I've had multiple VCs call a potential 1-10MM/yr business a lifestyle business. The pressure to move away from that idea to something with a higher market cap is tremendous.
Regarding your second point, "you promised not to go down the slow path," I think that's true in most cases, but there is some VC money that's too easy to get, and the founder's don't really realize the promise they're making.
I feel like this is particularly true among YC startups, where it seems fashionable to take VC money right after demo day, regardless of other company factors (IE: traffic, growth, revenue, etc). The "invested in the team" argument works for YC and Start Fund, but it feels almost irresponsible for VC's to invest in first time entrepreneurs on the same premise. My sample size is tiny, but I think it puts far too many people in a situation they don't want to be in (which they'll realize X months down the road).
That last part is pretty controversial. Interested in other people's thoughts.
I may be misinterpretting the parent, but I don't think he was disagreeing with the assessment that a 1-10MM/yr business is a lifestyle business, but more that a 10-100MM/yr business is "no man's land".
Also, from my experience, founders do actively promise not to go down the slow path. It isn't some implicit agreement. When you pitch to investors usually 2 of the most common questions are "What is your growth plan?" and "What are your exits routes?". If you project to be a 10MM/yr business in 5 years, VCs probably won't pull the trigger, and if you told them 100MM/yr in 5 years you can understand why a VC would maybe think you aren't moving fast enough if you're an order of magnitude off that number.
As for YC companies, as I've heard many time on HN when there is a post about an investment or an exit, it's all about the terms and where the company is, however it seems from reading his essays like PG's advice is to be aggressive about taking money when you can get it, so that may permeate down to the YC companies so you could be right.
Regarding your second point, "you promised not to go down the slow path," I think that's true in most cases, but there is some VC money that's too easy to get, and the founder's don't really realize the promise they're making.
I feel like this is particularly true among YC startups, where it seems fashionable to take VC money right after demo day, regardless of other company factors (IE: traffic, growth, revenue, etc). The "invested in the team" argument works for YC and Start Fund, but it feels almost irresponsible for VC's to invest in first time entrepreneurs on the same premise. My sample size is tiny, but I think it puts far too many people in a situation they don't want to be in (which they'll realize X months down the road).
That last part is pretty controversial. Interested in other people's thoughts.