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Welcome to the Lost Decade (for Entrepreneurs, IPO’s and VC’s)

Steve Blank

The two decades from 1979 when pension funds fueled the expansion of venture capital to 2000 when the dot-com bubble burst were the Golden Age for entrepreneurs and venture capital firms. VC’s invested their limited partners’ “risk capital” in a portfolio of startups in exchange for illiquid stock. Source: NVCA.).

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The Rise & Fall of Great Venture Firms [Part 2]

Agile VC

This is true not only in a firm’s dealings with entrepreneurs but also with it’s limited partners and even within the firm among its partners. Back in the 2000-2001 timeframe, a flood of LP capital was coming into the VC asset class given the strong returns of the mid-late 90s tech boom/bubble.

Cofounder 193
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The end or the beginning? Thoughts on the current startup environment

This is going to be BIG.

Is 2012 going to be 2000 all over again? There are a ton of companies being funded at $500+ million valuations--seriously limiting exit opportunities. Public market holdings aren't dominated by internet companies with questionable business models the way they were in the late 90's. Are we in a bubble? Valuations.