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There Is Such a Thing as Too Much Incentive for Entrepreneurs

Harvard Business Review

Let''s say you earn $4 million after 5 years on the $100K you put in; assuming you give up $500K in total salary, this is a 100% CAGR). Disruptive innovation Entrepreneurship Many entrepreneurs have their entire net worth tied up in their companies. For a long time, this is exactly what most venture investors wanted: more to gain (and lose) means a stronger incentive, greater focus, and better performance - right?