Here is a small example of how entrepreneurs are organizing, leveraging social software and social networking to shift the previous power structures that venture capitalist have held over entrepreneurs. It is a funny read, especially if you have ever been in a funded startup. (Four of the seven startups in my career have been funded; In two of them, I wish that we had had this type outlet for the general messiness that we dealt with.) From Inc magazine, talking about the website TheFunded.com:
What effect will these sites have? Will they empower entrepreneurs at the expense of VCs? “I’m doubtful that the imbalance in power will ever disappear completely,” says Noam Wasserman, a Harvard Business School professor who studies the interactions between founders and investors. “But these kinds of efforts are shifting things.” The sites remind founders to investigate their potential investors thoroughly, he says.