Upstart Raises $5.9 Million Series A to Let You Find Investors for Your Personal Success, a.k.a Sugar Daddies

 
 
 

It’s well documented that venture capitalists aren’t always betting on the best idea, they’re betting on the best entrepreneur — the person with the most energy, the thickest skin, or just the craziest product development skills.

To this end, Upstart wants to let everyday investors get behind great entrepreneurs and promising young career-folk, and has raised a $5.9 million Series A round from Founders Fund, Khosla Ventures and others to fulfill their “Kickstarter for People” vision, according to PandoDaily.

Interestingly enough, the platform — which has funded 35 ‘upstarts’ so far — is also being used for paying off student loan debts. Trina Spear — a Harvard Business School graduate — used her $20,000 raised from the site to pay off her loans and also found Figs Scrubs, a medical apparel company. Another young’un raised money so he could accept a judge clerkship out of law school, instead of working at a lucrative, soul-crushing law firm.

The average contribution so far is around $1,000, and upstarts generally give up no more than 7 percent of their annual income to pay back the investors. The Upstart founding team of ex-Googlers also created an “income-predictor algorithm” to help guide investor decisions, and currently estimates returns for investors at around 8 percent annually — right around what you’d get from investing in an index stock fund.

Ah, but it’s not about the money, of course! Benevolent big poppas can take young bucks under their wings, helping them along in their dreams, careers and personal development. That is, of course, unless you get a dud — someone who makes less than $30,000 annually does  not have to pay, although a year gets added on to their total repayment plan.

I thought about launching an Upstart campaign to fund my writing of the great American novel, ‘Billy and the Cloneasaurus,” but have since decided it’s more of a Kickstarter project. Donate here!