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Working Capital vs. Cash Flow: The Differences and How to Better Manage Them

Up and Running

On the other hand, if you receive a payment of $2000, that’s considered income or revenue, you’ll generate positive cash flow that can be reinvested in other areas. . As more people went out and bought cars and chips became harder to procure, manufacturers had to account for supply chain issues and resulting sales losses.

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What’s Really Going on in the VC Industry? What Does it Mean for Startups?

Both Sides of the Table

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. What accelerated this was the collapse of the public stock markets. The top quartile funds have performed well.

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Why Startups Should Raise Money at the Top End of Normal

Both Sides of the Table

On a public stock market that is the value that investors place on future free cash flows of the business discounted to today’s date to account for the time value of money. The price of public stocks change instantly in reaction to news that is perceived to affect the future value of that company. It was early 2000.

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Can You Trust Any vc's Under 40?

Steve Blank

Posted on September 14, 2009 by steveblank Over the last 30 years Wall Street’s appetite for technology stocks have changed radically – swinging between unbridled enthusiasm to believing they’re all toxic. Your firm worked with an investment banking firm that underwrote and offered stock (typically on the NASDAQ exchange) to the public.

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How to Discuss Stock Options with Your Team

Both Sides of the Table

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. If Ventro was worth $8 billion on $2 million of sales surely a paltry $1 billion would suffice. We give out stock options.

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The Virus Survival Strategy For Your Startup

Steve Blank

To answer the first question, take stock of your current gross burn rate i.e. how much cash are you spending each month. All your assumptions about customers, sales cycle and most importantly, revenue, burn rate and runway are no longer true. If you are selling to businesses (a B-to-B market) have your customers’ sales dropped?

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Investment vs. Speculation

Feld Thoughts

” As someone who has held private company stock in companies for longer than 20 years, been in many situations where there were no exit opportunities until suddenly there was an exit, I understand and am completely comfortable will illiquidity. I put a bunch of Exodus stock I’d gotten from the sale of a company into the fund.

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