Cracking the Code

FEBRUARY 23, 2011

In comparison, the overall technology sector growth was projected at 9-10% in early 2010 and this forecast did not change significantly today. Detailed SaaS Spreadsheet (Valuation and CAC benchmark). SaaS 13 Index Valuation. Wednesday, February 23, 2011. SaaS Multiples: Recovery or Bubble? My Investments. CornerstoneOnDemand.

Software Review 101

Software Review Technical Review Valuation Europe 101

View from Seed

JANUARY 10, 2022

We’re running our new and improved accelerator program back, we’re doubling our offering and raising the valuation cap (hello $400K) , and we’d love for you and your team to apply. We’re upping our offering from $200K to $400K and raising the valuation cap upon acceptance into the program. Why we started the program in the first place.

San Diego 156

San Diego San Francisco Alabama Valuation 156

David Teten

JANUARY 19, 2021

In all these cases, capital is provided to fuel forecasted growth without creating a commitment to a particular vision for future funding rounds, exit goals, and associated blitzscaling. The value ascribed by subsequent investors (in a secondary); buyers (acquisition); or the public markets (IPO). The State of Flexible VC.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

Cracking the Code

MARCH 12, 2010

So, here is the first edition, including the recent Q4 2009 earnings and the updated 2010 forecast. If we consider that 2009 was probably the worst year in the past 5 years, forecasting the same growth for 2010 is not very encouraging. Detailed SaaS Spreadsheet (Valuation and CAC benchmark). SaaS 13 Index Valuation.

Software Review 63

Software Review Technical Review Cloud Forecast 63

The Equity Kicker

APRIL 11, 2012

I’m just back from a week skiing and visiting relatives and the big news whilst I’ve been away is undoubtedly Facebook’s $1bn acquisition of Instagram. I think that high priced acquisitions of startups are often valued with half an eye to the acquirers share price. I think that is the difference between 1999 and today.

IPO 110

IPO Valuation Forecast Acquisition 110

Startup Professionals Musings

FEBRUARY 13, 2016

Justify funding requirements, use of funds and specify a current valuation estimate. What are your forecasts for revenue, expenses and cash flow? Forecasts are evaluated as a level of commitment and a measure of your business savvy. Quantify founder investments, both cash and sweat-equity.

Sweat Equity 120

Sweat Equity Advisory Board Liquidity Event Startup 120

The Equity Kicker

OCTOBER 10, 2012

HR software business Workday has just upped the proposed share price in its coming IPO to $24-26, taking its valuation over $4bn. That’s 30x this years forecast revenues of $134m. It isn’t just the public markets that love SaaS companies.

Valuation 108

Valuation Acquisition Forecast IPO 108

Startup Professionals Musings

AUGUST 7, 2015

This allows them to calculate burn rates, break-even points and forecast the company valuation over time. Startup investments are extremely risky, primarily because the stock has no value until a future liquidity event, such as an acquisition or public offering. Immediate investment requirements and use of funds.

Product 120

Product Intellectual Property Liquidity Event Burn Rate 120

gigaom.com

JULY 10, 2012

Lingo licenses Watson’s core speech technology for its language servers (though that relationship will likely end after the Nuance acquisition closes), and Research in Motion’s QNX is working with Watson’s API to develop a conceptual connected car assistant. Previous What’s wrong with the tech valuations?

API 50

API Technical Review Artificial Inteligence RSS 50

Tim Keane

MARCH 9, 2011

How to prepare a sales forecast for a business plan » March 09, 2011. Example two:  Explosive market share growth and revenue in an expanding market with acquisitive players available. Example two:  Explosive market share growth and revenue in an expanding market with acquisitive players available.

Finance 83

Finance Bootstrapping Startup Equity 83

Steve Blank

APRIL 1, 2020

Forecasted recovery date. Sales pipeline/forecast. Others are cutting their valuations. How can you shift focus to customer retention versus acquisition? Shelter in place yes/no? Health of Your Current Target Market(s). Actively buying? Not returning calls? Out of business? Emergence of New Market(s). Workers can return.

South Korea 333

South Korea Salary Business Model China 333

Startup Professionals Musings

NOVEMBER 2, 2018

It probably had more to do with the fact that they had doubled their sales annually for several years, and still managed to squeeze out a profit of $11M in their year of acquisition. The best advantage includes intellectual property to provide a barrier to entry or incent acquisition.

Intellectual Property 48

Intellectual Property Initial Public Offering Merger Acquisition 48

ReadWriteStart

MARCH 3, 2011

At this point, Greg is in the process of bringing in two additional investors, and the primary topics of our discussion were valuation and ROI issues around the new investors. Orbiter expects to give its investors a 15 times return on investment based on their current pipeline and revenue forecast. Happy Grasshopper. Social Pulse.

San Jose 115

San Jose Entrepreneur United States Washington 115

Startup Professionals Musings

MARCH 13, 2020

In that context, I offer the following financial projection strategies, from my own experience: Forecast a business that has plenty of room to grow quickly. They prefer a liquidity event such as an IPO or an acquisition by an existing large industry player, with a valuation at that time of five multiples or more of your projected revenues.

Liquidity Event 308

Liquidity Event Forecast Exit Strategy Bootstrapping 308

YoungUpstarts

FEBRUARY 14, 2017

You have lots of sign ups, you’ve smashed your acquisition targets and the first slide of your pitch deck looks great! Managing your cash position when forecasted sales aren’t being achieved is tough, and if you are spending more than you are generating and cash piles are dwindling, now is the time to address your financial position.

Technical Review 157

Technical Review Architecture Revenue Channel 157

Up and Running

OCTOBER 3, 2018

Set a specific time each month to review it , comparing forecasts to actuals and revising as necessary. Others predict Automated Valuation Models will provide more sophisticated revenue and expense information, possibly replacing financial analysts. You can include expanded versions of your sales forecasts and other financials.

El Paso 61

El Paso Business Plan Technical Review Forecast 61

www.currentlyobsessed.com

MAY 28, 2010

Snapvine was my first experience being in the driver’s seat of the fund-raising process, and in the 3 years prior to our acquisition we raised over $10mm in venture capital. Valuation is an important aspect of VC deal terms, and a major determinant of your ultimate outcome. Or is it? That’s a nice way of putting it.

Valuation 42

Valuation Channel Pre-Money Valuation Term Sheet 42

Up and Running

SEPTEMBER 20, 2016

When it comes to customer acquisition, there are many free marketing strategies you can use such as SEO, social media, and email marketing. You’ll get a low valuation. You’re going to find yourself forecasting revenues and expenses based on costs and revenues of similar established businesses, rather than your own financial history.

Early Stage 60

Early Stage Startup Forecast Channel 60

thinkspace.com

SEPTEMBER 7, 2012

Should your startup be acquired, do you have legal control over what role, title and responsibilities you’ll have post-acquisition? already some initial funding does the company already have a valuation? What type of trigger clause do you have in your startup options agreement? how much equity might be granted to you.

Equity 62

Equity Employee Founder CTO Hire 62

www.paulgraham.com

OCTOBER 23, 2010

And those who do raiseVC rounds will be able to get higher valuations when they do. Ifthe best startups get 10x higher valuations when they raise seriesA rounds, that would cut VCs returns from winners at least tenfold. [ A typical big angel round might be $600k on a convertible note witha valuation cap of $4 million premoney.

Valuation 92

Valuation Stock Partner Founder 92

Small Business Force

OCTOBER 14, 2016

You could define it as reducing new customer acquisition costs over time; repeatable processes making product delivery or operations more efficient or cost-effective, or a recurring revenue model that shows an ever-increasing backlog of contracted future revenue each year. How can you build on that traction? A final word.

Sweat Equity 20

Sweat Equity Private Equity Valuation Equity 20

Ben's Blog

MAY 24, 2021

The de-SPAC process is essentially the process that occurs after a SPAC has agreed to terms with an acquisition target where the two entities are fully merged. So, even assuming they wanted to raise the same amount of nominal dollars at the IPO as in the past, a higher valuation means they can do so by issuing many fewer shares.

SEC 36

SEC Accredited Investor IPO Technical Review 36

VC Cafe

AUGUST 15, 2011

Investment Bank Morgan Stanley raised its growth forecast for Israel to 4.8% for both 2011 and 2012 from its previous growth forecast of 4.3%, noting that the Israeli economy “remains one of the robust and well managed among both the developed and the emerging market economies.&#. For previous editions, click here.

China 90

China Cofounder India 90

Up and Running

DECEMBER 9, 2014

What I did is I learned the art of a pro forma and the value of a pro forma which basically is a forecast. If you don’t know what your cash flow forecast is, you don’t really understand your capital needs. Just to dive into the first. Thank you Josh.

Small Business 95

Small Business Finance Forecast Metrics 95