Gust

JULY 23, 2014

I almost never invest in ideas or plans, so you’ll need to have a company and at least a product, if not customers. If you have a co-founder, see if you can bring him/her along with you; I like to meet the key players. Invested Interests Power Pitches angel investor business David Rose entrepreneur meeting pitch startup'

Angel Investor 153

Angel Investor Elevator Pitch Pre-Money Valuation Technical Review 153

Startup Professionals Musings

MAY 15, 2019

Steve Blank via Flickr by jdlasica I see more and more entrepreneurs who seem to have everything going for them – vision, motivation, passion, even a good business plan, product, and money, and yet they can’t close customers. Don’t attempt to scale it until you have a proven repeatable business model that predictably generates revenue.

Startup 245

Startup Angel Investor Technical Review Incubator 245

Startup Professionals Musings

SEPTEMBER 29, 2018

Deferred payments start with stretching the payables period but, more importantly, include giving employee equity in lieu of a higher salaries and negotiating vendor deferred payments out of future revenues. For example, a software development startup raising $250,000 from angel investors better be able to operate on $25,000 per month.

Burn Rate 223

Burn Rate Hockey Stick Startup Salary 223

Steve Blank

MARCH 16, 2016

To most founders a startup is not a job, but a calling. But startups require money upfront for product development and later to scale. Founders can now access the largest pool of risk capital that ever existed –in the form of Private Equity (Angel Investors, family offices , Venture Capitalists (VC’s) and Hedge Funds.).

Liquidity Event 120

Liquidity Event Founder Liquidation Preference Venture Capital 120

Startup Professionals Musings

MARCH 23, 2011

I’ll try to offer some guidelines to address these issues, but I generally recommend you keep the day job until your new company is producing real revenue. Otherwise, I suggest that founders be up-front with their employers, with an honest commitment that the “side” work on the potential startup will not jeopardize committed results.

Founder 233

Founder Startup Cofounder Angel Investor 233

Startup Professionals Musings

OCTOBER 21, 2023

How do you convince investors that your business model will really work, before you have a revenue stream that exceeds your expenses? Even if you are bootstrapping your business, and you are the only investor, you should be asking yourself the same question. Plan for a real revenue model. Marty Zwilling

Business Model 273

Business Model Customer Angel Investor Bootstrapping 273

Startup Professionals Musings

OCTOBER 5, 2014

Deferred payments start with stretching the payables period but, more importantly, include giving employee equity in lieu of a higher salaries and negotiating vendor deferred payments out of future revenues. For example, a software development startup raising $250,000 from angel investors better be able to operate on $25,000 per month.

Burn Rate 262

Burn Rate Hockey Stick Entrepreneur Salary 262

Startup Professionals Musings

DECEMBER 24, 2012

Every new startup I know dreams of being funded early by one of the 318,000 active Angel investors in the USA alone. Most of these investors are members of Angel groups that have a rigorous filtering and screening process, to select the top 3% and most fundable proposals. Build a prototype product.

Angel Investor 260

Angel Investor Intellectual Property Elevator Pitch Angel Groups 260

Startup Professionals Musings

JANUARY 18, 2014

I see more and more entrepreneurs who seem to have everything going for them – vision, motivation, passion, even a good business plan, product, and money, and yet they can’t close customers. For example, when you think about distribution channels, revenue streams, or the relationship with the customer, ask customers what they expect.

Entrepreneur 283

Entrepreneur Startup Angel Investor Technical Review 283

Both Sides of the Table

MAY 27, 2013

In his tenure as CEO of DataSift we have never missed a monthly revenue figure. He has grown our US operations from 1 employee (him) to a global organization of 75 employees that will finish the year with 8-digit revenues (90+% recurring) and more than 350% year-over-year growth. In his spare time he raised nearly $30 million.

Advisory Board 365

Advisory Board CTO Hire Fractional CTO Los Angeles 365

Startup Professionals Musings

MAY 12, 2017

I see more and more entrepreneurs who seem to have everything going for them – vision, motivation, passion, even a good business plan, product, and money, and yet they can’t close customers. For example, when you think about distribution channels, revenue streams, or the relationship with the customer, ask customers what they expect.

Startup 161

Startup Angel Investor Technical Review Incubator 161

The Startup Magazine

AUGUST 11, 2023

It is necessary to cover the early stages of product development, thorough market research, and other processes during the initial step. The criteria change after a company reaches the growth stage when it is deemed to have attained product market fit. The earliest investors in a business are usually syndication.

Seed Stage 126

Seed Stage Technical Review Early Stage Due Diligence 126

Startup Professionals Musings

SEPTEMBER 23, 2010

Every new startup I know dreams of being funded by an angel investor. Remember the old adage that “investors fund people, not ideas.” That’s why this item is so important, and is probably the biggest stumbling block I see in getting through the initial angel screening. Build a prototype product. Marty Zwilling.

Angel Investor 224

Angel Investor Intellectual Property Technical Review Elevator Pitch 224

Startup Professionals Musings

DECEMBER 20, 2012

I see more and more entrepreneurs who seem to have everything going for them – vision, motivation, passion, even a good business plan, product, and money, and yet they can’t close customers. For example, when you think about distribution channels, revenue streams, or the relationship with the customer, ask customers what they expect.

Startup 296

Startup Angel Investor Technical Review Incubator 296

ReadWriteStart

JUNE 1, 2020

You must have a prototype or a minimum viable product (MVP). The primary source of your funds should be your paying customers, i.e., your business should generate enough revenues and profits to fund the growth and expansion. To fund the sudden spike in production, funds will be required for additional inventory and wages.

Startup 150

Startup Entrepreneur Elevator Pitch Seed Stage 150

Hunter Walker

FEBRUARY 20, 2024

Many times we’ll never know, but the random products that end up popping because of a TikTok trend are always pretty fascinating anthropological stories. Here the focus is on Pink Stuff, a British cleaning paste, which was #CleanTok mainstreamed to a quadrupling of revenue ($125m annually) and distribution to 55 countries.

Founder Vesting 60

Founder Vesting Vesting Cap Table Founder 60

Startup Professionals Musings

JANUARY 22, 2021

How do you convince investors that your business model will really work, before you have a revenue stream that exceeds your expenses? Even if you are bootstrapping your business, and you are the only investor, you should be asking yourself the same question. Plan for a real revenue model. Marty Zwilling.

Business Model 414

Business Model Angel Investor Bootstrapping Revenue 414

Startup Professionals Musings

NOVEMBER 4, 2011

Every new startup I know dreams of being funded by an angel investor. Remember the old adage that “investors fund people, not ideas.” That’s why this item is so important, and is probably the biggest stumbling block I see in getting through the initial angel screening. Build a prototype product.

Intellectual Property 249

Intellectual Property Angel Investor Technical Review Elevator Pitch 249

Steve Blank

JANUARY 22, 2014

Startups still need capital to scale once they find good product-market fit and a repeatable-scalable business model.). Sites like AngelList have only amplified the collective reach of individual and grouped angel investors. This is true whether the company is concept stage or ramping revenue. The Bend Experience.

Early Stage 287

Early Stage Silicon Valley Oregon Technical Review 287

Startup Professionals Musings

SEPTEMBER 19, 2011

I see more and more entrepreneurs who seem to have everything going for them – vision, motivation, passion, even a good business plan, product, and money, and yet they can’t close customers. For example, when you think about distribution channels, revenue streams, or the relationship with the customer, ask customers what they expect.

Startup 286

Startup Angel Investor Technical Review Incubator 286

A Smart Bear: Startups and Marketing for Geeks

FEBRUARY 26, 2019

Founders almost never have a real strategy. Founders explain failures with things like “our two main competitors did [thing] to us” or “customers didn’t understand [our point of view].” The 10,000th biggest company in the world is a very successful company, as is the two-person company where the founders each take home $300k/year.

Restful 202

Restful Founder Revenue Acquisition 202

Startup Professionals Musings

SEPTEMBER 14, 2016

Deferred payments start with stretching the payables period but, more importantly, include giving employee equity in lieu of a higher salaries and negotiating vendor deferred payments out of future revenues. For example, a software development startup raising $250,000 from angel investors better be able to operate on $25,000 per month.

Burn Rate 120

Burn Rate Hockey Stick Startup Salary 120

Startup Professionals Musings

SEPTEMBER 18, 2022

They are also seeking to find out how you handle one of the many tough questions that a new founder will get in today’s market. Leading with this answer will likely terminate any further investment opportunity with this investor. Leading with this answer will likely terminate any further investment opportunity with this investor.

Intellectual Property 334

Intellectual Property Angel Investor Matching Founder 334

NZ Entrepreneur

DECEMBER 10, 2020

He found many private investors were interested in him as much as StockTrim. “It That’s where the founder thing comes in, whereas the Angels are more focused on growth projections and risk.”. Prove what the pain point is and how your product can solve it.”. A live demo of the product is essential. Lesson 10.

Technical Review 103

Technical Review Software Review Due Diligence Startup 103

Gust

DECEMBER 16, 2012

ABC Shark Tank Angels via Elite Daily. Every new startup I know dreams of being funded early by one of the 318,000 active Angel investors in the USA alone. Remember the old adage that “investors fund people, not ideas.” Build a prototype product. Get your Internet domain name and website. Free trials don’t count.

Angel Investor 179

Angel Investor Intellectual Property Elevator Pitch Angel Groups 179

YoungUpstarts

JUNE 1, 2019

Go-to-Product. In two of these three phases – the first and third – volumes of helpful information and numerous organizations are readily available to help guide and support founders of startups. In the go-to-product phase, you can get help from a plethora of incubators, accelerators and angel investors.

Cleveland 150

Cleveland Framework Marketing Early Stage 150

Startup Professionals Musings

DECEMBER 11, 2022

After many years of working with angel investors seriously trying to find new ventures worthy of their hard-earned money, I find their frustration often exceeds that of entrepreneurs sincerely looking for financial help. Investors expect a good value proposition in every pitch. Dysfunctional or non-functional team members.

Due Diligence 271

Due Diligence Intellectual Property Entrepreneur Preferred Stock 271

Startup Professionals Musings

MARCH 4, 2016

The good news is that everyone expects entrepreneurs to make mistakes, since founders explore uncharted territory. In fact, investors recognize that founders usually learn more from mistakes than from success, so a well-explained startup failure can improve their odds of funding the next time around.

Intellectual Property 120

Intellectual Property Startup Forecast Angel Investor 120

Startup Professionals Musings

JUNE 25, 2012

You need to explore more common and more productive approaches for getting your startup moving forward. Yet, I find that startup founders often fixate on one or two sources, often to the detriment of their business. Just don’t quit your day job before your new company is producing revenue. Angel investors.

Technical Review 257

Technical Review Bootstrapping Venture Capital Incubator 257

A Smart Bear: Startups and Marketing for Geeks

AUGUST 8, 2011

When should a company should focus on growth only, ignoring the business model and revenue? This episode was expertly co-hosted by Joshua Baer , founder of OtherInbox , progenitor of Capital Factory , angel investor , and previous founder of SKYLIST and UnsubCentral, both sold.

Cofounder 226

Cofounder Angel Investor Hosting Software Review 226

Up and Running

AUGUST 18, 2014

In comparison to traditional business ventures, startups are expected to grow rapidly, at a rate of between 5% and 7% per week in their initial stage – Paul Graham, co-founder of Y Combinator. “Startups looking for angel investors or venture capital (VC) absolutely need an exit strategy because investors require it.

Small Business 154

Small Business Exit Strategy Cofounder Angel Investor 154

Startup Professionals Musings

MAY 27, 2016

There is an old saying in the startup investor community, “Smart investors invest in the team, not the idea.” As an angel investor, I’ve learned to believe in this approach, since I have seen great ideas go astray, due to poor execution and I have seen apparently marginal ideas make millions, managed by a savvy entrepreneur.

Technical Review 134

Technical Review Intellectual Property Due Diligence Angel Investor 134

Startup Professionals Musings

MARCH 22, 2020

Then you don’t have to worry about the fact that most angel investors and venture capitalists won’t take a bet on you if none of your friends and family have given you a vote of confidence with money. Treat the transaction as you would expect to be treated by an angel investor or VC.

Management 308

Management Cram Down Angel Investor Equity 308

Startup Professionals Musings

OCTOBER 10, 2014

Then you don’t have to worry about the fact that most Angel investors and venture capitalists won’t take a bet on you if none of your friends and family have given you a vote of confidence with money. Treat the transaction as you would expect to be treated by an Angel investor or VC.

Founder 254

Founder Cram Down Angel Investor Equity 254

Startup Professionals Musings

JUNE 11, 2012

I’ll try to offer some guidelines to address these issues, but I generally recommend you keep the day job until your new company is producing real revenue. Otherwise, I suggest that founders be up-front with their employers, with an honest commitment that the “side” work on the potential startup will not jeopardize committed results.

Entrepreneur 239

Entrepreneur Cofounder Angel Investor Partner 239

This is going to be BIG.

NOVEMBER 22, 2013

In a seed or friends and family round, tough questions, in the eyes of many founders, signal an investor that will either a) never get to the writing a check part or b) be such a pain in the ass afterwards that it might not be worth taking their money. Something isn''t going to go your way--product development, hiring, revenues.

Technical Review 118

Technical Review Due Diligence Angel Investor Venture Capital 118

Berkonomics

AUGUST 10, 2017

Since this number is budgeted and pre-authorized, managers tend to focus upon other things such as sales, marketing and product development issues. There is an art to efficient management of a process, whether that is the process of bringing a product to market from R&D to production or developing a new product’s launch program.

Silicon Valley 97

Silicon Valley Burn Rate Angel Investor Down Round 97