Both Sides of the Table

article thumbnail

What Does the Post Crash VC Market Look Like?

Both Sides of the Table

What You Can Learn From Public Markets It doesn’t really take a genius to realize that what happens in the public markets will filter back to the private markets because the ultimate exit of these companies is either an IPO or an acquisition (often by a public company whose valuation is fixed daily by the market).

article thumbnail

What is the Right Burn Rate at a Startup Company?

Both Sides of the Table

We want money to make some acquisitions (investors would prefer to fund M&A if they know specific deals – not to encourage bad behavior. So money spent should add equity value or create IP that eventually will. We want a strong balance sheet (um, ok. but that’s our firm’s money on your balance sheet.

Burn Rate 383
Insiders

Sign Up for our Newsletter

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

article thumbnail

Should Startups Focus on Profitability or Not?

Both Sides of the Table

When they look at buying your company they often think in terms of “how long will it take until I earn back the profits to pay for my acquisition price?” If you spent the 3 years perfecting some hugely differentiated technology IP that may also be different.

Startup 418
article thumbnail

This Week in VC: Michael Montgomery (President, Montgomery & Co.)

Both Sides of the Table

The importance of the conference is that it assembles most of the top privately held early-to-mid-stage technology companies in the country (and some globally) as well as most VC’s, growth equity funds and corporate development departments from large industry players looking at technology acquisitions. This is often in the 5-7% range.

IPO 242
article thumbnail

Why The Media Has Been Wrong About YouTube Networks

Both Sides of the Table

It is the world’s best customer acquisition for video consumers to get them to come to your O&O where you can make your $25 CPMs. Give access to music that is legal, avoiding lawsuits and ensuring revenue isn’t captured by other IP owners. Except for 2 things: 1. This is always how we saw Maker Studios.

article thumbnail

The Four Main Things that Investors Look for in a Startup

Both Sides of the Table

So NEVER talk about early exits, quick flips, tuck-in acquisitions, previous interest shown by acquirers, etc., What about Product / IP? They might accept that a $50 million outcome will drive good returns given their small investment size, low price of entry, etc. during your meeting. That’s not an M? It’s a P.