SatoshiNakamoto

Venture Capital layoffs

I heard that even VCs like Sequoia and Matrix Venture Partners are laying off people

Sequoia has laid off 3 Analysts, 1 VP and 1 associate and Matrix has laid off 5-6 people

Any thoughts? Is it true?

#layoffs

18mo ago

Cafeinatedpragmatist

Stealth18mo

That's interesting. Even I noticed that. But VC generally doesn't have "layoffs". It's more like consulting where it's up or out. At an analyst level. If you are out after 2 years, it's less layoff more that you couldn't make the jump or there was no space up there.

Associate and VP level could just be putting focus on core business (seed and Series A), and reducing the growth team size.

Just guessing

Cafeinatedpragmatist

Stealth18mo

Would expect more layoffs on the web 3 side though. Overhired and not enough activity in the space, for a large team tracking the sector.

ccavenue

Accenture18mo

Makes sense. It’s not really layoffs but actually the up or out acting out

Malexistensialcrisis

Startup18mo

Both the VCs layoff had an incident behind them responsible for layoffs of 2-3 people.

The incident is too Pvt even for grapevine but ya VCs don’t usually Lay-off.

Matrix is even hiring for analysts again

Malexistensialcrisis

Startup18mo

Nope it’s not about portfolio returns or over hiring.

Cafeinatedpragmatist

Stealth18mo

Yeah, these weren't structural issues

Cafeinatedpragmatist

Stealth18mo

Interesting. Will try to find out more and report here.

On the 2nd point about business cycles, agree to disagree. Theoretically, you'd want folks to have seen bear markets, but it's a results driven business. Experience is always 2nd to outcomes. Unless you are high enough in the value chain. Not like I believe this is right, but it is a more common occurrence.