Pre-IPO investments: Your learnings
Curious about investing in pre-IPO companies like Databricks, Stripe, OpenAI, and Anthropic? 🚀 Share your experiences and tips! With big capital requirements and no clear exit path, it appears risky. Please share insight and your positive or negative experiences . Let's learn together! #PreIPOInvesting #StartupInsights #InvestmentJourney
There are faster ways to lose money, but you’d have to travel to Vegas or Atlantic City
Despite all ur research and investment, the returns are directly proportional to the success % of IPOs - less than 1% roughly. Be prepared to invest with full knowledge that this could become zero eventually
There’s a big difference between investing when the company starts vs. when it’s late-stage private like the companies OP mentioned. For the companies OP mentioned you’re not going to lose a ton of money but probably won’t make a ton either (low risk, low reward).
The best way to invest in a startup is to work there. You get a salary, equity (usually), and have some influence over its success. Buying pre-IPO shares as an individual is either highly risky or offers minimal advantage over public stocks and funds.
I’ve worked for 5 pre IPO $1bil + startups, received ~$1mil in private stock, have had $0 return so far. Hopefully this will change, the companies you’ve listed are stronger, but nonetheless I don’t put my life on it.