] In recent years, there have been quite a few
] entrepreneurs wandering around with good ideas (at least
] in their heads), but unable to raise capital. There are
] no more angels willing to invest hundreds of thousands of
] dollars. The number of venture capital funds making seed
] investments has sharply contracted, and those still
] willing to invest do so only after long and painstaking
] study, especially in cases of entrepreneurs without prior
] experience.

Interesting interview with the founders of Huminity...

] In retrospect, do you regret not raising money from
] venture capital funds?
]
] "Truthfully, not at all. I think that had they invested
] in us, there's a good chance that TeraSync wouldn't
] exist now. They'd have killed us, like they killed a lot
] of other companies. If they don't see a quick exit,
] they have no reason to waste their management fees on a
] company. Had they invested in the company, they'd have
] forced us to appoint all kinds of American marketing
] people; their kind of people. They'd have diluted us
] altogether at the second financing round, and if they
] didn't see an IPO on the horizon, they'd have simply
] closed us down."

Globes [online] - No favors