Berkonomics

SEPTEMBER 17, 2011

The year was 1998. The company made little effort to charge for the software or community. Within three months, we easily obtained $3 million of investment at a pre-money valuation of $30 million. Three months later, another investor company in the business offered to invest $3 million at a valuation of $60 million.

Liquidity Event 59

Liquidity Event Pre-Money Valuation Sales Valuation 59

Reid Hoffman

JULY 27, 2021

When I decided I wanted to start a company, I realized that I needed to pick up certain skills first, like product management, knowledge of online services, and a practical understanding of commercial software development. Or maybe valuation depends on growth rates or operating margins.

Silicon Valley 69

Silicon Valley Venture Capital Balance Sheet Cofounder 69

Reid Hoffman

JULY 27, 2021

When I decided I wanted to start a company, I realized that I needed to pick up certain skills first, like product management, knowledge of online services, and a practical understanding of commercial software development. Or maybe valuation depends on growth rates or operating margins.

Silicon Valley 69

Silicon Valley Venture Capital Balance Sheet Cofounder 69

Sophia Perl of Wisdom

OCTOBER 16, 2011

Since 1994, Conway has been doing angel investing in solely internet software. For $3-5M company valuations, they usually own 1-2% of the company and when there is liquidity (e.g., Conway’s first fund, Angel Investors I, raised and invested in 1998, generated a 7 times return. They invest an average of $50K-$200K.

Silicon Valley 53

Silicon Valley Angel Investor Portfolio IPO 53

BeyondVC

DECEMBER 20, 2004

We did our own analysis of venture-backed software IPOs a couple of years ago (based on SEC filings, etc.) As you can see from the chart at the left, average valuations of M&A deals while trending upwards in 2004 to $91mm, is still way below the $231mm and $338mm numbers in 1999 and 2000.

IPO 60

IPO SEC Valuation Revenue 60

www.paulgraham.com

OCTOBER 23, 2010

I wanted to work in the pure, intellectual world of software, not deal with customers mundane problems. Some believe only businesspeople can do this-- that hackers can implement software, but not design it. But it turned outthey didnt like us, because our software was easy to use and we hostedthe site. Thats nonsense.

Startup 105

Startup Cofounder Software Stock 105

Ben's Blog

OCTOBER 29, 2020

There is lots of speculation around this, ranging from a repeat of the point above (that tech assets are traditionally growth assets and thus should return higher yields in an environment where investors are seeking high-yielding assets) to the view that Covid has significantly accelerated the “software is eating the world” trend.

IPO 36

IPO Securities and Exchange Commission Demand SEC 36

crowdSPRING Blog

FEBRUARY 16, 2011

“The median net return to VC fund investors has not been positive for any vintage year since 1998″ – [link]. Seed Stage Valuation Guide – [link]. Remarkable valuation for Zynga – but their profits might actually justify it – [link]. million for Storenvy – [link]. – [link].

Social Media 95

Social Media Small Business Design Media 95

David Teten

MARCH 24, 2014

Addepar is precisely trying to collect and convert into software these best practices. (ff We over-weighted small cap value stocks in 1998-2002. However, it was the right thing to do from a valuation perspective. David Teten : I’ve been researching investment best practices for a long time, so I share your interest.

Software Review 114

Software Review Due Diligence Venture Capital Portfolio 114

Seeing Both Sides

MAY 26, 2009

billion, as the company has successfully “grown into its valuation” and become the leading in the content delivery market).   Admittedly it is a distant second to California in software and Internet innovation, but as a proud Boston-based VC, I was pleased to see Terry brimming with confidence in Boston as an entrepreneurial hub. . 

Private Equity 20

Private Equity Boston Massachusetts IPO 20

Both Sides of the Table

DECEMBER 5, 2010

Was it massively better software, better companies, better markets? MySpace would liked to have owned YouTube but didn’t have the public stock valuation to purchase them at the price that Google did. Third-party software companies will start to offer features to websites to actually drive social features. The Present Era.

Social Network 318

Social Network Networking Internet Technical Review 318

Cracking the Code

SEPTEMBER 2, 2008

Thoughts from a Venture Capitalist on Software, Software-as-a-Service (SaaS), Cloud Computing, Internet and more. So where does Salesforces profitability stands today compared to the most successful on premise public software companies? traditional software is like cocaine--youre hooked. Labels: SaaS , software.

Software Review 48

Software Review Software Technical Review Cloud 48

Ben's Blog

MAY 24, 2021

Prior to joining Andreessen Horowitz, I held several executive positions in a publicly-traded software company and was previous to that an investment banker. 1990-1998 13.3% 22% 1990-1998 13.3% 1990-1998 10% 6.3% First, as the below chart shows, IPO pops are not a new phenomenon. Time Period IPO Pop* 1980-1989 6.1%

SEC 36

SEC Accredited Investor IPO Technical Review 36

ReadWriteStart

OCTOBER 22, 2019

It even penciled for Google in 1998, and it still worked well enough that Facebook chose to establish its headquarters in Palo Alto, California, in 2004. These are highly-skilled people that make up critical parts of your software development teams. Reason One: Software is Eating the World. Toyota is a software company.

Distribution 117

Distribution San Francisco Silicon Valley El Salvador 117

Up and Running

DECEMBER 9, 2014

For this discussion, we were joined by CEOs Jared Hecht of Fundera, Joshua Reeves of ZenPayroll, Matt Rissell of TSheets, and our own Sabrina Parsons of LivePlan and Palo Alto Software. Then now into TSheets which is a subscription based software with a much different model so again thank you for having us, having me on the panel.

Small Business 95

Small Business Finance Forecast Metrics 95