Both Sides of the Table

MAY 23, 2012

The movie, “The Social Network” might have had more of an impact on creating future entrepreneurs than any other event of the past 5 years. In 1998 there were around 850 VC funds and by 2000 there were 2,300. Thomson Reuters data shows that around $10 billion of LP money went into VCs per year pre bubble. The Funding Problem.

Venture Capital 347

Venture Capital Technical Review LP Mobile 347

Both Sides of the Table

JULY 16, 2010

But VC is an “illiquid asset&# so funds didn’t disappear quickly - In 2000/01 the stock market quickly adjusted punishing investors in the NASDAQ and in individual public technology stocks. So as of 2008 total LP commitments were still at nearly $250 billion. So the people who invest in VC funds have two problems.

LP 311

LP Technical Review Early Stage Silicon Valley 311

Both Sides of the Table

JANUARY 16, 2012

I raised money as an entrepreneur, like you, in 1999, 2000, 2001, 2003 and 2005 for two different companies. Fund raising (as is much of life) is a sale – pure and simple. As with any sales campaign you need to: Qualify your buyers early so you focus your scarce resources on people likely to buy your product. .

Developer 366

Developer Silicon Valley PR Las Vegas 366

Both Sides of the Table

MAY 25, 2013

After all, I am no stranger to the publicly expressing the frustrations of dealing with the downside of this industry as I wrote about in 2006 when I was an entrepreneur. But as an LP you can’t count on that any more than VCs can. The goal of an LP is to get into the top decile. But VC is like congress. It is changing.

LP 374

LP Later Stage IRR Term Sheet 374

Start Up Blog

APRIL 4, 2011

Sales recorded music sold on a physical transportable device (Tapes, CD’s, LP’s et al) have declined 76.3% since the year 2000. Seems they are closing all the factories down in Allan Town – as 23% have closed down since 2000. Cost of wages in labour intensive industry. Music Stores. in the past 10 years.

LP 118

LP New York Video Developer 118

Altgate

MARCH 8, 2009

I say ecosystem as opposed to industry because it is not just the VC funds themselves that are imploding, instead the collapse includes entrepreneurs and startups that were funded by VCs, angel investors, service providers like lawyers, bankers and accountants as well as limited partner investors in VC funds. But some will be saved.

Later Stage 34

Later Stage Early Stage Venture Capital Portfolio 34