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The Shift from FOMO to FOLD in Early Stage Investing

View from Seed

But in a FOMO world, more investors are willing to take a chance on a founder that they don’t know, but seems to match some of the heuristics of other high quality founders. Business Models and Sectors. VCs are always founder focused no matter the market environment. In a FOLD world, this is going to continue.

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Silicon Valley Frontlines: Two Tales of "Working For Equity"

philipsmith.typepad.com

Silicon Valley Frontlines. The letters and numbers you entered did not match the image. Life in the Valley. New Business Models. Tech Business Environment. In-the-Trenches Consulting to Startup and Emerging-Growth Companies. « Presentation Secrets of Steve Jobs! » January 23, 2010.

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Raising Money Using Customer Development

Steve Blank

Unfortunately in early stage startups the drive for financing hijacks the corporate DNA and becomes the raison d’etre of the company. Chasing funding versus chasing customers and a repeatable and scalable business model, is one reason startups fail. Is there a profitable business model? How many are there?

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Rocket Science 4: The Press is Our Best Product

Steve Blank

Which at this stage of the company was marketing and financing. Our “Hollywood meets Silicon Valley” story played great in Silicon Valley, they ate it up in Hollywood, and the business press tripped over themselves to talk to us. It wasn’t that I didn’t know how to listen to customers.

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Can You Trust Any vc's Under 40?

Steve Blank

Over the same 30 years, Venture Capital firms have honed their skills and strategies to match Wall Streets needs to achieve liquidity for their portfolio companies. It may just be that the message of building companies that have predictable revenue and profit models hasn’t percolated through the VC business model.

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Entrepreneurs are Everywhere Show No. 39: Jeremy Johnson and Michael Eidsaune

Steve Blank

But to do it, you need to actually have a sustainable business model. Starting a business is too risky. Prior to founding Carely , Michael Eidsaune earned his MBA in finance and spent several years in investment management, eventually earning his level 1 CFA certification. Our revenue model was wrong.

Cofounder 145
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How to Raise Money – It’s a Journey Not An Event

Steve Blank

Btw, the definition of each startup financing stage has changed in the last decade. For a Series A round you want to prove you have built a repeatable and scalable sales/revenue model and understand all parts of the business model. Series B is about proving your net revenue model (can you be profitable?).

Cofounder 431