Why Retool’s CEO Took A ‘Risky’ Fundraising Approach On The Way To A $1.9 Billion Valuation

When Retool CEO David Hsu set out recently to raise fresh funding for his low-code software startup, he took an unusual risk: leave as much money on the table as possible.

Let other tech companies seek billion-dollar mega-deals or dazzling valuations, Hsu argued. Retool would deliberately come in under market – and raise as small a sum as its founder could manage. “Most people are conditioned to think higher valuations are great, and huge amounts of money raised are really good,” Hsu says. “But a lower valuation and lower dilution is substantially better for employees.”

So in putting together Retool’s latest funding round, Hsu went against the startup

→ Continue reading at Forbes - Startups

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