2001 Cost Down Round Marketing 
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). As a result I had to do a down round. Down rounds are psychologically really difficult on companies and can make it harder to do later rounds. Do it early.
Both Sides of the Table
JUNE 22, 2011
They have seen one side of a market where many of us have seen the ebb and flow multiple times. Still, market amnesia by ordinarily rational actors always surprises me. I believe a bubble occurs when a market is willing to pay greater than intrinsic value for an asset class. I spoke about a lot of things during the keynote.
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Both Sides of the Table
SEPTEMBER 18, 2014
You’ll find out the minimum when the next round is raised. Me: There is no rational explanation for valuations of A round companies by ANY objective financial measure. It’s simply what a market is willing to pay based on a future belief that your company will grow and non-linear rates and be worth much more in the future.
Both Sides of the Table
SEPTEMBER 27, 2010
We need venture debt, factoring companies and public markets. My wife worked at Google so while we had good income in Silicon Valley it’s hardly the life of luxury given the costs of housing. There is no way for people to keep prices down – it’s a competitive market. We all know that. VC is different.
Gust
SEPTEMBER 17, 2014
You’ll find out the minimum when the next round is raised. Me: Raising convertible notes as a seed round is one of the biggest disservices our industry has done to entrepreneurs since 2001-2003 when there were “full ratchets” and “multiple liquidation preferences” – the most hostile terms anybody found in term sheets 10 years ago.
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