Professor VC

APRIL 1, 2010

One comment made by Jason was that angels tend to be less sensitive than VCs on valuation and can potentially make it difficult to get a venture financing done at acceptable valuation. We are typically looking at either smaller exits or require a lower valuation to get a reasonable step-up to a venture round. ► October.

Term Sheet 32

Term Sheet Angel Investor San Jose Venture Capital 32

Professor VC

JANUARY 17, 2008

While currently free to angel groups, their business model revolves around aggregating the angel investment data. Another comment which probably deserves more discussion is around valuation. He also said they typically only invest at a $1 million pre-money valuation or less.

Pre-Money Valuation 28

Pre-Money Valuation Angel Investor Angel Groups Valuation 28

ReadWriteStart

JANUARY 27, 2011

This partnership speaks to a core philosophy of the program where we encourage entrepreneurs to get as much customer validation as possible before raising too much money, use other people's channels if you can get to them, don't burn too much cash, and all that good fiscal conservative stuff.

Dilution 114

Dilution Revenue Finance Entrepreneur 114

Professor VC

AUGUST 26, 2011

Is the model consistent with the business plan? Does the business model make sense? Do you understand the business and market? The process of building the model forces you to answer the difficult questions related to the business model and give a complete picture of the opportunity.

Silicon Valley 35

Silicon Valley San Jose Hockey Stick Venture Capital 35

Professor VC

JUNE 20, 2011

I took a look back at our original financial model we presented to VCs in 2004. The business model (OEM through broadband and home security companies for mass distribution) if not specific product functionality has remained largely the same. offering to invest $75K if we could find another $250K by September 30, 2005.

San Jose 28

San Jose Angel Investor Term Sheet Venture Capital 28

Both Sides of the Table

FEBRUARY 14, 2016

Most venture capitalists who have been in this business for a long time foresaw this correction and have been talking about it privately for the better part of the last year or two. I have been talking about my concerns about valuations for the past couple of years because, well, they’ve been rising very rapidly the past two years!

Valuation 150

Valuation Down Round Startup Later Stage 150

Professor VC

FEBRUARY 18, 2011

In this case, LinkedIn was the only logical one that came to mind and didn’t see a viable business model short of that result. I asked him how the deal came out for investors since the sale price was significantly lower than the valuation on the round they were raising when we met. Can Entrepreneurship Be Taught?

Acquisition 31

Acquisition San Jose Angel Investor IPO 31

Professor VC

SEPTEMBER 24, 2009

On the financial analysis end, you have multiples far and away the most common valuation method over DCF, Simulation and Option analysis. always focus on the business model and assumptions, but there are too many unknowns to put much faith in the future cash flow projections. Can Entrepreneurship Be Taught? ► October. (1).

San Jose 33

San Jose Angel Investor Venture Capital Mezzanine 33

Professor VC

FEBRUARY 26, 2010

Serial entrepreneurs would be more likely to have larger personal investment in the company, have taken outside investment at higher valuations and possibly less open to taking big "bet the company" type risks. Can Entrepreneurship Be Taught? ► October. (1). Watch Out for the Red W(h)ine. ► September. (1). ► July. (1).

San Jose 28

San Jose Silicon Valley Venture Capital Angel Investor 28

YoungUpstarts

JANUARY 11, 2018

Nailing it before you scale it can change how much you’re able to raise from investors and the valuation at which you raise. Nailing solid fundamentals is crucial because good ongoing business practices offer a greater chance to succeed over the long term. No matter how much capital your company raises, this is a slippery slope.

Los Angeles 133

Los Angeles Investment Bankers Cofounder Viral 133