Paulg's recent tweet sums up the response to this [1]:
> If you're expanding too fast, don't count on your board to warn you. As VCs, kill-or-cure strategies serve their interests.
VCs like high burn rate companies, because they are beholden to VCs. So in the case that it does work out, the VCs will own a large percentage of the company.
If you are founding a company and hope for the company to be successful and generate some wealth for yourself, high burn isn't necessarily the right strategy.
> If you're expanding too fast, don't count on your board to warn you. As VCs, kill-or-cure strategies serve their interests.
VCs like high burn rate companies, because they are beholden to VCs. So in the case that it does work out, the VCs will own a large percentage of the company.
If you are founding a company and hope for the company to be successful and generate some wealth for yourself, high burn isn't necessarily the right strategy.
1: https://twitter.com/paulg/status/584468037559918593