View from Seed

AUGUST 16, 2019

Or, is she concerned about small cracks in the business so wants additional cash cushion as an extra safety net (i.e. One of the most relevant scenarios that this fear vs. greed lens applies towards is insider-led financings. Is a new outside investor joining a round because they see a straight-line to a money-making venture (i.e.

Term Sheet 149

Term Sheet Syndicate Syndication Early Stage 149

crowdSPRING Blog

FEBRUARY 23, 2011

Small business and startup issues: net neutrality and H.R. Business Development for Early Stage Startups – [link]. Chicago Entrepreneurism: Four Ingredients To Help Your Business – And This City – Dominate – [link]. Small business and startup issues: net neutrality and H.R. 1 – [link].

Social Media 92

Social Media Small Business Design Media 92

View from Seed

JANUARY 11, 2021

As high-conviction, seed stage investors, we are inherently relationship-driven, and we value meeting exceptional founders face-to-face. With the onset of COVID-19, we, along with the broader ecosystem of venture capitalists and entrepreneurs, have been pushed to rapidly adapt, forge connections, and do our jobs remotely.

Venture Capital 350

Venture Capital Cofounder Early Stage Seed Stage 350

David Teten

AUGUST 19, 2019

Since 2017 we’ve managed $3 million in revenue-based financing, which helps cash-strapped technology companies grow. According to John Borchers, Co-founder, Decathlon is the largest revenue-based financing investor in the US. Founder Earnings = Net Income + any amount of founders’ salaries over a certain threshold.

Revenue 60

Revenue Technical Review Software Review Equity 60

Both Sides of the Table

OCTOBER 7, 2014

This is something I think entrepreneurs don’t totally understand and it’s worthwhile they do. There weren’t a lot of seed funds in 2007 so this was often done by angels, funding consortia or sometimes early-stage funds that existed then (First Round Capital, True Ventures, SoftTech VC, etc.). Why the latter?

Cap Table 399

Cap Table Silicon Valley Term Sheet Finance 399

Both Sides of the Table

JUNE 19, 2017

One of the hardest decisions entrepreneurs make when they start a company and raise outside capital is figuring out what an acceptable “burn rate” is. The Basics The starting point — the 101 — is knowing the difference between gross burn and net burn. GAAP Net Income, which at times isn’t a good reflection of cash burn).

Burn Rate 212

Burn Rate Startup .Net Venture Capital 212

Genuine VC

FEBRUARY 12, 2012

Addressing both of those issues can stem from the motivations as to why someone would want to put their hard-earned cash into a risky early-stage startup in the first place. CONS: Potentially not much value-add beyond initial financing round. The Fellow-Entrepreneur Angel. The Previous-Colleague Angel.

Angel Investor 257

Angel Investor Syndicate Syndication Early Stage 257

YoungUpstarts

FEBRUARY 21, 2018

From Dwayne Rettinger’s perspective, millennial entrepreneurs are more saddled with stereotypes than they should be. Sometimes those are particularly challenging for young entrepreneurs to avoid. But young entrepreneurs have the opportunity to nip bad financial planning in the bud, since time is on their side. “If

Management 189

Management Portfolio Finance Security 189

Startup Professionals Musings

NOVEMBER 26, 2012

Many entrepreneurs stumble at this point, losing the deal or most of their ownership, by having no answer, saying “make me an offer,” or quoting an exorbitant number. So what magic can the founders use to justify a $4M valuation (or even the $1M valuation) at this early stage? This one doesn’t help NewCo just yet.

Valuation 270

Valuation Pre-Money Valuation NPV Intellectual Property 270

YoungUpstarts

NOVEMBER 15, 2017

As a beginning entrepreneur, you need to take into consideration all the aspects of your business. If your major relates to business sciences (finance, accounting, marketing and business law), chances are that you’ve had business plan assignments. Get the finances in shape. It’s a rewarding career option. Brainstorm.

Startup 160

Startup Social Media Forecast Early Stage 160

Haystack

OCTOBER 2, 2019

Those of us in the early-stage tech ecosystem by now well know that saying “there are a LOT of seed and new startups” is a gross understatement. all together) combined with the culture of “demo days,” in-person gatherings where angels and professional investors collide with entrepreneurs.

Deal Flow 106

Deal Flow Cap Table Early Stage Institutional Investors 106

This is going to be BIG.

APRIL 29, 2011

I had an interesting conversation with an entrepreneur last week about how he decided which VCs he was going to pitch. At the same time, I had lunch with someone yesterday who regularly ran into early stage entrepreneurs who was surprised to hear that I didn't mind if they made intros to me. Why did I need that?

Technical Review 114

Technical Review Early Stage Due Diligence Venture Capital 114

Berkonomics

DECEMBER 17, 2020

Let’s take a few minutes to examine the kind of equity financing available to small or early stage businesses. There is an exemption from the requirements that these investors be accredited with net worth or income minimums to qualify legally to invest in your company. Friends and family investors.

Equity 62

Equity Finance Liquidity Event Angel Groups 62

Startup Professionals Musings

SEPTEMBER 30, 2011

Many entrepreneurs stumble at this point, losing the deal or most of their ownership, by having no answer, saying “make me an offer,” or quoting an exorbitant number. So what magic can the founders use to justify a $4M valuation (or even the $1M valuation) at this early stage? This one doesn’t help NewCo just yet.

Pre-Money Valuation 246

Pre-Money Valuation Valuation NPV Intellectual Property 246

Genuine VC

FEBRUARY 12, 2012

Addressing both of those issues can stem from the motivations as to why someone would want to put their hard-earned cash into a risky early-stage startup in the first place. CONS: Potentially not much value-add beyond initial financing round. The Fellow-Entrepreneur Angel. The Previous-Colleague Angel.

Angel Investor 128

Angel Investor Syndicate Syndication Early Stage 128

Berkonomics

JUNE 8, 2017

Some businesses require very little capital and the founder can self-finance the enterprise and retain 100% of its ownership and control from ignition through liquidity event (startup through sale). And even with the significant cost of credit card debt, many entrepreneurs aggressively use existing cards to finance a startup.

Private Equity 106

Private Equity Valuation Cap Table Accredited Investor 106

Up and Running

AUGUST 20, 2014

According to global banking institution HSBC, there are three things you should keep in mind as you learn about managing your cash flow and your business finances: Profits are not cash. Not to mention the mental stress of having to make back every dollar you spent in the early stages of setting up your business.

Forecast 135

Forecast .Net Dividend Finance 135

Startup Professionals Musings

SEPTEMBER 6, 2010

Many entrepreneurs stumble at this point, losing the deal or most of their ownership, by having no answer, playing coy, or quoting an exorbitant number. So what magic can the founders use to justify a $4M valuation (or even the $1M valuation) at this early stage? Find “comparables” who have received financing (market approach).

Valuation 234

Valuation Pre-Money Valuation NPV Startup 234

Gust

OCTOBER 8, 2014

Cautionary note: No competent VC is actually fooled when you show up after raising $6M in seed financing and say you’re now raising an A! This is something I think entrepreneurs don’t totally understand and it’s worthwhile they do. Marc Andreessen (@pmarca) October 7, 2014. Why the latter? and there''s always a but].

Cap Table 136

Cap Table Silicon Valley Term Sheet Non-Compete 136

Gust

NOVEMBER 18, 2012

Many entrepreneurs stumble at this point, losing the deal or most of their ownership, by having no answer, saying “make me an offer,” or quoting an exorbitant number. So what magic can the founders use to justify a $4M valuation (or even the $1M valuation) at this early stage? Image via eHow.com.

Valuation 187

Valuation Pre-Money Valuation NPV Intellectual Property 187

David Teten

AUGUST 21, 2019

Revenue-Based Investing (“RBI”) is a new form of VC financing, distinct from the preferred equity structure most VCs use. These entrepreneurs want to maintain two major options: 1) To raise VC later (or not), and/or. 2) To sell their businesses when they want – early, mid term, or never.” . Works for early-stage companies.

Revenue 60

Revenue Liquidation Preference Equity Cofounder 60

Small Business Force

FEBRUARY 21, 2014

In early stage companies (and even some later stage or mature ones), there is no one area where most entrepreneurs and small business owners are lacking in just basic fundamentals, than in dealing with their company's finances and financial management. Offer discounts for early payment. What are yours?

Finance 37

Finance Management Forecast Entrepreneur 37

Berkonomics

MARCH 30, 2012

Sara focuses upon another side of small business financing not typically considered in the angel and venture world, financing from sources for companies that will probably never be attractive to those niches. . Crowd Funding: The Internet is at work here, especially for obtaining early stager seed money.

Intellectual Property 76

Intellectual Property Entrepreneur Small Business Administration SBA 76

www.quora.com

JANUARY 16, 2011

I did a short video at BothSidesoftheTable th at talks about the key terms in the term sheet you need to know about AND how VCs calculate valuation differently than entrepreneurs and what to look out for. Fenwick & West has a great, very thorough document about financings, term sheets and so forth: https://docs.google.com/v iewer?u.

Term Sheet 41

Term Sheet Startup Angel Investor Wiki 41

This is going to be BIG.

SEPTEMBER 19, 2012

Many of you entrepreneurs know that feeling. Two Sigma is a technology and finance company in Soho filled with incredibly bright engineers and developers, so I’m really excited about leveraging that partnership in a number of cool ways. I was out trying to save my startup by talking to as many investors as I could.

LP 112

LP New York City New York Chad 112

K9 Ventures

MAY 14, 2011

In my view the terminology being used for early stage investors by the press and the media is not as clear as it should be. I’ve talked about this on several occasions when I’ve been at conference and on panels, but I figured it would make sense to do a post explaining my taxonomy of the early-stage investing world.

Preferred Stock 125

Preferred Stock Seed Stage Incubator Early Stage 125

Up and Running

JULY 1, 2015

All these requirements need to be financed. Whether it’s a pop up shop, a cool new app, or a clothing line, the majority of entrepreneurs depend on a small amount of funding to get off the ground initially. Many entrepreneurs use bootstrapping, which means financing your company by scraping together funds in unconventional ways.

Bootstrapping 60

Bootstrapping Angel Investor Venture Capital Finder 60

The Startup Magazine

SEPTEMBER 25, 2019

This usually comes from unexpected expenses, the fact that business is not profitable (in its early stages), while you still have to cover the overhead. You see, there are some types of people who can ruin your business quite effortlessly, and you, as an entrepreneur, need to learn how to avoid them like the plague.

Startup 99

Startup Early Stage Software Review Finance 99

Rob Go

JUNE 8, 2014

Raising capital is really difficult, no matter what people say about the influx of seed and early-stage dollars into the startup eco-system. I know very strong entrepreneurs that need to grind really hard to get seed rounds done, so I definitely don’t want to take away from the challenge of doing that.

Dilution 69

Dilution Early Stage Angel Investor Venture Capital 69

Eric Friedman

AUGUST 18, 2021

He is also co-founder and Managing Partner of Deciens Capital, an early stage investment fund. It is the entrepreneurs that are singing their heart out, playing the instruments, et cetera. In my mind, that’s a lot of my role in the boardroom or with entrepreneurs, On Dan being the “Curmudgeon of Fintech”. That scares me.

Silicon Valley 88

Silicon Valley Venture Capital Cofounder Africa 88

Gust

NOVEMBER 20, 2014

Department of State and several other private sector partners to launch The GIST Network (GIST Net), an interactive online network connecting science and technology entrepreneurs in emerging economies. GIST Net also offers interactive discussion boards to help entrepreneurs connect; a mentorship hub with participants from top U.S.

.Net 152

.Net Morocco Silicon Valley Global 152

YoungUpstarts

JUNE 11, 2019

There are two statistics that matter the most when it comes to millennials and finance. The problem with this lies in the fact that, when it comes to the issue of business finance, knowledge matters far more than confidence. As an entrepreneur, you’ll have to learn when it’s crucial that you burn money. Finance advisor.

Finance 149

Finance Bankruptcy Startup Angel Investor 149

Cracking the Code

DECEMBER 11, 2015

The best entrepreneurs are often those who can articulate their vision and roadmap in a simple, elegant and purposeful manner. 6 Passion While everyone wants to make money, good VCs look for more in an entrepreneur than the desire to cash out. They invest in entrepreneurs who want to change the world.

San Francisco 48

San Francisco Churn Rate Silicon Valley Engineer 48

David Teten

DECEMBER 3, 2019

Small investment firms often have interns and entrepreneurs in residence passing through, each of which is a security risk. Chris Dixon, Partner, A16Z, observes , “Success in VC is probably 10% about picking, and 90% about sourcing the right deals and having entrepreneurs choose your firm as a partner”. 2) Market .

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

Startup Company Lawyer

MAY 26, 2012

Despite the buzz among entrepreneur communities, various restrictions may make crowdfunding impractical for companies raising money and the intermediaries that facilitate the process. In 2005, Kiva launched a micro-finance platform that allows people to lend small amounts of money to entrepreneurs in developing areas.

SEC 58

SEC Securities and Exchange Commission Accredited Investor Private Placement 58

Professor VC

SEPTEMBER 2, 2010

The fall semester at SJSU started this week and had the first class meeting of my Entrepreneurial Finance class, which was overflowing with students standing, sitting on the floor and begging to get in. Whether you buy this or not for public equities, the market for early stage private companies has always been wildly inefficient.

Angel Investor 28

Angel Investor Angel Groups San Jose Venture Capital 28

Both Sides of the Table

JUNE 8, 2014

The problem that I’ve seen historically in cities like Los Angeles, San Diego or Seattle is that their historic high-net-worth individuals didn’t come from the tech startup world. This can have an enormous benefit to kick-starting a local startup community as it will ensure many more early-stage at-bats happen locally.

Silicon Valley 390

Silicon Valley Kansas City Startup Venture Capital 390