Gurley identifies an angel glut a year ago with companies raising $5 million in seed unable to get Series A.
“In fact, starting about a year ago I think there was probably what you might call an angel glut of companies who had maybe raised one, two, we've seen companies with $5,000,000 of convertible seed money. That's a lot of seed money who can't raise series A.”
Gurley argues firms investing two hundred million per deal cannot pay attention to smaller series A investments.
“And once the center of gravity goes there in a firm, you know, and you're investing 200,000,000 a clip, Can you imagine the Monday meetings?”