Feld Thoughts

JUNE 19, 2017

Between the spring of 2000 and the end of 2001, I had the worst, most stressful, and most painful business period of my life. I remember the trigger point being a 3/20/2000 article in Barron’s titled Burning Up: Warning: Internet companies are running out of cash — fast. They are both worth reading right now.

Internet 162

Internet Revenue .Net Operations 162

Both Sides of the Table

JULY 29, 2010

The A round was done in February 2000 (end of the bull market) and my B round was done in April 2001 (bear market). I talked also about 409a valuations and why common stock purchases cost less than preferred stock purchases. I explain in the video what happened in my first company (e.g. I eventually needed more money.

Venture Capital 282

Venture Capital Term Sheet Valuation Stock Options 282

Ben's Blog

JUNE 18, 2011

In the last bubble, the S&P hit 44x in January 2000. Firstly, the cost of running an internet application has fallen 100-fold. In 2000, I was CEO of the first cloud computing company, Loudcloud, where the price for a customer running a redundant version of a basic internet application was approximately $150,000 per month.

Technical Review 76

Technical Review Software Review Valuation Internet 76

The Startup Magazine

JULY 4, 2017

This is where someone else has done all the hardwork for you in establishing the below criteria from getting software providers, licenses, payment methods etc A white label provides all the stuff you need and will cost between £20k-£100k including the white label’s fee. Some costs involved in setting up an online casino.

Securities and Exchange Commission 60

Securities and Exchange Commission Software Review United Kingdom Affiliate 60

Both Sides of the Table

JUNE 22, 2011

I know that most people who are close to them tend to deny their existence, as we saw in the great housing bubble of 2002-2007 and the dot com bubble of 1997-2000. An obvious example is Google who may have gotten less market attention if there would have been 8 well-financed competitors during the 2001-2005 timeframe.

Saudi Arabia 309

Saudi Arabia Valuation IPO Technical Review 309

ReadWriteStart

OCTOBER 4, 2012

The dead startups honored were mobile social-networking company Addieu, mobile game and activity locator Get-a-Game and the late, seldom-lamented but often-derided Kozmo.com, which failed way back in 2001 but to this day is held up as the embodiment of dotcom-era foolhardiness. Max Delivery charges a fee and makes a profit.

Technical Cofounder 60

Technical Cofounder Video Cofounder New York City 60

Both Sides of the Table

SEPTEMBER 29, 2009

Just ask anybody who was trying to close funding the fateful week of September 11, 2001 or even March 2000. While the company continues to perform well it has come at a cost. But they were the lucky company because there was an investor that believed in the high-growth scenario and was willing to continue funding at any cost.

Burn Rate 263

Burn Rate Valuation Pre-Money Valuation Private Equity 263

Both Sides of the Table

OCTOBER 19, 2009

I had previously raised VC in 1999, 2000, 2001 and 2005. Reasons: cost of sales executives, long sales cycles, deep functional requirements. I am very grateful to my friend Zoli Erdos for finding this retro posting for me at web.archive.org. Biggest lessons …. But not one VC thought I should go after big, enterprise clients.

Venture Capital 274

Venture Capital Term Sheet San Diego Viral 274

Steve Blank

MARCH 18, 2011

Dot.com Bubble ( 1995-2000): “ Anything goes” as public markets clamor for ideas, vague promises of future growth, and IPOs happen absent regard for history or profitability. August 1995 – March 2000: The Dot.Com Bubble. 2001 – 2010: Back to Basics: The Lean Startup. The world of building profitable startups ended in 1995.

Internet 334

Internet IPO Silicon Valley Agile 334

finance.fortune.cnn.com

AUGUST 21, 2012

FORTUNE -- Its no secret that venture capitalists were hit hard by last decades dotcom bust, considering that median returns for 1998-2001 vintage funds are all underwater. The information is based on part of a confidential year-end 2011 investment report distributed to investors in a fund-of-funds that made commitments between 1999 and 2001.

Naming 49

Naming Term Sheet Private Equity Equity 49

500hats.com

AUGUST 2, 2012

While a flood of new VCs came into existence during the late 90’s internet boom, many had difficulty raising new funds after the crashes of 2000-2001 and 2008 , and as a result significantly fewer fund managers exist now compared to a decade ago. Why bother with all the extra costs, people, programs, etc?

Silicon Valley 74

Silicon Valley Early Stage Venture Capital Valuation 74

Pascal's View

AUGUST 12, 2009

economy: “… Sarbanes-Oxley compliance costs, Eliot-Spitzer’s stock analyst settlement and the economic downturn have created an historic drought in venture-backed companies going public. . It boggles the mind that Washington would enact new policies sure to prolong this (IPO) drought and strike at the heart of American innovation.”

IPO 28

IPO Silicon Valley Merger Sweat Equity 28

Ben's Blog

OCTOBER 29, 2020

And no, that doesn’t mean that the IPO is underpriced; recall that there is no cost to putting in an “order” in the IPO book, so the incentive for the buy-side is to put in as large a request as possible with the understanding that they will ultimately be cut back by the underwriters. sell-side research) for free. What do the data tell us?

IPO 36

IPO Securities and Exchange Commission Demand SEC 36

David Teten

MAY 16, 2011

Mr. Geleerd has been a member of YPO since 2000. Founded in 2000, Intellectual Ventures collaborates with leading inventors, partners with pioneering companies and invests both expertise and capital in the process of invention. Cost: $15 Members; $40 Non-members & Guests; please register by 3:00pm on May 24th.

Naming 122

Naming Government Intellectual Property LLC 122

ReadWriteStart

NOVEMBER 5, 2019

The data says otherwise) it was indicated that, according to global investment firm Cambridge Associates, the failure rate for startups has not exceeded 60 % since 2001, based on the monitoring of venture capital investments of 27,259 startups between 1990 and 2010. To set a lousy price in relation to its quality and cost.

Venture Capital 77

Venture Capital Cofounder Finance United States 77

Both Sides of the Table

FEBRUARY 17, 2011

For many businesses you should keep your costs low & your capital raises low until you discover whether you are really on to a big idea where there is market demand. What ended up happening was a critical project was delayed that cost the company some important business. Are you in the “lean&# phase? The result?

Pre-Money Valuation 303

Pre-Money Valuation Dilution Valuation PR 303

Seeing Both Sides

AUGUST 3, 2012

With over $1 billion in revenue, 2000 employees and a market capitalization of over $6 billion, Akamai has become a role model for scalable start-ups. But the second year (2000) was simply astounding: nearly $90 million! Despite the Internet bubble bursting, the company was able to generate over $160 million in revenue in 2001.

Distribution 49

Distribution Lean Massachusetts Cofounder 49

Babbling VC

DECEMBER 5, 2010

This cost me money! In Germany alone, there was something like 85 active funds in 2000. Although I probably couldn't of avoided this mistake, I underestimated at how many tables I'd be sitting alone in 2001. I never received that contract and the signature on it. A lot of it! We often think we can change people, even managers.

Technical Review 76

Technical Review Europe Portfolio Germany 76

rapidrollout.wordpress.com

JANUARY 15, 2011

Why Use a Consulting CTO A consulting CTO can help you complete a business plan by estimating costs and timelines for the company’s technology development and deployment. Though after the dotcom collapse of 2000-2001, there are many more than there were! Why are consulting CTOs so scarce?

Fractional CTO 40

Fractional CTO CTO CTO Hire Fractional VPE 40

ReadWriteStart

APRIL 26, 2012

They all went away; they got rolled up in 1999 and 2000 into these too-big-to-fail banking operations," Davidson tells us. stock market: The change led by NASDAQ in early 2001 to valuing stocks in increments from one-eighth of a dollar down to one cent. They were some great, small banks: Robertson Stephens, Hambrecht & Quist, Alex.

IPO 115

IPO Stock San Francisco Lean 115

Altgate

APRIL 28, 2012

—————————————– I’ve been collecting data about startups and compensation since 2001. Since 2000, I’ve been collecting information about startups, including how much founders, their lieutenants, and their employees get paid. Myth number 4.

Silicon Valley 50

Silicon Valley Vesting New York City Equity 50

www.noamwasserman.com

MARCH 26, 2012

I’ve been collecting data about startups and compensation since 2001. Since 2000, I’ve been collecting information about startups, including how much founders, their lieutenants, and their employees get paid. You get paid more if you live in a high-cost area. But when it comes to pay, you need data. Myth number 4.

Silicon Valley 40

Silicon Valley Vesting New York City Equity 40

Software By Rob

DECEMBER 10, 2008

How much would an extra $1000 or $2000 per month help during that time? Right now companies are cutting costs and letting go of their $125/hour development shop. A lot of contract work is out there looking for mid- to low-cost providers. The average U.S. Moonlight If you have the chance think about taking on side work.

Programming 30

Programming Technical Review Software Review RSS 30

Pascal's View

MAY 13, 2011

ii. Bubble period 1996-2000 totals $243.6 iii. Post bubble period 2001-2009 totals $218.2 2001: Decimalization (further loss of economics to provide market support for small companies), by reducing minimum commissions from 12.5 Amount of venture capital raised has exploded. i. Pre-bubble average 520 IPO’s per year.

Equity 31

Equity Securities and Exchange Commission IPO Marketing 31

Both Sides of the Table

SEPTEMBER 2, 2009

In my first company I had to raise money in April 2001 or die. Coupled with my participating preferred from 1999 and 2000 I had more than $55 million of liquidation preferences. The very modest salary that I drew didn’t come anywhere near meeting my monthly costs so I had to eat into savings.

Founder 329

Founder Liquidation Preference Term Sheet Participating Preferred 329

Ben's Blog

MARCH 24, 2011

In the great bubble of 1998-2000, the boom in public valuations mirrored the boom in private valuations. The inflation-adjusted data from the last bubble tells the story: In the 3-year period from 1998-2000, venture capital firms raised more than $200 billion, which represented about 0.55% of the national GDP. Much better.

Technical Review 78

Technical Review Venture Capital Valuation Database 78

BeyondVC

NOVEMBER 17, 2006

From the introduction of our solutions in 2000 through September 30, 2006, our enterprise subscriber base has grown to approximately 1,500 companies who spend from $2,000 to more than $100,000 annually, including companies such as Wal-Mart, Home Depot, Procter & Gamble, Merrill Lynch, UPS and Cisco Systems. million, $0.9 million and $1.8

IPO 60

IPO Investment Bankers Demand Revenue 60

abovethecrowd.com

FEBRUARY 27, 2019

Unfortunately, either information asymmetry or physical distances and the resulting distribution costs can both cut against the economic advantages that would otherwise arise for all. In 2000, Eric Baker and Jeff Fluhr founded StubHub , a secondary ticket exchange marketplace. The company was acquired by ebay in January 2007.

Internet 88

Internet Matching Vertical Hosting 88

Both Sides of the Table

JANUARY 31, 2010

We raised a seed round of capital in 1999 and our first venture capital round was the first week of March 2000 (e.g. But this was early 2000 and our US competitors had already closed rounds North of $45 million. We had a $40 million round lined up to close in the Autumn of 2000. Our first big institutional round was $16.5

Entrepreneur 308

Entrepreneur Silicon Valley San Diego Non-Compete 308

YoungUpstarts

FEBRUARY 12, 2012

This 2005 documentary is an examination of the 2001 collapse of energy giant Enron, and details the dark side of actual business. In 2000, the 22,000 people on staff at Enron could be proud: they were spending their days at one of Fortune ‘s “100 Best Companies to Work For in America.”

America 169

America Bankruptcy United States Naming 169

View from Seed

APRIL 20, 2022

Comparisons have been made to the two most recent significant pull-backs of the dot com crash in 2000-2001 and Great Recession of 2008-2009. . Even in a sustained downturn, tech is likely to be a driving force of economic productivity improvements rather than the proximate cause of recession (as in 2001).

Ukraine 156

Ukraine China Russia Global 156

VC Adventure

SEPTEMBER 4, 2015

And we’ve certainly seen in the past that when the markets shift their focus from growth to profitability they do so pretty quickly (briefly in 2011, before that in 2008 and dramatically in 2000/2001).

Burn Rate 48

Burn Rate Portfolio Revenue Valuation 48

Ben's Blog

MAY 24, 2021

There are a number of trends concerning IPOs and capital formation to note: First, the raw number of IPOs has declined significantly: From 1980-2000, the US averaged roughly 300 IPOs per year; from 2001-2016, the average fell to 108 per year. 1999-2000 51.6% Time Period IPO Pop % Above IFR 1999-2000 51.6% 1999-2000 37.5%

SEC 36

SEC Accredited Investor IPO Technical Review 36

Startup Lessons Learned

JUNE 12, 2020

In the boom times, everything gets more expensive except cost of capital. I went to RISD from 2000 to 2004, the iPod came out in 2001 and, really, that was the moment that industrial design experienced its golden age, and I was a industrial designer. So many of the iconic companies you know began in a crisis. Just be shameful.

Silicon Valley 113

Silicon Valley Design Hiring Government 113

The Startup Toolkit

JANUARY 11, 2017

The finance version of this is chasing 10% returns each year only to have something unexpected (2001, 2008, etc) happen and wipe out a life’s savings. The career version is to have a “safe” job that pays a steady salary but might suddenly disappear if something unexpected (2001, 2008, etc) happens.

Dividend 20

Dividend Finance Salary Search 20