Shunning the IPO

An excellent Financial Times article tells us why many good Web 2.0 companies are shunning the venture capitalists and the IPOs:

Not only are they not turning on the taps of venture capital, the new companies are avoiding the stock market. Many of the entrepreneurs in the latest boom were around during Nasdaq’s collapse after 2000 when investor confidence in the technological sea change – which appeared to be coming from Silicon Valley and which had built up spectacularly in the late 1990s – suddenly evaporated.