Startup Professionals Musings

JUNE 10, 2011

Investors like $1B markets with double-digit growth rates. Business model. In this section, you need to be passionate about recurring revenue, profit margin, and volume growth. Project both revenues and expense totals for next five years, and past three years. What is the current valuation of the company?

Elevator Pitch 234

Elevator Pitch Exit Strategy Burn Rate Merger 234

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. The business is already profitable with $2.9

Dilution 114

Dilution Revenue Finance Entrepreneur 114

Startup Professionals Musings

MAY 19, 2010

Investors like $1B markets with double-digit growth rates. Business model. In this section, you need to be passionate about recurring revenue, profit margin, and volume growth. Project both revenues and expense totals for next five years, and past three years. What is the current valuation of the company?

Elevator Pitch 235

Elevator Pitch Exit Strategy Burn Rate Merger 235

Gust

DECEMBER 7, 2014

Even a small investor in the early days will take a large equity percentage, due to that pesky valuation challenge. At least wait until later, when you ready to scale, and have some “leverage” based on a proven business model, some real customers, and real revenue. Sometimes survival requires staying under the radar.

Bootstrapping 191

Bootstrapping Entrepreneur Startup Burn Rate 191

Gust

AUGUST 19, 2012

Investors like $1B markets with double-digit growth rates. Business model. In this section, you need to be passionate about recurring revenue, profit margin, and volume growth. Project both revenues and expense totals for next five years, and past three years. What is the current valuation of the company?

Elevator Pitch 146

Elevator Pitch Exit Strategy Burn Rate Merger 146

Professor VC

AUGUST 26, 2011

To that last one, there is certainly some truth as the standard time vs. revenue chart in most business plans looks like this: Im not teaching Entrepreneurial Finance this semester for the first time since Fall 2007. Is the model consistent with the business plan? Does the business model make sense?

Silicon Valley 35

Silicon Valley San Jose Hockey Stick Venture Capital 35

abovethecrowd.com

FEBRUARY 24, 2015

As a result, a “late-stage” financing is no longer reserved for high-revenue, pre-profitability companies getting ready for an IPO; it is simply any large round of financing done at a high price. An unprecedented 80 private companies have raised financings at valuations over $1B in the last few years. Consider the case of Fab.com.

IPO 40

IPO Liquidation Preference Valuation Technical Review 40

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. Entrepreneurial finance (I should know since I teach the course) is all about options.

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