Professor VC

MARCH 10, 2009

Bootstrapping 101. I moderated a panel discussion last night on one of my favorite topics, bootstrapping, as part of our Silicon Valley Center for Entrepreneurship Eminent Speaker Series at San Jose State. They have a standard presentation on bootstrapping, which they present around the country. ProfessorVC.

Bootstrapping 28

Bootstrapping San Jose Silicon Valley Software Review 28

Up and Running

OCTOBER 1, 2014

Their latest product, Statdragon, launched just last week. What about bootstrapping? Nelson has some tips: Know your burn rate. This is a process she went through first hand, deciding on the fresh direction for her business as they went into development a new product. How do you balance it all?

Bootstrapping 107

Bootstrapping Cofounder Portland Burn Rate 107

Startup Professionals Musings

JUNE 18, 2012

I come from a high-tech software background, and only a few years ago, it would cost at least a million dollars ($1M) for a team of professionals to produce any commercial software product. That’s a burn rate of at least $10K per month that can be eliminated if you are handy with computers and Quickbooks. Technology costs.

Cost 255

Cost Burn Rate SEM Startup 255

Startup Professionals Musings

JUNE 28, 2013

Based on the latest Startup Environment Index from the Kauffman Foundation and LegalZoom, personal money, or bootstrapping, continued to be the primary startup funding in 2012. Entrepreneurs who plan to complete a business plan the first month, find an investor the second, and roll out a product the third month are just kidding themselves.

Startup 264

Startup Burn Rate Bootstrapping Valuation 264

Startup Professionals Musings

FEBRUARY 15, 2011

I come from a high-tech software background, and only a few years ago, it would cost at least a million dollars ($1M) for a team of professionals to produce any commercial software product. That’s a burn rate of at least $10K per month that can be eliminated if you are handy with computers and Quickbooks. Technology costs.

Entrepreneur 235

Entrepreneur Burn Rate SEM Social Network 235

Startup Professionals Musings

JANUARY 4, 2015

Most aspiring entrepreneurs understand that you can’t build a business if you won’t commit to delivering a product or service, but many are hesitant or refuse to commit to any financial forecasts. Yet every business requires revenue and volumes, as certainly as it requires a product to sell. Calculate investment amounts and timing.

Forecast 120

Forecast Entrepreneur Burn Rate Widget 120

Gust

JUNE 10, 2012

I come from a high-tech software background, and only a few years ago, it would cost at least a million dollars ($1M) for a team of professionals to produce any commercial software product. That’s a burn rate of at least $10K per month that can be eliminated if you are handy with computers and Quickbooks. Technology costs.

Cost 139

Cost Burn Rate SEM Startup 139

Mucker Lab

MARCH 8, 2016

Four years after founding and bootstrapping Mucker Capital , we are pleased to announce the close of a new $45 million fund, Mucker III. We’ve written code, launched products, acquired users, managed P&Ls, and lost sleep over making payroll. This is our third fund, which might make us seem like grumpy, rich, old VCs.

Burn Rate 60

Burn Rate Limited Partner Bootstrapping Portfolio 60

Startup Professionals Musings

FEBRUARY 13, 2010

I come from a high-tech software background, and only a few years ago, it would cost at least a million dollars ($1M) for a team of professionals to produce any commercial software product. That’s a burn rate of at least $10K per month that can be eliminated if you are handy with computers and Quickbooks. Technology costs.

Burn Rate 125

Burn Rate SEM Social Network Angel Investor 125

Professor VC

SEPTEMBER 16, 2010

All product, all the time. You can always check out the current and prior product demos at the DEMO site. Bootstrapping 101. There wasnt a lot of buzz in the air. This was the 20th Anniversary and possibly the last. DEMO has always been one of my favorite tech conferences. Watch Out for the Red W(h)ine. ► September. (1).

Technical Review 38

Technical Review San Jose Angel Investor Silicon Valley 38

ReadWriteStart

JANUARY 27, 2011

And a few words about Persistent Systems, an outsourced software product development (OPD) company that is navigating its next phase of evolution are also warranted. It certainly will be a better way to bootstrap the company. Andrew has about 40,000 users for a GRE test prep vocabulary product, acquired largely through iTunes.

Dilution 114

Dilution Revenue Finance Entrepreneur 114

Professor VC

JANUARY 27, 2011

I strongly believe (at least for very early stage technology ventures) that you will get diminishing returns and arguably negative returns once you get past an initial threshold of team, product, market and financial diligence. Bootstrapping 101. Watch Out for the Red W(h)ine. ► September. (1). ► July. (1). ► May. (1).

Technical Review 31

Technical Review Due Diligence Silicon Valley San Jose 31

K9 Ventures

MAY 28, 2015

When a startup is just getting started it first needs to build its product/service. Often before that it needs to build the team that will then help to build the product/service. If you’re selling a product that costs six figures or seven figures, then obviously your thresholds may be very different. >$0/month.

Revenue 48

Revenue Startup Burn Rate Cofounder 48

Professor VC

DECEMBER 18, 2008

However, the NIF forces the students to focus on their idea and ability to communicate its need, kind of like the Demo conference is all about the product. Bootstrapping 101. At SJSU, we also have a business plan competition in the spring, which ideally allows the students to build a viable business model around their NIF projects.

San Jose 28

San Jose Silicon Valley Technical Review Angel Investor 28

BeyondVC

JULY 6, 2006

The burn rate added to your company almost doubles overnight with these heavyweight sales guys with no leads to go after and no mature product to sell. Yes, this can only last so long as everyday out of the office or with customers means another day not developing the product.

Hiring 79

Hiring Sales Burn Rate Vertical 79

Professor VC

JUNE 20, 2011

The business model (OEM through broadband and home security companies for mass distribution) if not specific product functionality has remained largely the same. While bootstrapping, there are multiple options from doing as a side project, changing the business, raising angel or venture, etc. Bootstrapping 101. ► July. (1).

San Jose 28

San Jose Angel Investor Term Sheet Venture Capital 28

Professor VC

JULY 2, 2010

Never one to propose popular or easy plans, Andy suggests rebuilding our industrial infrastructure and employment through financial incentives and taxing products of offshore labor and using the proceeds to incent companies to scale their American operations. Bootstrapping 101. Watch Out for the Red W(h)ine. ► September. (1).

San Jose 28

San Jose Silicon Valley Venture Capital Angel Investor 28

Professor VC

FEBRUARY 18, 2011

CardMunch seemed like a nice feature and wasnt clear if there was even a product, let alone a business. I first contacted my friend, Manu Kumar, who incubated the company, coming up with the idea and finding the founders to build the product. Bootstrapping 101. I liked the founders (Bowei and Sid) a lot more than the business.

Acquisition 31

Acquisition San Jose Angel Investor IPO 31

dondodge.typepad.com

JANUARY 15, 2011

My next post will be about the importance of cash flow, keeping burn rates low, and how to avoid excessive equity dilution. And, even when they are absolutely necessary at some point, it's only after the startup's product, strategy and maybe even its revenues are already well established.

Equity 40

Equity Employee Dilution Valuation 40