article thumbnail

Playing the Long Game in Venture Capital

Both Sides of the Table

It has historically been the case that VCs would rather fund the promise of 100x in a company with almost no revenue than the reality of a company growing at 50% but doing $20+ million in sales. This “overnight success” was first financed in 2004. Interim liquidity plus long-term capital gains work really, really well.

article thumbnail

The Venture Capital Secret: 3 Out of 4 Start-Ups Fail

online.wsj.com

SIGNIFICANCE PROMINENT. --> The Venture Capital Secret: 3 Out of 4 Start-Ups Fail. An entrepreneur with a hot technology and venture-capital funding becomes a billionaire in his 20s. The National Venture Capital Association estimates that 25% to 30% of venture-backed businesses fail. NAME David Cowan.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Can You Trust Any vc's Under 40?

Steve Blank

Over the same 30 years, Venture Capital firms have honed their skills and strategies to match Wall Streets needs to achieve liquidity for their portfolio companies. One of the biggest mistakes entrepreneurs make is misunderstanding the role of venture capital investors. What Do VC’s Do?

article thumbnail

The Long-Term Value of Loyalty

Both Sides of the Table

My company had raised venture capital in April 2001 but we were told that there may never be any more coming. I was paid less in salary in 2004 than I was paid at the job I quit in 1999 (a job I had held 8+ years). But in our first year of sales (and those were really shitty years to be selling software) we sold $2.1

article thumbnail

Congratulations to Upwork

A Crowded Space

I remember when I made that first flight out to San Francisco from Boston to meet the team in 2004, the company was down to its last $20K in the bank. Very shortly after I joined, Greg Gretsch (now my partner at Jackson Square Ventures) co-led oDesk’s Series A along with Venky Ganesan (partner at Menlo Ventures and lead investor in Rev.com).

article thumbnail

Hear how the Lean Startup began — and helped one company find success: Episode 2 on Sirius XM Channel 111: Eric Ries and Jon Sebastiani

Steve Blank

Named one of BusinessWeek’s Best Young Entrepreneurs of Tech, Eric served as a venture advisor at Kleiner Perkins Caufield & Byers before moving on to advise startups and venture capital firms independently. He was named entrepreneur-in-residence at Harvard Business School in 2010 and is currently an IDEO Fellow.

Lean 120
article thumbnail

Customer Development in Japan: a History Lesson

Steve Blank

The book has been shepherded and edited by a great Japanese VC at Mitsui Sumitomo Insurance Venture Capital, Takashi Tsutsumi, with help from Masato Iino. After many sales calls, early prospects showed little rush to buy it! The Japanese edition of The Startup Owner’s Manual hit the bookstores in Japan this week.

Japan 296