The 20-minute rule

It was nice to see L.A. County having a good quarter for venture capital funding, but its $252.8 million total for the July-September period was still nickel and dime compared with the Bay Area's $2.45 billion. (Even if you account for all of Socal the total is $710.6 million.) Silicon Valley remains home to the big venture capital action and the reason goes beyond who happens to have the next great idea or widget. The reason - at least a part of the reason - is that Socal is not in Silicon Valley. Craig Johnson, managing director of Concept2Company Ventures in Palo Alto, told the NYT that he knows a lot of venture capitalists who still adhere to the 20-minute rule. That is, if a start-up company is not within a 20-minute drive of the venture firmís offices, it will not be funded.

More by Mark Lacter:
American-US Air settlement with DOJ includes small tweak at LAX
Socal housing market going nowhere fast
Amazon keeps pushing for faster L.A. delivery
Another rugged quarter for Tribune Co. papers
How does Stanford compete with the big boys?
Those awful infographics that promise to explain and only distort
Best to low-ball today's employment report
Further fallout from airport shootings
Crazy opening for Twitter*
Should Twitter be valued at $18 billion?
Recent stories:
Siri versus Hawaiian pidgin (video)
Letter from Down Under: Welcome to the Homogenocene
One last Florida photo
Signs of Saturday: No refund
'I Am Woman,' hear them roar

New at LA Observed
On the Media Page
Go to Media

On the Politics Page
Go to Politics
Arts and culture

Sign up for daily email from LA Observed

Enter your email address:

Delivered by FeedBurner

Mark Lacter
Mark Lacter created the LA Biz Observed blog in 2006. He posted until the day before his death on Nov. 13, 2013.
Mark Lacter, business writer and editor was 59
The multi-talented Mark Lacter
LA Observed on Twitter and Facebook