won’t be able to raise money from strength.’ That’s nonsense. If you have traction - if you hit a viral coefficient of 1 with three months of runway - almost every VC on the planet knows how to invest in that company, and it will not be a problem.” Source: Khosla Ventures (Aug 2024)

Startup Archive

95,838 views • 10 days ago