Venture-Capital-Backed IPO

For some reason, banks love to specifically note when an IPO's original backers were professional venture capitalists versus just yutzes who rolled dice. As if there's a diff.

The presumption might be that, when VCs backed a company, somehow maybe it's more like...professionally run? Better accounted for? More bureacratic? And that this would be...a good thing?

Well, banks like to drum up more business for themselves, so making nice with the VC community is almost always a lucrative adventure. When they can call out how great it is that a venture capital company backed an IPO, maybe they're hoping for yet more business thrown their way from the VCs, as they curry favor with anyone they can.

The IPO itself is virtually zero different from a non-venture-capital-backed one, but for whatever reason, it gets shouted out by journalists after snarfing the free steak dinner delivered by...who else? Yes, the VC firm's PR agency.

One. Hand. Washing. The other.