That is a consequence of two things. 1) the all or nothing approach to business that VC backed startups take and 2) the lack of quality network for many founders. It's why I specifically mentioned network for good advice. If you look at the patterns emerging from silicon valley with the PayPal mafia and even YC itself there is a clear advantage to be had from A) access to immense amounts of cash coupled with B) a network of people who have been there and done that. I find it very hard to believe that white upper middle class males are remarkable for their genius intellect as successful founder profiles would have you believe if looked at in isolation. From a purely critical perspective there is a wide range of intellect levels on display amongst unicorn founders.

So, again, to be clear, you believe that a person with access to:

A) A "network", i.e. is friends with talented people

And has access to:

B) "Immense amounts of cash". How much cash? 1 million? 10? 100?

Can easily earn a 10x-100x return on that money? You think turning 10 million into 100 million is easy? Do you know how many people are trying to do that? Do you have any idea how difficult that is even with access to a network and cash?

Money is extremely cheap. The biggest problem in silicon valley right now isn't access to capital - it's that there's too much capital chasing too few good ideas. VCs are desperate for something worth investing in, precisely because of how hard it is to create a good company.