Remove 2005 Remove Equity Remove Finance Remove Revenue
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On Bubbles … And Why We’ll Be Just Fine

Both Sides of the Table

Ah, but today’s Internet companies have real revenue! But this mania to not miss out on the next big thing is driving some investors to pay growth-equity prices for traditional market risk (as in, they’re paying up before it is clear there is product / market fit). Or worse yet they may never get financed.

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Meet Manu Kumar, Chief Firestarter at K9 Ventures

K9 Ventures

Another company which is going to have widespread impact is eShares, eShares is going to change the way the private companies manage their equity. Direct Revenue, meaning no three-way business models and no advertising, media, or content. VN : What do you look for in companies that you put money in? Frighteningly Early.

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The rise of the “successful” unsustainable company

A Smart Bear: Startups and Marketing for Geeks

After I sold Smart Bear, that division has increased revenue and profit every year, for five years, even through the 2008/2009 economic disaster. And the same thing happened after we sold IT WatchDogs in 2005. After all, before the house of cards inevitably tumbles, private equity investors get a tidy return.

IPO 240
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4 Reasons You Might Not Want to Be VC Funded

Up and Running

Venture capitalists essentially buy equity in your brand, which means they now have a say in how you operate. You’ve heard that it’s good to get financing even when times are good because one day you’ll need it, so you consider the offer. If you really want financing, consider taking out a business loan instead.

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Keep It Under Your Hat: Valuation Caps and the $650 Million Sale of MySpace for $125 Million

Gust

Entrepreneurs and investors who have spent any time dealing with convertible debt seed financing transactions are likely to have encountered the subject of valuation caps. The cap is irrelevant if the next equity financing is at a valuation below the cap amount.) Read on for a fuller explanation.

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@altgate » Blog Archive » Outsourcing For Startups

Altgate

But did you know that founder Markus Frind has just 3 employees for his $10MM+ revenue business? For example, you can barter for a service or you can negotiate payment terms or even equity for service. Unfortunately they will be very expensive (30-50% or more of gross revenue). He basically outsources everything. PR/Marketing.

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Want to Raise Venture Capital More Easily? Clean Up Your Own Shite First

Both Sides of the Table

Many companies that are raising B or C venture capital rounds right now raised their initial money in 2005-2008. If you want to raise venture capital more easily the advice could be quite practical and counter-intuitive. It is 2010. That means that they likely raised money at a particularly high price relative to 2010 prices. Time suck.