Steve Blank

FEBRUARY 22, 2010

One of the ways our VC’s kept track of our progress was by taking a monthly look at three financial documents: Income Statement, Balance Sheet and Cash Flow Statement. To be clear – Income Statements, Balance Sheets and Cash Flow Statements are really important at two points in your startup. Customer Acquisition.

Balance Sheet 298

Balance Sheet Startup Burn Rate Metrics 298

David Teten

DECEMBER 16, 2015

Customer Acquisition Cost (CAC). Sales Pipeline. Conversion to Sales %. Steve Cody, CEO of The Better Software Company* observed, “To drive the growth numbers that we need and reinforce our culture, we keep our key sales metrics up on three live monitors in the office. Users/Customers. Customer Lifetime Value (CLTV).

Metrics 60

Metrics Analytics Balance Sheet .Net 60

Up and Running

MARCH 9, 2022

Everyday business events such as expansion projects, acquisitions, low cash on hand, increased fixed expenses, increased borrowing, and even an increase in sales can be signs that it’s time to reevaluate your business risk. Contribution margin ratio = contribution margin / sales.

Equity 136

Equity .Net Balance Sheet Operations 136

A Smart Bear: Startups and Marketing for Geeks

MARCH 21, 2017

In terms of acquisition, they ask more specifically: “How can we trade balance sheet assets (cash, equity) in exchange for executing our strategy better?”. Even if this costs more than 2 years of in-house assembly, it’s still worth it, due to accelerating revenue growth due to up-sales and market-differentiation.

Balance Sheet 242

Balance Sheet Vertical Acquisition Revenue 242

YoungUpstarts

MAY 23, 2017

Then design, propose and get concurrence on the specific ways you will deliver their personal win and fulfill the hidden and unique motivations that are often not found on contracts, income statements and balance sheets. Demonstrate Your Reliability. Be unreasonably accountable when the unexpected happens.

Balance Sheet 145

Balance Sheet Seattle Retention LLC 145

Both Sides of the Table

APRIL 14, 2012

“it’s smart to use an impending investment valuation to drive a higher acquisition valuation” I would like to amend her statement slightly to read, “it’s smart to use an impending investment valuation to drive an higher acquisition.” Just checked their balance sheet. Christin goes on.

Valuation 316

Valuation Balance Sheet Dilution Term Sheet 316

Steve Blank

APRIL 8, 2010

They collected information that justified their assumptions about the problem, opportunity, market size, their solution and competitors and the their team, They rolled up a 5-year sales forecast with assumptions about their revenue model, pricing, sales, marketing, customer acquisition cost, etc.

Business Model 328

Business Model Business Plan Customer Cap Table 328

The Startup Magazine

SEPTEMBER 10, 2019

This is a classic example of Goodwill: Trello’s accounting statement doesn’t justify their $425 million acquisition, but its strong user community and reputation does. From this, founders can learn that Goodwill impacts acquisition pricing in conjunction with current revenue rates and profits. Alpha generation.

Founder 118

Founder Valuation Dividend Startup 118

Both Sides of the Table

JULY 1, 2015

“the ecommerce company gained fauxmentum by raising artificially high amounts of venture capital and spent lavishly on customer acquisition despite long payback periods and questionable LTV” __. I’m not saying don’t hire sales staff or market your products aggressively. __. faux·men·tum.

Balance Sheet 150

Balance Sheet eCommerce Venture Capital Acquisition 150

Steve Blank

MARCH 4, 2014

(A consequence of using these corporate finance metrics like RONA and IRR is that it ‘s a lot easier to get these numbers to look great by 1) outsourcing everything, 2) getting assets off the balance sheet and 3) only investing in things that pay off fast. Corporate KPI’s, Policy and Procedures: Innovation Killers.

IRR 335

IRR Startup Business Model Agile 335

Both Sides of the Table

JUNE 17, 2017

The most obvious way to explain this is with sales people. If you hire 6 senior sales reps in January at $120,000 / year salary then you’ve taken on an extra $60,000 per month in costs yet these sales people might not close new business 6 months. COGS” represents the amount that each sale costs you.

Stock Options 227

Stock Options Startup Dilution Venture Capital 227

A Smart Bear: Startups and Marketing for Geeks

FEBRUARY 11, 2014

If you like this, go see his Shockwave Innovations blog ) Anyone that has taken an accounting class or learned basic business financials knows the interaction between key elements of a P&L (revenue, cost, expense) and a balance sheet (assets, liabilities, equity). Now let’s cover those nuances I mentioned.

Churn Rate 288

Churn Rate .Net Metrics Hosting 288

Growthink Blog

MAY 30, 2018

Here, a great (and for most mature small businesses, under-utilized) solution is to “strengthen the balance sheet” through an outside capital raise. Then, when deal opportunities present themselves - like strategic partnerships, new hires, marketing campaigns, growth-by-acquisitions, etc.

Balance Sheet 48

Balance Sheet Artificial Inteligence Business Model Acquisition 48

Up and Running

JULY 22, 2014

Balance sheet. Sales forecast. Major corporations use pro forma statements to illustrate projected numbers, like in the case of a merger or acquisition, or to emphasize certain current figures. A typical profit and loss statement should include: your revenue (also called sales), followed by. Cash flow statement.

Balance Sheet 148

Balance Sheet Forecast Equity .Net 148

Up and Running

FEBRUARY 8, 2016

Here’s what they discovered: They found firms that quickly institute formal mechanisms such as operation budgets, cash budgets, and financial monitoring systems (tools that measure profitability, customer acquisition costs, variance from actual budget, and so forth) had higher growth rates in terms of revenues and headcount.

Entrepreneur 60

Entrepreneur Software Review Balance Sheet Partner 60

View from Seed

JUNE 13, 2019

Chewy sells tens of thousands of products from many 3rd party brands, as well as its own private label brands (though latter remains <10% of sales). I know some of the investors in Chewy prior to the PetSmart acquisition, but I am not a shareholder nor do I intend to purchase shares in the IPO. Annual Net Sales By Customer Cohort.

Leadership 214

Leadership .Net Revenue Acquisition 214

Growthink Blog

MARCH 21, 2018

“About faces” on decisions that don’t yield immediate results, new marketing and sales campaigns especially. With your balance sheet? Perhaps worst of all decisions not made because of binary thinking , that debilitating fallacy that we are faced with only one right choice. With your marketing? With your culture?

Balance Sheet 48

Balance Sheet Acquisition Hosting Campaign 48

Berkonomics

APRIL 4, 2019

Shareholders may vote on other issues during the year by written consent, including acquisitions, stock issuance, changes to the articles of incorporation and bylaws, and more. The answer is that the minimum requirement is to provide an income statement and balance sheet to all shareholders annually. But don’t worry.

Stock Options 48

Stock Options Balance Sheet Stock Common Stock 48

Feld Thoughts

FEBRUARY 18, 2015

I thought it was a great description and encourage every entrepreneur who has never been through the sale of a company to read it. We always had very clean financials because we took it seriously so he quickly sized up our income statement and balance sheet. Entrepreneurship feld technologies m&a sale'

Balance Sheet 70

Balance Sheet NDA Boston Stock 70

Steve Blank

MAY 29, 2019

Other classes were on how to prep for VC pitches or develop the five year income statements, balance sheets and cash flows or read case studies. The hard part in a company is not getting a demo or setting up an internal accelerator, it’s getting something delivered all the way through your existing sales channel.

Incubator 331

Incubator Lean Programming Government 331

Occam's Razor

MAY 2, 2017

#tearsofpain One way of removing silos and focusing on the entire business is to leverage Acquisition, Behavior and Outcome metrics. A small change I’ll make in this post is that when I recommend the metrics, I’ll follow the Outcomes | Behavior | Acquisition structure throughout this post. B2B / Enterprise Sales: Salesforce.

Metrics 141

Metrics Acquisition eCommerce Analytics 141

Berkonomics

APRIL 14, 2012

Shareholders may vote on other issues during the year by written consent, including acquisitions, stock issuances, changes to the articles of incorporation and bylaws, and more. The answer is that the minimum requirement is to provide an income statement and balance sheet to all shareholders annually.

Stock Options 81

Stock Options Balance Sheet Stock Common Stock 81

Up and Running

JULY 20, 2015

Most transactions relating to the sale or purchase of property, equipment, or other non-current assets are included in your investing activities, as are any expenses tied up in mergers or acquisitions. Next, you need to consider your gains and losses on any sales of assets made during the pertinent reporting interval.

Dividend 60

Dividend Balance Sheet .Net Merger 60

Agile VC

JUNE 13, 2019

Chewy sells tens of thousands of products from many 3rd party brands, as well as its own private label brands (though latter remains <10% of sales). I know some of the investors in Chewy prior to the PetSmart acquisition, but I am not a shareholder nor do I intend to purchase shares in the IPO. Annual Net Sales By Customer Cohort.

Leadership 100

Leadership .Net Revenue Acquisition 100

Both Sides of the Table

SEPTEMBER 8, 2009

I do find it strange that the most valuable skill for any employee in any company isn’t emphasized AT ALL in my experience: sales. Sales is the lifeblood of every organization. It fuels our bonus payments, our quarterly earnings, our growth rate, our value at acquisition time. It’s how we move products.

NPV 337

NPV Chicago Balance Sheet Database 337

Seeing Both Sides

NOVEMBER 26, 2012

If you have a stronger balance sheet than your competition, you can push off monetization decisions and focus on product-market fit. If you have a larger cash horde than your competition, you can make aggressive hires, attract better talent, perhaps even make acquisitions.

Balance Sheet 42

Balance Sheet Entrepreneur Dilution Portfolio 42

Up and Running

NOVEMBER 12, 2018

Marketing and sales plan. The target market section of your subscription box business plan identifies which subset of people you will focus your marketing and sales plan on. Creating a buyer persona puts you in the customer’s shoes to guide marketing and sales decisions. Marketing and sales plan. Operations.

Business Plan 63

Business Plan Curation Balance Sheet Intellectual Property 63

VC Cafe

JANUARY 22, 2021

Amazon Corporate Development – Notable acquisitions include Whole Foods ($13.7B), smart doorbell system Ring ($1.2B, 2018) and autonomous mobility technology Zoox ($1.2bn). The company also occasionally invests in startups out of the balance sheet (i.e. The majority of that work is led by the Amazon Corp Dev team.

Technical Review 174

Technical Review Startup Venture Capital Incubator 174

Up and Running

JUNE 25, 2014

You may be a manufacturer or a distributor and you can buy the products that you sell for pennies on the dollar because one of your suppliers is having a fire sale. It’s automatically taken out of your account either a percentage of your sales or a fixed amount. No minimum sales from the sales standpoint.

Small Business 89

Small Business SBA Finance Bankruptcy 89

Duct Tape Marketing

NOVEMBER 10, 2015

Newer tools like Xero and Freshbooks are more “real world” friendly and produce reports that can help you guide your business in ways that balance sheets never will. (I’ve Sales – This isn’t very telling on it’s own, but you certainly need to know if sales are up or down.

Metrics 28

Metrics Small Business Analytics SEM 28

Up and Running

OCTOBER 3, 2018

Tailor your marketing and sales plan to attract more people like your ideal customer. Components of this section include: Your marketing and sales plan. Marketing and sales plan. In your marketing and sales plan , you’ll say more about how you’ll appeal to the market in your area. Number of visits per sale.

El Paso 61

El Paso Business Plan Technical Review Forecast 61

Duct Tape Marketing

NOVEMBER 20, 2019

He is the founder of Peterson Acquisitions and the author of Swinging Doors: A Guide to Selling Your Company. I’m sure a lot of people that you… business owners… I mean, is it just the balance sheet, the P&L, the tax returns? This is John Jantsch. And my guest today is Chad Peterson. That makes sense.

Chad 46

Chad SBA Kansas City Australia 46

BeyondVC

DECEMBER 23, 2003

The ultimate way to create value is to have a real business with real cash flow and a strong balance sheet where you can show your potential acquirer that you do not need any other sources of funding besides self-sustaining growth. What we will not do is invest for the sole purpose of having a company acquired.

Exit Strategy 68

Exit Strategy Balance Sheet IPO Valuation 68

Up and Running

APRIL 8, 2019

Perhaps you’re preparing for retirement or for a transition to a new owner —whether it involves a single private owner or a sale to employees. A new owner is likely to face the same market environment that you do, and add-backs like this can become a point of contention that ultimately derails acquisitions. But is this realistic?

Valuation 92

Valuation Small Business CPA Balance Sheet 92

Up and Running

MARCH 11, 2015

You should have a good solid executive summary, you should have full financials, and that means a projected balance sheet, P&L and cash flow. That moves into the customer acquisition strategy. This includes again another acronym I’m going to share, CAC, the cost to acquire a customer, the customer acquisition cost.

Technical Review 60

Technical Review Software Review Due Diligence Exit Strategy 60

Software By Rob

NOVEMBER 18, 2008

It may wind up for sale on SitePoint , or it may be relegated to the bone yard of failed software products. It’s a recurring revenue stream that can grow far beyond what you would make as a consultant, all the while creating balance sheet value meaning one day you can sell it for stacks of proverbial cash and retire.

Software Review 42

Software Review Software Product Salary 42

VC Cafe

JULY 4, 2011

. “The affirmation reflects the resumption of the downward trend in public deficits and debt, the robust outlook for Israeli growth, and a strengthening in the sovereign’s external balance sheet,&# said Purvi Harlalka, director at Fitch’s Middle East and Africa Sovereign Ratings Group. for about $418 million.

Balance Sheet 90

Balance Sheet Acquisition Africa 90