David Teten

AUGUST 19, 2019

We have a special program if you are pre-seed and need product development. Our wheelhouse is bootstrapped (or lightly capitalized) SMB SaaS. Benefits: Non-dilutive, flexible credit offerings that fit SMB or enterprise SaaS. Alternative Capital. “ You qualify if you have $5k+ MRR. Bigfoot Capital. Capital need of up to $1.5M

Revenue 60

Revenue Technical Review Software Review Equity 60

Austin Startup

FEBRUARY 13, 2019

Bootstrap if you can, for as long as you can As a startup you’ll likely fail. Either way, if you know you’re going to fail, it’s much better to do so with your own money on the line than money that also costs you in dilution, perpetuity or more. At this point, we had already developed the first phase of the platform by bootstrapping.

Strategic Investors 49

Strategic Investors Austin Angel Investor Bootstrapping 49

Startup Professionals Musings

SEPTEMBER 5, 2016

The media tends to highlight experienced entrepreneurs who succeed with early new venture funding, like Uber’s Garrett Camp , but fail to point out the more common bootstrapping successes. Don’t let early funding increase risk and dilute your potential. Bootstrapping doesn’t mean that you don’t share equity.

Bootstrapping 120

Bootstrapping Entrepreneur Startup Exit Strategy 120

ReadWriteStart

JANUARY 27, 2011

And, oh by the way, we also really like the idea of the 1M/1M entrepreneurs building valuation and negotiating leverage through these business development efforts, instead of signing off large chunks of their company in form of equity early on. It certainly will be a better way to bootstrap the company. SOCO Games.

Dilution 114

Dilution Revenue Finance Entrepreneur 114

ReadWriteStart

SEPTEMBER 10, 2010

You can get cash without diluting your ownership in the company. Why not go further, develop more valuation, customer experience, and really, deeply validate the business? In 1M/1M, our preferred financing strategy is customers. Because customer financing equals revenue, not equity.

Cloud 115

Cloud Silicon Valley Incubator Finance 115

ReadWriteStart

OCTOBER 28, 2010

Common areas to address are decisions around capitalization, executive hiring and firing, share issuance (dilution), and acquisitions. At a minimum, all founders should be willing to assign whatever they develop to the company. Will the company be self-funded and bootstrapped? What happens if one of us leaves the company?

Cofounder 128

Cofounder Founder Equity Dilution 128

ReadWriteStart

JULY 18, 2011

He says that one is too lonely, two is good and three is a great number if they can combine their skills to cover design, development and distribution. The first stage is bootstrapping, where you raise between $50k and $100k and you try to make that money last as long as you can. How to Hack the Investment World.

Investment Bankers 153

Investment Bankers Technical Review Cofounder Due Diligence 153

Early Growth Financial Services

MARCH 1, 2013

You can find successful entrepreneurs on both sides of the bootstrap debate: there are definitely advantages—and disadvantages—to both bootstrapping and raising venture capital. Also, without VC funds, you will have less resources to focus on product development. Helps you to focus.

Bootstrapping 55

Bootstrapping Venture Capital Startup Product Development 55

Up and Running

JULY 14, 2015

Before any fundraising, it is important to set out what your parameters are for things like valuation (hence dilution), and terms that you would deem okay, versus those that you would consider as being too much from an investor. See Also Should I Borrow Money, Seek Investment, or Bootstrap My Business? Justifying need to investors.

Technical Review 60

Technical Review Valuation Due Diligence Finder 60

Board Effect

MAY 13, 2019

Cap Table Management While Bootstrapping. At this stage, startups should be taking the time to develop a cap table structure that supports growth; plugging in the formulas to eventually model valuations and equity dilution during seed-stage negotiations. This is just enough to cover your bases at this stage of the game.

Cap Table 40

Cap Table Management Liquidity Event Dilution 40

Startup Professionals Musings

MARCH 7, 2015

Professional investors expect to see your top three use of funds categories, and how these relate to scaling the business, rather than initial development. Most professional investors will expect preferred stock, a board seat, rights to later rounds and perhaps anti-dilution protection. Are you flexible on the terms of the investment?

Preferred Stock 120

Preferred Stock Exit Strategy Equity Angel Investor 120

Up and Running

APRIL 24, 2018

At first, you need to focus on developing your business model and validating it. Having a well-defined target market is also necessary to develop a sustainable growth strategy. You cannot develop deliverable healthcare products without involving your end-users directly in the process. Get your end-users involved.

SBIR 73

SBIR Startup Artificial Inteligence Intellectual Property 73

The Next Web

FEBRUARY 27, 2014

Your stage of development. Where you are in your stage of development is a key driver in determining valuation. Freshman are a piece of paper to beta site (bootstrap financed—raise $50K to $500K). This could mean driving EBITDA up to $5 to $10MM within that period.

Valuation 167

Valuation Forecast Seed Stage .Net 167

The Next Web

OCTOBER 3, 2012

In early 2011, I wrote a post, Startups: Not for the faint of heart , that discussed Parse.ly’s survival through a one-year bootstrapping period after Dreamit Ventures Philly ’09. No Bootstrapping Plan : Many startups that come out of an accelerator program (such as YCombinator, Dreamit, or TechStars) simply do not get funding.

Cofounder 155

Cofounder Technical Cofounder Technical Review Software Review 155

Entrepreneurs-Journey.com by Yaro Starak

JUNE 14, 2011

There’s income at risk, an audience who may leave, a brand that could become diluted. Investment Capital When setting out to launch my online business, I had to bootstrap my way and set a limit on expenses. More recently, I worked on a new project to develop 50 niche websites, all at once. and maybe more at stake.

Entrepreneur 90

Entrepreneur Non-Compete Internet Dilution 90

Professor VC

JANUARY 17, 2008

I guess you can make the argument that the founders keep more of the company under the take angel money at a $1M pre-money valuation, but the stars need to be aligned and it is much more likely that initial VC funding in the angel scenario would be at a lower valuation with significantly more dilution. Bootstrapping 101. ► May.

Pre-Money Valuation 28

Pre-Money Valuation Angel Investor Angel Groups Valuation 28

crowdSPRING Blog

SEPTEMBER 5, 2014

The Pernicious Effect of Dilution in SaaS: The Cold, Hard, Bloody numbers | saastr – crowdspring.co/W6Bwqs. Legal Contracts for Software Developers Who Hate Contracts (w/free contract template to use today) – [link]. 40 Extensions And Plugins For Extending Bootstrap – crowdspring.co/1w2XjfG. What’s on the MENU?

Social Media 92

Social Media Small Business Design Media 92

Professor VC

JUNE 20, 2011

While my ownership stake in the company has been diluted through these financings (and the merger with uControl), my carried interest (paper value of my equity) has been going up with each increase in valuation. While bootstrapping, there are multiple options from doing as a side project, changing the business, raising angel or venture, etc.

San Jose 28

San Jose Angel Investor Term Sheet Venture Capital 28

Version One Ventures

JANUARY 10, 2013

Raise too much and you’re diluting your ownership; raise too little and your company will have trouble gaining traction or making it to the next month. With a small round, you’ll end up thinking more about future funding than developing your product. Until then, try to keep your funding to the minimum of what you need.

Dilution 154

Dilution Valuation Bootstrapping Channel 154

Transformify

FEBRUARY 1, 2019

According to Canvanizer , developing your idea from just an idea into reality takes lots of time and effort and a lot of that comes down to proper planning. Regardless of whether you are planning to develop a product or offer a service, having a roadmap is a must. Research & Development. Bootstrapping.

Affiliate 49

Affiliate Equity Valuation SEO 49