Both Sides of the Table

SEPTEMBER 6, 2010

Options are gravy - I lived through the first dot com era where we used stock options as a recruiting tool. I freely admit this (along with nearly everything between 1999-2000) was a mistake. We give out stock options. But I thought I should do a quick post on the topic. I hope they’re worth money to you some day.

Stock Options 294

Stock Options Stock Valuation Liquidation Preference 294

Steve Blank

JULY 15, 2010

The Golden Age for Entrepreneurs and VC’s. 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. During the decade between 1991 and 2000, nearly 2000 venture backed companies went public.

Venture Capital 297

Venture Capital IPO Liquidity Event Entrepreneur 297

Version One Ventures

OCTOBER 15, 2020

Up until late August, Lightning Labs had capped the channel capacity and payment size for users of their popular implementation of the network to ~$2000 USD and ~$500 respectively to better protect user funds with experimental software. . synthetic stocks or futures) and prediction markets.

Networking 168

Networking Global OTC Security 168

Up and Running

AUGUST 18, 2014

You’ll be entirely responsible for the future of your company and it will be down to you whether or not you run it for the rest of your life or decide to sell, merge or launch it on the stock market. Ever heard of the serial entrepreneur? Is a startup business right for you? You like working hard then moving on.

Small Business 154

Small Business Exit Strategy Cofounder Angel Investor 154

Both Sides of the Table

JUNE 22, 2011

This was an audience of mostly first-time entrepreneurs. It is great for entrepreneurs and great for VCs. So here is what I have been telling entrepreneurs privately for the past 6 months. What a bubble means for each entrepreneur. Still, market amnesia by ordinarily rational actors always surprises me. I believe that.

Saudi Arabia 309

Saudi Arabia Valuation IPO Technical Review 309

Feld Thoughts

AUGUST 5, 2011

I’m procrastinating so I thought I’d write one of my periodic public service announcement for entrepreneurs. This one is more specific than “ignore the macro economy&# – instead, it’s “ignore the Dow and the stock market and get back to work on your business.&#. Down – cranky.

Stock 155

Stock Entrepreneur Chicago Finance 155

Both Sides of the Table

FEBRUARY 27, 2011

Babak Nivi is one of the most understated, helpful & important people on the entrepreneur / startup scene in NorCal. What he (along with Naval) started with AngelList is also a very important transformation to the communications between first-time entrepreneurs & angels. But it +is+ an anti-entrepreneur stance.&#

Southern California 267

Southern California Angel Investor Early Stage Silicon Valley 267

Agile VC

OCTOBER 23, 2012

And even if they wanted the index return, there is essentially no way to buy (or sell) a broad-based basket of VC funds in the way you can trade the S&P 500 or Russell 2000 or other public equity index. LPs investing in venture hold a subset of all the funds in the VC universe by design (see #4 & 5).

LP 176

LP Accredited Investor Carried Interest Portfolio 176

ReadWriteStart

JUNE 2, 2011

Judy Estrin is a serial entrepreneur, having started seven tech companies since 1981. She was the former CTO of Cisco Systems from 1998-2000, and is on the boards of Disney and Packet Design and was a board member at Sun and FedEx for many years. She took it public and then eventually merged the company with 3Com.

CTO Hire 118

CTO Hire Startup Algorithm Leadership 118

Austin Startup

DECEMBER 17, 2017

I recall that MSA’s stock increased 5X or thereabouts after our deal, which by no means implies that Peachtree deserved sole credit for all that. I know many entrepreneurs who have cashed in big but aren’t showing any signs of slowing down. We just closed out in 2017 our 10-year early-stage venture fund started in 2000.

Silicon Valley 48

Silicon Valley Atlanta Software Review Early Stage 48

Both Sides of the Table

JULY 27, 2014

Mark pointed out that on the one hand 6 months ago one of Silicon Valley’s best known ibankers told him that SaaS public valuations were the most over-valued since the dot com bubble in 2000. While this is temporarily a good thing for entrepreneurs it will turn sour when we go through the next inevitable downturn.

Valuation 309

Valuation Pre-Money Valuation Later Stage Non-Compete 309

Steve Blank

MARCH 31, 2014

I’m honored to be at a university noted for knowledge, and in a city with 2000 years of history – home of Gaudí one of the 20 th century’s greatest innovators. I like the guy because he’s credited with coining the word entrepreneur. The stock market clearly values companies that can deliver disruptive innovation.

Private Equity 325

Private Equity Metrics China Intellectual Property 325

Steve Blank

OCTOBER 24, 2016

After running Microsoft for 25 years, Bill Gates handed the reins of CEO to Steve Ballmer in January 2000. They remain entrepreneurs. Microsoft entered the 21st century as the dominant software provider for anyone who interacted with a computing device. 16 years later it’s just another software company.

Azure 120

Azure Business Model Cloud Artificial Inteligence 120

Steve Blank

OCTOBER 24, 2016

After running Microsoft for 25 years, Bill Gates handed the reins of CEO to Steve Ballmer in January 2000. They remain entrepreneurs. . Microsoft entered the 21st century as the dominant software provider for anyone who interacted with a computing device. 16 years later it’s just another software company.

Azure 120

Azure Business Model Cloud Artificial Inteligence 120

Startup Professionals Musings

JUNE 6, 2014

With the recent apparent successes of several startups in taking their company public (initial public offering) and raising billions of dollars, I’m hearing a groundswell of enthusiasm from new entrepreneurs to follow in their footsteps to fund their companies and become billionaires overnight. Analysts want escalating profits.

IPO 236

IPO Initial Public Offering Startup Small Business Administration 236

www.inc.com

SEPTEMBER 24, 2011

Entrepreneur news from reporter Eric Markowitz. Why Arizona Bay started taking stock from its customers instead of cash. Jumpstart was one of Grahams first clients; it signed on shortly after he founded Arizona Bay, in 2000. In the 1990s, Graham was one of those entrepreneurs giving away equity in exchange for crucial services.

Arizona 40

Arizona Equity Iowa Venture Capital 40

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. But any entrepreneurs raising capital should keep in mind that this opening of the markets could possibly be temporary. The best MBA class I took was an investment strategy class. VC’s are not immune to this phenomenon.

Burn Rate 263

Burn Rate Valuation Pre-Money Valuation Private Equity 263

Feld Thoughts

SEPTEMBER 24, 2017

We now have at least one generation of VCs and entrepreneurs who didn’t experience the collapse of the Internet bubble. Sometime in the spring of 2000, all of them hit their peak stock price. By mid-2001 I think all of these stocks were sub-$1 sotcks and – if they weren’t – they would be soon.

Internet 129

Internet Cofounder Stock Entrepreneur 129

www.inc.com

SEPTEMBER 24, 2011

Entrepreneur news from reporter Eric Markowitz. Before Roving Software could receive its first round of financing from professional investors, in early 1999, he had to put all the stock arrangements in writing. Any stock grants you issue have to qualify for exemption under state and federal securities laws. Finance | Tuesdays.

Fractional CTO 40

Fractional CTO Equity Iowa Technical Cofounder 40

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. VC’s worked with entrepreneurs to build profitable and scalable businesses, with increasing revenue and consistent profitability – quarter after quarter.

Internet 334

Internet IPO Silicon Valley Agile 334

Both Sides of the Table

MAY 23, 2012

There are obvious reasons the industry has had less-than-desirable returns, including: massive over-funding of the sector, huge increases in inexperienced venture capitalists that took a decade to peter out, and the massive correction in the value of the public stock markets that closed many exit opportunities for half a decade.

Venture Capital 347

Venture Capital Technical Review LP Mobile 347

Agile VC

MAY 26, 2011

Silicon Valley is still emerging from the tech bubble and massive downturn of late 2000-2002. I also joke with Reid Hoffman that this was back in the days before he was “Reid” Reid’s an incredible entrepreneur, startup investor, and human being. Im a former Silicon Valley entrepreneur turned East Coast VC.

Term Sheet 178

Term Sheet Silicon Valley Technical Review Social Network 178

The Startup Magazine

DECEMBER 19, 2018

In 2000, Louisiana gave our five-person company (at that time) a multimillion-dollar contract to implement a mission-critical system. Going back to your early career decisions, tell us what factors influenced your decision to be an entrepreneur? . In fact, one of my earliest jobs was rounding up all types of animals to stock the park.

Louisiana 114

Louisiana Founder Virgin Islands South Africa 114

Berkonomics

JULY 8, 2021

It was an Internet CEO roundtable in early 2000 (almost a year before the crash of the stock market) where it became obvious before the public was aware, that the bubble was just beginning to burst for such tech businesses. And sometimes we watch companies grow dramatically from a front row seat.

Initial Public Offering 62

Initial Public Offering Angel Investor Stock Email 62

A Smart Bear: Startups and Marketing for Geeks

OCTOBER 23, 2012

Witness, for example, this terrific Fast Company article on Bill Nguyen , serial entrepreneur who’s seventh startup “Color” famously raised $41m for a new mobile app before it even launched. invested, IPO’ed in 2000 for $32/share — stock price now $2. Which explains why their stock price is at $2.43

IPO 240

IPO Flash Bootstrapping Private Equity 240

Pascal's View

AUGUST 12, 2009

In Silicon Valley, Boston, Austin, and other innovation centers across the country, entrepreneurs and their backers (who are not limited to venture capitalists) are all keenly aware that Washington’s addiction to enacting hasty, one-size-fits–all financial regulation will continue to have far-reaching unintended negative consequences for the U.S.

IPO 28

IPO Silicon Valley Merger Sweat Equity 28

The Equity Kicker

AUGUST 25, 2015

On the one hand you have the ‘entrepreneurs should just do their thing and not pay attention to the markets’ folk and then on the other hand there are plenty of observers saying that a bubble has burst. I saw that in 2000 and then again in 2008. There’s a lot of contradictory advice out there at the moment.

Valuation 60

Valuation Startup Stock Portfolio 60

Duct Tape Marketing

JULY 13, 2022

Mike is the author of ‘Get Different’, ‘Fix This Next’, ‘Clockwork’, ‘Profit First’, ‘The Pumpkin Plan’ and ‘The Toilet Paper Entrepreneur’ His books have been translated into 10 languages. First, the pumpkin plan and the toilet paper entrepreneur.

Employee 91

Employee Design Networking Differentiation 91

Berkonomics

SEPTEMBER 18, 2014

Green Dot Corporation was formed by an entrepreneur in the year 2000 to create a product to permit those without credit cards to purchase items on the Internet. And we who held early stock celebrated together the ringing of the NYSE opening bell the day that often pivoting company went public.

Green 70

Green Stock Internet Web 70

Feld Thoughts

MAY 16, 2013

As I’m coming out of my depression, I’ve been reflecting on the hundreds of emails I’ve gotten from entrepreneurs, investors, friends, and people I don’t know talking about their own struggles with depression. We also take stock on what we really care about. I’ve had highs and lows through that process.

Lean 146

Lean Stock Portfolio Email 146

Berkonomics

SEPTEMBER 27, 2018

Offering to reincorporate the game company as a new entity to avoid any more surprises, the entrepreneur and I negotiated 10% for my $100 thousand, with the remaining 90% for the founder. We now jump forward to February 2000, 14 months after formation of the company. Our entrepreneur balked at the boldness of that statement.

Pre-Money Valuation 48

Pre-Money Valuation Sales Liquidity Event Valuation 48

YoungUpstarts

AUGUST 18, 2015

Netflix shares have doubled this year, culminating with a 7 for 1 stock split yesterday. In 2000, three years after Netflix launched DVD rental services, Netflix used customer data and ratings from their movie recommendation system to predict content choices for all Netflix members. Netflix focuses on customer experience metrics.

Metadata 100

Metadata Portugal Metrics Spain 100

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. In 2000 our industry had more than $100 billion in LP money. The best VCs don’t try to help entrepreneurs. Get to the entrepreneurs earlier next time.

LP 374

LP Later Stage IRR Term Sheet 374

Feld Thoughts

FEBRUARY 9, 2016

Once again, as we find ourselves in the middle of a significant public market correction, especially around technology stocks, there’s an enormous amount of noise in the system, as there always is. And, rather than rational and helpful thoughts for entrepreneurs, it often brings out the schadenfreude in even the most talented people.

Cap Table 70

Cap Table Down Round Liquidation Preference Founder 70

Growthink Blog

OCTOBER 13, 2011

Well, the study estimated that 26,300 entrepreneurs received angel funding during the first half of 2011. 124,900 angel investors wrote checks to entrepreneurs like you over the past six months. the amount of funding received by the average entrepreneur raising angel funding in the first half of 2011), was $338,400.

Angel Investor 91

Angel Investor New Hampshire Stock United States 91

Growthink Blog

FEBRUARY 25, 2013

So much of the challenge that both entrepreneurs and investors face in earning return on time and capital is driven by the low growth rate of the economy as a whole. annually for the period 1982-1999, has since 2000 slowed to a mere 1.8%. Not coincidentally, in that same period stock market returns have declined dramatically.

South Korea 87

South Korea Brazil Mexico India 87

Austin Startup

AUGUST 20, 2017

Between day one and your first confrontations with those issues, particularly if you’ve raised any outside capital, you will have formed a board and stocked it with people you can really get to work on your behalf. Keep a close eye on your competitors but also on your peer entrepreneurs in your town; they provide the context relevant to you.

Technical Review 48

Technical Review Software Review Cap Table Securities and Exchange Commission 48