Why Too Much Venture Capital Can Be a Problem — entrepreneur.com

The warnings have been starting to get dire for a while.  Last September Marc Andreessen, one of the most influential investors in tech, predicted that unless young companies start to get their spending under control, they risk being “vaporized” by a market turn.  And while he’s certainly not alone in his concerns, this March ecommerce darling Etsy announced it was going to file for a $300 million IPO, despite posting a $15 million loss last year. And is definitely not an anomaly, when talking about over valuing companies and raising too much capital.

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