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. The company had a huge burn rate but investors and management brought that under control by late 2008. VC’s fund their salaries and operations through management fees, which typically equal 2% per year.

Burn Rate 263

Burn Rate Valuation Pre-Money Valuation Private Equity 263

Both Sides of the Table

OCTOBER 19, 2009

I had previously raised VC in 1999, 2000, 2001 and 2005. The managing partner of the firm called me the next day. we had about 25 firms contacting us – more than I could manage. Experienced and serial entrepreneurs in the content management space. At the end of this post I’ll tell you what he said.

Venture Capital 274

Venture Capital Term Sheet San Diego Viral 274

YoungUpstarts

JANUARY 23, 2018

Some companies do it because they’re afraid that making a change will disrupt the flow of business, others don’t want to retrain everyone and a few tell themselves that physical documents are more secure than an online document management system. The Security of a Cloud-Based Document Management System.

Security 145

Security Cloud Networking Employee 145

Babbling VC

AUGUST 10, 2011

OK, hands up, who's truly surprised by the drop in the stock markets or the postponed tech IPO's or even the upcoming slowdown in venture financing? I am seriously babbling like everyone else did in 2001, 2008 and now again in 2011. This is where leadership truly comes into play and you as management have to keep your game-face on. .

Germany 76

Germany Stock IPO Valuation 76

The Startup Magazine

NOVEMBER 13, 2018

Belnick founded BizChair.com with $500 in 2001. Millennium Management and Balyasny Asset Management were his employers at some point. This year, Goldman Sachs agreed to give his company $250 million in investments to manage. What have entrepreneurs been up to since then? Source: Pexels. Sean Belnick. Ryan Williams.

Cofounder 142

Cofounder Venture Capital India Valuation 142

K9 Ventures

SEPTEMBER 8, 2015

Another company which is going to have widespread impact is eShares, eShares is going to change the way the private companies manage their equity. In late 2000, early 2001 I started my second company to test whether I can build a successful company again. VN : What do you look for in companies that you put money in?

San Francisco 48

San Francisco Early Stage Portfolio Software Engineering 48

Feld Thoughts

JULY 9, 2013

I’ve worked with Matt since 2001 when I joined Fred Wilson and Greg Sands on the board of Return Path. They decided they wanted to join forces, Fred and I cut a deal over the phone in 5 minutes , and Greg Sands (at Sutter Hill at the time) led a financing round that set a price for the combined company. Part III: Execution.

Startup 141

Startup Finance Community Founder 141

Scalable Startup

AUGUST 26, 2014

Drupal was launched in 2001, and Acquia started in 2007. Red Hat was one of the first of these types of companies bridging open source with big finance, leveraging Linux support into a profitable business, also leveraging the enterprise. Acquia, Inc. They kind of invented this business model.

Founder 42

Founder Los Angeles PHP Open Source 42

500hats.com

AUGUST 2, 2012

While a flood of new VCs came into existence during the late 90’s internet boom, many had difficulty raising new funds after the crashes of 2000-2001 and 2008 , and as a result significantly fewer fund managers exist now compared to a decade ago. They are operators, through and through.

Silicon Valley 74

Silicon Valley Early Stage Venture Capital Valuation 74

genylabs.typepad.com

SEPTEMBER 24, 2011

I wont bother going into details on start-up financing terms ( see this post for an overview of typical VC terms) except to say if you dont know and understand: the firms cap table and valuation. The best start-up I ever invested in went bankrupt in 2001. management. Not all start-up stock is created equally. Economic Gardening.

Equity 40

Equity Technical Review San Jose Stock 40

Both Sides of the Table

SEPTEMBER 27, 2010

You have an open source stack, cloud services for storage, processing & management and APIs for just about anything you want. These days that’s not the case and it’s a great outcome for entrepreneurs and for innovation. .&# Either you’re an angel or you manage professional funds. We all know that.

Liquidity Event 308

Liquidity Event Silicon Valley Seed Stage Finance 308

Startup Lessons Learned

MAY 1, 2018

In 2001, I moved from Citibank to become the CMO of Morgan Stanley’s brokerage business, where I was tasked with modernizing and reviving the brokerage business there. Can you talk about how you went from finance marketing to the kinds of innovation projects GE started taking on eventually, which was when we first got acquainted?

Southern California 123

Southern California North America Finance Lean 123

ReadWriteStart

NOVEMBER 5, 2019

These results were obtained after the following rounds of financing of more than 1000 technology companies in the United States. Only 46% of these companies were able to raise enough for the second round of financing. Where you can turn when you need financing quickly. Data Says Otherwise. Why do so many companies fail?

Venture Capital 77

Venture Capital Cofounder Finance United States 77

Both Sides of the Table

MARCH 11, 2010

But there are also problems / risks: - the funding environment might change dramatically – there may never be a next round (see: March 2000, September 11, 2001 and September 2008). - Let’s assume that the $2 million buys 25% of your company, which is the norm in an equity financing. .&# If it works you’re a hero.

Venture Capital 319

Venture Capital Startup Silicon Valley Warrant 319

finance.fortune.cnn.com

AUGUST 21, 2012

FORTUNE -- Its no secret that venture capitalists were hit hard by last decades dotcom bust, considering that median returns for 1998-2001 vintage funds are all underwater. The information is based on part of a confidential year-end 2011 investment report distributed to investors in a fund-of-funds that made commitments between 1999 and 2001.

Naming 49

Naming Term Sheet Private Equity Equity 49

Steve Blank

SEPTEMBER 14, 2009

My experience of 2001-2004 is very remote from what you are describing. We could for example, find warning signs in popular literature about e.g. finance suggesting rapid maturation in bond trading. The mantra was as follows: “no one is coming to save us, we are going to make it on our own&#. Warning sign? At best. ~

Silicon Valley 217

Silicon Valley IPO Technical Review Venture Capital 217

BeyondVC

AUGUST 9, 2006

Ultimately what will give you the best chance for success is focusing on the things that you can control – building a real business with a real economic model that can generate cash from internal operations vs. through external financing. We’ll manage just fine without the IPO money — thank you.

Technical Review 60

Technical Review IPO SEC Stock 60

Babbling VC

DECEMBER 5, 2010

We often think we can change people, even managers. They kept changing the responsible investment manager for the deal as well hence we never really knew whom to speak to when we needed something. Ultimately, money ran out again and this fund decided not to participate in a further financing round. This cost me money!

Technical Review 76

Technical Review Europe Portfolio Germany 76

rapidrollout.wordpress.com

JANUARY 15, 2011

Preserve your equity by using a consulting CTO to ramp up your company before securing early-stage financing and hiring a permanent technology partner. Though after the dotcom collapse of 2000-2001, there are many more than there were! third party to vet or manage&# your development team. Why are consulting CTOs so scarce?

Fractional CTO 40

Fractional CTO CTO CTO Hire Fractional VPE 40

Ben's Blog

JULY 16, 2013

3/30/2001: 26.3. In fact, if you are like most companies, your managers probably implied to your employees that your stock price would only rise as long as you were private. If your managers intentionally or accidentally lied, then you will need to address that too. Financing capital market down round fundraising outkast'

Down Round 78

Down Round Marketing Preferred Stock Post-Money Valuation 78

Feld Thoughts

APRIL 21, 2016

Bill Gurley wrote an incredible post yesterday titled On the Road to Recap: Why the unicorn financing market just became dangerous … for all involved. In 2001 and 2002 I learned a brutal set of lessons, including experiencing that $100 million of paper money going to $0 when Interliant went bankrupt.

Marketing 70

Marketing Down Round Startup IRR 70

Steve Blank

JANUARY 17, 2016

” This was around 2001. The experience led him to create Worklife and, he said, helped him become a better manager: I’m way more conscious about hiring for values and listening for alignment (with the company’s values). … I was like, “… It’s going to be big. If you can’t hear the clip, click here.

Silicon Valley 120

Silicon Valley North Carolina Cofounder Entrepreneur 120

The Startup Magazine

MARCH 3, 2020

By 2001, he was invested in the stock market and witnessed a unique situation where the stock market was in a tumble and, simultaneously, real estate was going up. When he hired property managers, they ended up taking the majority of his profits. Early Career in Real Estate . When it comes to investing, there’s strength in numbers.

New York City 107

New York City Marketing Technical Review New York 107

ReadWriteStart

APRIL 26, 2012

This from a man who knows from having made bigger investments that are smaller : Duncan Davidson, Managing Director of Menlo Park-based Bullpen Capital. stock market: The change led by NASDAQ in early 2001 to valuing stocks in increments from one-eighth of a dollar down to one cent. Everything's better with the lean model.

IPO 115

IPO Stock San Francisco Lean 115

blog.captainrecruiter.com

MARCH 8, 2012

These professionals can help with anything from finance to marketing, but you wont find any software engineers volunteering their services. About The Captain Recruiter Team Location: Downtown San Francisco 2001 Van Ness Ave Suite 411 San Francisco 94109 +1 415.418.7156 Email Us :). Because software engineers dont work for free.

Cofounder 40

Cofounder Technical Cofounder Founder Software Engineering 40

Eric Friedman

AUGUST 18, 2021

He is also co-founder and Managing Partner of Deciens Capital, an early stage investment fund. As many of your listeners may know, there was an incredible piece published by a gentleman from Founders Fund, discussing Tiger [Global Management] and how they’re focused on the speed and scale business. On Sushi and VC.

Silicon Valley 88

Silicon Valley Venture Capital Cofounder Africa 88

Ben's Blog

JULY 16, 2013

3/30/2001: 26.3 In fact, if you are like most companies, your managers probably implied to your employees that your stock price would only rise as long as you were private. If your managers intentionally or accidentally lied, then you will need to address that too. One would be wrong: 3/31/1995: 21.0 3/29/1996: 22.3

Marketing 46

Marketing Preferred Stock Post-Money Valuation Down Round 46

Startup Company Lawyer

FEBRUARY 21, 2010

For example, if a company has raised $20M in venture financings by issuing non-participating preferred stock , the holders of common stock will not receive any proceeds from an M&A transaction unless the transaction value exceeds $20M. Participation. The company must determine which employees are eligible to participate in the program.

Retention 31

Retention Liquidation Preference Employee Common Stock 31

Professor VC

FEBRUARY 12, 2015

Former students who are readers of this blog may recall the Amazon IPO case from Entrepreneurial Finance class. It''s previous financing round was a little over a year prior to the IPO and was a $8M raise at a $60M pre-money valuation led by John Doerr of Kleiner Perkins. or a market cap of $800M. And this is not it."

Las Vegas 28

Las Vegas IPO Pre-Money Valuation Valuation 28

Both Sides of the Table

DECEMBER 18, 2009

This was soon after the bursting of the dot com bubble – in early 2001. I called the top management team of BuildOnline to get together for an “all hands&# meeting at a nearby pub (we were in England after all) and told them the news. We picked up their management team in Germany for free.

Germany 298

Germany Entrepreneur Merger Los Angeles 298

online.wsj.com

JULY 11, 2012

As a registered user of The Wall Street Journal Online, you will be able to: Setup and manage your portfolio. Receive and manage newsletters. Loading… Personal Finance. Personal Finance. Ritter, a finance professor at University of Floridas business school. Why Register? Personalize your own news page.

Silicon Valley 42

Silicon Valley Founder Software Review Technical Review 42

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. These include building products, recruiting, managing your finances, marketing, selling, getting feedback from customers and … fund raising. People who manage processes make more sales. Test interest.

Developer 366

Developer Silicon Valley PR Las Vegas 366

Professor VC

JANUARY 20, 2009

The latest statistics from VentureSource show 554 financings in Q4, down from 620 in Q3 and 718 in Q4 2007. million for the year, which is the first time it has been below $5 million since 2001, a sign that capital efficiency will be even more important than it has. I also teach Entrepreneurial Finance at San Jose State.

Venture Capital 28

Venture Capital Silicon Valley San Jose Bootstrapping 28

Ben's Blog

MARCH 24, 2011

Similarly, in recent high profile private financing rounds for private technology companies with valuations over $1B, the valuation multiples were at or below corresponding multiples for publicly traded companies such as Google. And hence the great crash of 2000 and 2001. Public market comparables. Much better. It didn’t stop there.

Technical Review 78

Technical Review Venture Capital Valuation Database 78

Startup Lessons Learned

JULY 11, 2019

The first time was just for a couple years, from 2001-2003, before I went to grad school. That meant that if the change was starting on the founders side, then there had to be a change on the financing side. As people work much more remotely and in distributed teams, there's this very unsolved problem around knowledge management.

Founder 68

Founder Lean Venture Capital Cofounder 68

Mike Michalowicz

OCTOBER 19, 2015

An accounting firm based in Santa Monica, CA, specializing in bankruptcy, from 2001 to 2003. Previously, from 1999 to 2001, Seth was a Senior Revenue Accountant for the Veterinary Centers Of America. An accounting firm based in Santa Monica, CA, specializing in bankruptcy, from 2001 to 2003.

Video 60

Video SEC Bankruptcy Wisconsin 60

abovethecrowd.com

FEBRUARY 27, 2019

Founded by Michael Bruno in Paris in 2001, 1stdibs (*) is the world’s largest online marketplace for luxury one-of-a-kind antiques, high-end modern furniture, vintage fashion, jewelry, and fine art. Launched in 2005, Etsy is a leading marketplaces for the exchange of vintage and handmade items. annual GMV.

Internet 88

Internet Matching Vertical Hosting 88