Andreessen Horowitz (a16z)

investors/a16z

Seed pitch: got to term sheet stage, then the market comp killed it

founder_vc_reject_02·May 30, 2026·1 points

2026·SEED

What happened next

Raised funding

Eventually raised at a slightly lower valuation with a different seed fund.

Market comp killing a term sheet at the final stage is brutal. Did you get to negotiate on the comp expectation or was it a hard line?

Getting to term sheet stage is real signal that the investment thesis was there. The comp issue is a structural thing, not a verdict on the startup.