Couldn't agree more. Was trying to make that my second point - how founders (and early employees) getting diluted and end up not having the gains to pump back into investing when exits actually do happen. They may be able to retire, but they can't also invest $10M over 10 yrs - it's one or the other.
Yup, there's a network of angel investors here. But most of the VCs tend to invest in very traditional markets, regardless of founder talent. It's more worth your time to fundraise out in the valley and setup shop in the midwest.
Operating costs here are so cheap, and a lot of uninspired talent around. You can tell because of the sheer number of consulting firms in the midwest. There just aren't enough great companies to keep people's interest. Anyone who's worth their salt leaves, and then comes back when they want a family.
