YoungUpstarts

JUNE 20, 2019

Over the years, the Truss team has worked with several early-stage startups, and noticed a consistency in inter-series problems (regardless of the industry). Series B: Hiring and Developing Managers. The psychological shifts required to go from being an individual contributor to a manager shouldn’t be underestimated.

Technical Cofounder 113

Technical Cofounder Burn Rate Seed Stage Cofounder 113

Steve Blank

MARCH 17, 2020

They have fewer cash reserves and less margin of error for managing sudden downturns. The questions every startup or small business CEO needs to ask now are: What’s my Burn Rate and Runway? Burn Rate and Runway. If you’re an early stage company, that number may be zero. What will my investors do?

Burn Rate 436

Burn Rate Startup Valuation Sales Cycle 436

Startup Professionals Musings

APRIL 10, 2016

From my perspective as an investor, I recommend that every founder needs to know the answers to these questions, be open and honest in answering them thoughtfully, and without making excuses: What is the current runway and burn rate? How complex is the capitalization table? When did this effort really start, including pivots?

Sweat Equity 120

Sweat Equity Burn Rate Technical Review Intellectual Property 120

Startup Professionals Musings

APRIL 8, 2015

From my perspective as an investor, I recommend that every founder needs to know the answers to these questions, be open and honest in answering them thoughtfully, and without making excuses: What is the current runway and burn rate? How complex is the capitalization table? When did this effort really start, including pivots?

Technical Review 120

Technical Review Due Diligence Sweat Equity Burn Rate 120

Both Sides of the Table

OCTOBER 12, 2010

One of the biggest mistakes I see early-stage startups making is hiring “seasoned&# sales professionals or hiring people too senior, too early. The problem is that in an early stage business there probably isn’t a perfect fit between your early product and a customer’s needs.

Hiring 346

Hiring Sales Startup Early Stage 346

Mucker Lab

MAY 28, 2020

This post originally appeared in TechCrunch back in 2015, written by our co-founder and managing partner Erik Rannala. The anxiety is growing so intense that CB Insights is now charging $6,895 for its own “List of Early-Stage Tech Startups Running Out of Cash (Dying).” More and more investors have begun to shun high burn rates.

Startup 78

Startup Cofounder Burn Rate Technical Review 78

Feld Thoughts

NOVEMBER 18, 2013

Following is his advice to early stage entrepreneurs for creating structure in their company. This second kind of seed financing can be a double-edged sword for the entrepreneur and company if not very carefully managed. I’ve worked closely with Ari for a while and love his candor.

Burn Rate 152

Burn Rate Equity Software Review Early Stage 152

Both Sides of the Table

MAY 2, 2015

What I love about my job is getting to see teams of super-early-stage companies develop ideas that while raw have potential to make an impact on the market. For a well-funded seed company I have controversially recommended hiring a great office manager that doubles as an administrative assistant. They can help you with pricing.

Operations 150

Operations Metrics Early Stage Non-Compete 150

ithacaVC

MARCH 14, 2011

At the early stages of a startup, the founding team is probably the most important variable of success. As a company matures, the concept of “founding team” is replaced by “management team”, which may and hopefully includes the founders. The management team continues as the critical success factor.

Early Stage 45

Early Stage Founder Burn Rate Cofounder 45

The Next Web

MARCH 8, 2014

Jason Lemkin is the Managing Director at Storm Ventures , a venture capital firm focusing on early-stage enterprise and IT companies, including MobileIron , Marketo and GuideSpark. Second, to pay salaries and expenses, venture funds typically charge a 2 percent management fee.

Partner 138

Partner Burn Rate Early Stage IPO 138

Professor VC

JULY 22, 2009

The burn rates of my portfolio companies is certainly top of mind right now, but thats not what this post is about. Well, our VP Operations at Fliqz, Daniel Marcus , dabbles in creating writing and music when not managing our data center. ProfessorVC. The last blogger in Silicon Valley. Wednesday, July 22, 2009. Steve Bennet.

Burn Rate 28

Burn Rate San Jose Silicon Valley Angel Investor 28

Startup Professionals Musings

NOVEMBER 2, 2012

My advice to founders out there is to not volunteer too much, but be open and honest in the face of direct questions like the following: What is your burn rate and runway today? But don’t let management divert you with comments on your failure to understand “the vision and the big picture.”

Due Diligence 244

Due Diligence Sweat Equity Burn Rate Intellectual Property 244

Professor VC

SEPTEMBER 26, 2011

How would Billy Beane have done as an early stage investor? Ive written previously about Right Side Capital Management (RCSM) , the latest in my post earlier this year, " How Much Diligence is Due. " (Full disclosure: I am an investor and adviser in RCSM.) Labels: due diligence , early stage investing , moneyball , valuation.

Technical Review 38

Technical Review Early Stage San Jose Angel Investor 38

Startup Professionals Musings

DECEMBER 16, 2013

My advice to founders out there is to not volunteer too much, but be open and honest in the face of direct questions like the following: What is your burn rate and runway today? But don’t let management divert you with comments on your failure to understand “the vision and the big picture.”

Due Diligence 253

Due Diligence Sweat Equity Intellectual Property Burn Rate 253

Steve Blank

JUNE 1, 2011

The only numbers in those documents that are important in the first year of a startup’s life are burn rate and cash balance. There are no standards for what each side (board versus management) does. Why don’t we have standards for what metrics VC’s want to see from their early stage startup teams? Lessons Learned.

Silicon Valley 292

Silicon Valley Business Model Venture Capital Balance Sheet 292

Both Sides of the Table

JULY 13, 2013

I started as a programmer, and then a database designer, and then a project manager, and I led conversion teams. You’ve got entrepreneurs and founders who are really – a lot of them are in the very early stage of their startup. And I’m now managing partner six years later. It was all technical.

Cofounder 337

Cofounder Technical Cofounder San Diego Startup 337

Steve Blank

JUNE 1, 2011

The only numbers in those documents that are important in the first year of a startup’s life are burn rate and cash balance. There are no standards for what each side (board versus management) does. Why don’t we have standards for what metrics VC’s want to see from their early stage startup teams? Lessons Learned.

Silicon Valley 263

Silicon Valley Business Model Venture Capital Balance Sheet 263

Startup Professionals Musings

SEPTEMBER 5, 2011

My advice to founders out there is to not volunteer too much, but be open and honest in the face of direct questions like the following: What is your burn rate and runway today? But don’t let management divert you with comments on your failure to understand “the vision and the big picture.”

Due Diligence 237

Due Diligence Sweat Equity Intellectual Property Entrepreneur 237

Gust

DECEMBER 8, 2013

My advice to founders out there is to not volunteer too much, but be open and honest in the face of direct questions like the following: What is your burn rate and runway today? But don’t let management divert you with comments on your failure to understand “the vision and the big picture.”

Due Diligence 174

Due Diligence Sweat Equity Intellectual Property Burn Rate 174

The Equity Kicker

JANUARY 10, 2020

Nic Brisbourne is Managing Partner at Forward Partners, the UK’s leading early-stage VC, currently supporting the UK’s next generation of AI, e-commerce and marketplace businesses. I think we differ a little from the rest of the industry, though, particularly with our focus on early stage companies.

Partner 68

Partner Early Stage Portfolio Metrics 68

Startup Professionals Musings

AUGUST 20, 2010

My advice to founders out there is to not volunteer too much, but be open and honest in the face of direct questions like the following: What is your burn rate and runway today? But don't let management divert you with comments on your failure to understand "the vision and the big picture.”

Due Diligence 229

Due Diligence Sweat Equity Intellectual Property Startup 229

Both Sides of the Table

MAY 23, 2010

They trust the judgment of the VCs to source, finance, help manage and then create some sort of exit for the investments that they make. So by offering convertible debt you can avoid a price discussion in the same way that angel investors sometimes do in order to win competitive early-stage deals.

Startup 290

Startup Burn Rate Warrant Bankruptcy 290

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. I immediately jumped up and called "b t". This could include 2 short meetings and a couple of phone calls.

Technical Review 31

Technical Review Due Diligence Silicon Valley San Jose 31

Both Sides of the Table

APRIL 23, 2011

But ultimately great people drive the ideas and Highland Capital is proactive in reaching out to entrepreneurs even at early stages. Richard’s email address is public but it is hard to manage all the inbound cold emails. They had a very expensive burn rate at the wrong time. How does someone get access to you? (22:00-33:00).

Vertical 265

Vertical Curation Boston Burn Rate 265

The Next Web

JUNE 15, 2015

Having a geographically strategic point of operations can flow on to other key factors that influence a startup’s expansion — the overall management of the new location, how it is viewed by consumers, and the level of generated exposure.

Global 60

Global Burn Rate Startup CPA 60

Professor VC

MARCH 10, 2009

I take CFO roles in early stage companies and participate on the management team during the early financings and business model development phases. They have a standard presentation on bootstrapping, which they present around the country. Can Entrepreneurship Be Taught? ► October. (1). Watch Out for the Red W(h)ine.

Bootstrapping 28

Bootstrapping San Jose Silicon Valley Software Review 28

Professor VC

SEPTEMBER 16, 2010

Didnt get the chance to ask him if managed to visit Berkeley while he was in town and see the 52-7 whupping that the Buffs took at the hands of Cal. I take CFO roles in early stage companies and participate on the management team during the early financings and business model development phases. ► October. (1).

Technical Review 38

Technical Review San Jose Angel Investor Silicon Valley 38

Professor VC

APRIL 1, 2010

It had a good mix of viewpoints with east ( James Geshwiler, Common Angels ) and west coast (yours truly) angels, early stage venture capitalist ( Jason Mendelson, Foundry Group ), and a couple of attorneys ( Dan Hansen and Mario Rosati ). It is obviously too late to dial-in to the call, but you can still order a CD of the session.

Term Sheet 32

Term Sheet Angel Investor San Jose Venture Capital 32

Professor VC

MAY 29, 2008

To the SEC, it means that you are an accredited investor and To the man (or woman) on the street, a minimum qualification would seem to be an interest and ability to invest in early stage ventures. However, that is not always the case as there is no qualification to set out your shingle as an angel investor or form an angel group.

Angel Investor 28

Angel Investor Angel Groups Accredited Investor San Jose 28

ReadWriteStart

JUNE 13, 2011

The only numbers in those documents that are important in the first year of a startup's life are burn rate and cash balance. There are no standards for what each side (board versus management) does. Why don't we have standards for what metrics VCs want to see from their early stage startup teams? Angels In America.

Silicon Valley 117

Silicon Valley Balance Sheet Metrics Early Stage 117

ReadWriteStart

APRIL 30, 2020

Many fail because they fail to keep their burn rate in check and then run out of investors who are willing to fund their operations. They treat their startup’s burn rate like it’s etched in stone. To help, here’s a look at what the two extremes of startup cash management look like.

Burn Rate 107

Burn Rate Management Startup Early Stage 107

Professor VC

JUNE 6, 2008

It seems appropriate to have this discussion as Kent Desormeaux grabs Big Browns reins and goes after the Triple Crown tomorrow at Belmont.There is an age old debate in the venture business on whether it is better to bet on the horse (business/market) or the jockey (management team/founders). Can Entrepreneurship Be Taught? ► October.

San Jose 28

San Jose Technical Review Norway Angel Investor 28

Transformify

AUGUST 27, 2017

Their investors may push them into that direction too, as the high burn rate is often seen as a prerequisite for high growth. You will have more time to focus on the strategy and sales while looking for the right project/ product manager, etc. However, you can’t utilize their time as you are still at an early stage.

Hiring 64

Hiring Software Review Burn Rate Startup 64

Professor VC

APRIL 7, 2011

I take CFO roles in early stage companies and participate on the management team during the early financings and business model development phases. Can Entrepreneurship Be Taught? ► October. (1). Watch Out for the Red W(h)ine. ► September. (1). Survey says VC's invest on Gut Instinct. ► July. (1).

San Jose 36

San Jose Technical Review Angel Investor Valuation 36

Professor VC

APRIL 11, 2008

I take CFO roles in early stage companies and participate on the management team during the early financings and business model development phases. Can Entrepreneurship Be Taught? ► October. (1). Watch Out for the Red W(h)ine. ► September. (1). Survey says VC's invest on Gut Instinct. ► July. (1).

San Jose 28

San Jose Angel Investor Venture Capital Balance Sheet 28

Professor VC

DECEMBER 18, 2008

I take CFO roles in early stage companies and participate on the management team during the early financings and business model development phases. Can Entrepreneurship Be Taught? ► October. (1). Watch Out for the Red W(h)ine. ► September. (1). Survey says VC's invest on Gut Instinct. ► July. (1).

San Jose 28

San Jose Silicon Valley Technical Review Angel Investor 28

Professor VC

NOVEMBER 13, 2008

Manage seasonal demand through pricing - Weather on the Oregon coast can range from gorgeous to downright nasty and can change from one of the other in a matter of minutes. I take CFO roles in early stage companies and participate on the management team during the early financings and business model development phases.

Oregon 28

Oregon San Jose Angel Investor Silicon Valley 28