“About four months ago, I ran out of cash,” Elon Musk, co-founder of PayPal and head of Tesla Motors, acknowledged in a divorce court filing that was widely circulated among the West Coast digital elite.
It was quite a revelation, one that laid bare an uncomfortable truth in the world of venture capital: high-tech entrepreneurs who look rich are often relatively cash-poor, at least next to their glittering images, The New York Times’s Andrew Ross Sorkin writes in his latest DealBook column.
The revelations about Mr. Musk’s personal financial problems stunned many in the industry. Wall Street spent years courting him. The Energy Department had given Tesla $465 million in low-interest loans. The whispering among Mr. Musk’s detractors began almost immediately, Mr. Sorkin writes.
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