I started a one-man biz that's beating VC-backed startups
Click-bait title in my opinion. It's not because you don't need VCs to satisfy your customers that VCs are bad. They are good when you need them to satisfy your customers. Now distrokid-competitors' problem is not that they have VCs money, it's that they "hired" bad ones. Now, I grant you, good VCs for startups, those who gonna understand whats good and not for your customers may be rare... But look at google and facebook, they did right by taking VCs' money don't you think.
One could very well argue that this success would not have been possible with VC money. They would never have this business model of $20/artist/year because VCs want loads of profits. And they would have >100 employees instead of three, because, well, aggressive scaling.
It might boil down to your definition of success I guess. Having taken VC money might have maximized their profit but at the cost of their top USP (very affordable service). Also they probably would not be loved as much by their customers and not doing as much of a good deed to the artists as they are now.
Click-bait title in my opinion. It's not because you don't need VCs to satisfy your customers that VCs are bad. They are good when you need them to satisfy your customers. Now distrokid-competitors' problem is not that they have VCs money, it's that they "hired" bad ones. Now, I grant you, good VCs for startups, those who gonna understand whats good and not for your customers may be rare... But look at google and facebook, they did right by taking VCs' money don't you think.