Jason M. Lemkin explains how startup risk has shifted. When tech jobs dried up, he and PayPal peers like Peter Thiel and David Sacks enrolled in law school as backup plans. Once the market recovered, they left law to start companies, having learned lessons that made them better founders.
Chapters
Like, you know what's interesting, and I'll answer your question, when I went into startups, you were insane, and to start one, you really had to be insane because there was a 100% chance you would fail. Pathological. Yeah. Now, like, now it's become productized. Even in these slightly tougher times, hundreds and everyone wants to start a startup. It's seen as risk-free for a variety of reasons. But anyhow, there was a period of time when startups were dead, and a bunch of folks of my era that were smart, which would never do it today, actually went to law school. I did it. David Sacks did it. Keith Rabois did it. Peter Thiel. I know there's a lot of PayPal ones. Ones, but there's a reason. There's a whole bunch of other ones. David Hornick, um, who's at Augustus and Lobby Capital. A lot of us sort of went in, what did this, because we were— there weren't a lot of tech jobs for a while. You think it's bad, you know, trust me, there were times when there were zero tech jobs. And then as we kind of came out, we realized, hey, we like, we, we learned something, but we immediately wanted to get back into entrepreneurism.