thebarefootvc

JANUARY 27, 2014

Do I think we are in a valuation bubble? Last week, a chart in the Wall Street Journal listed private companies globally that have raised capital at $1 billion-plus valuations from venture capital firms. So are we in a bubble or are these companies really worth their valuations? I’m re-posting below. Or so it seems.

Technical Review 63

Technical Review Valuation Venture Capital Investment Bankers 63

SoCal CTO

JUNE 9, 2010

While Google fights on the edges, Amazon is attacking their core - Chris Dixon , May 22, 2010 Google is fighting battles on almost every front: social networking, mobile operating systems, web browsers, office apps, and so on. " In fact, 3 of the 10 selected companies from the past two years has followed this business model.

Fractional CTO 248

Fractional CTO Startup Venture Capital Cofounder 248

crowdSPRING Blog

NOVEMBER 1, 2013

Small Business and Startups: The Trends for 2014 (Pt II) - crowdspring.co/1atXci8. Amazon and the “profitless business model” fallacy – crowdspring.co/1aQZQ04. Entrepreneur PSA – Advertising Businesses are Hard | Seth’s Blog - crowdspring.co/1aHHgHS. But a nearly $4 billion valuation?

Social Media 94

Social Media Small Business Design Media 94

crowdSPRING Blog

NOVEMBER 30, 2012

Start With a Business Model, Not a Business Plan | WSJ – [link]. Why We’re Pivoting from Mobile-first to Web-first – [link]. Apple’s Problem: Google Is Getting Better At Design | Business Insider – [link]. The danger of waiting to long to find a business model? – [link].

Social Media 100

Social Media Small Business Central African Republic Design 100

Steve Blank

MAY 19, 2015

They had reinvented a traditional print media category onto web and mobile devices for a new generation of users who were no longer buying magazines but reading online. Their content was topical, targeted and refreshed daily. to drive traffic to their site, which they then turned into ad revenue.

Technical Review 120

Technical Review Salary Early Stage Software Review 120

Startup Professionals Musings

DECEMBER 27, 2014

Mobile and web software apps may cost even less. Super Angels sometimes drive up valuations. Perhaps because of their focus on building a large portfolio, or their competitiveness, these angels sometimes accept valuations that cause later friction while moving to VCs, or even other angel groups.

Angel Investor 260

Angel Investor Silicon Valley Startup Portfolio 260

Up and Running

OCTOBER 13, 2014

The bank wanted to develop mobile deposit technology quickly so that it could keep pace with its competitors. Either way, he says, these smaller firms gain major clients that fund further growth and drive their valuations higher. The Bottom Line for Small Businesses.

Intellectual Property 106

Intellectual Property Philadelphia Small Business California 106

Version One Ventures

OCTOBER 15, 2020

The market for mobile gaming is insanely large and growing quickly: >$77B in 2020 with >10% YoY growth. Embedded payments also make it much easier to experiment with and implement new pay-for-service business models that replace the current surveillance capitalism system that emerged around a “free” to use net. .

Networking 168

Networking Global OTC Security 168

Steve Blank

MARCH 18, 2011

The signals are loud and clear : seed and late stage valuations are getting frothy and wacky, and hiring talent in Silicon Valley is the toughest it has been since the dot.com bubble. Underwriters realized that as long as the public was happy snapping up shares, they could make huge profits from the inflated valuations. Carpe Diem.

Internet 334

Internet IPO Silicon Valley Agile 334

Growthink Blog

MARCH 20, 2010

Growthink has worked on a number of projects with these emerging companies and offers the following insight to individuals who are looking to break into the lucrative mobile application market. One space that has found a way to do this is mobile gaming. As would be expected, venture capital has followed the mobile gaming space.

Mobile 59

Mobile Entrepreneur Venture Capital Valuation 59

A Smart Bear: Startups and Marketing for Geeks

MARCH 21, 2017

It was said that Facebook drastically overpaid (a billion dollars for a company with fanatical users but zero revenue) but also that that Instagram was stupid to sell so early (because after more “inevitable” growth it would be worth much more, and would “inevitably” be bought or go public at that larger valuation).

Balance Sheet 242

Balance Sheet Vertical Acquisition Revenue 242

Professor VC

SEPTEMBER 26, 2011

RCSMs premise is that they can reach an investment decision (and valuation) based on an application completed by the founders and take gut feel out of the decision process. They have launched a valuation tool that is free to try out. Labels: due diligence , early stage investing , moneyball , valuation. Steve Bennet. at 2:32 PM.

Technical Review 38

Technical Review Early Stage San Jose Angel Investor 38

Agile VC

NOVEMBER 6, 2013

The emergence of mobile platforms has broadened the array of internet-enabled businesses somewhat, and overall it obviously marks a massive shift in computing platforms. But with the exception of Alibaba none of these will businesses worth $10B+ (I plan to do a detailed analysis of Alibaba when they file). Growth IPOs Are Back.

IPO 194

IPO Aggregator B2B Internet 194

Up and Running

JULY 22, 2019

Well Health Technologies, for instance, was able to continue expanding through a scalable acquisition model. And for Drone Delivery Canada and Siyata Mobile, having the support of investors led to partnerships with Air Canada and AT&T , respectively. . Ask for what you need in order to prove that your business model works.

Canada 78

Canada Early Stage Valuation Finance 78

www.inc.com

SEPTEMBER 24, 2011

In the past few years, hundreds of small companies have been snatched up by private equity firms willing to agree to ever-rising valuations. Over the past year or so, work-for-equity arrangements have become an integral part of Arizona Bays business model. Get your business in the picture. Fonality HUD Mobile.

Arizona 40

Arizona Equity Iowa Venture Capital 40

A Smart Bear: Startups and Marketing for Geeks

OCTOBER 23, 2012

Witness, for example, this terrific Fast Company article on Bill Nguyen , serial entrepreneur who’s seventh startup “Color” famously raised $41m for a new mobile app before it even launched. They said I don’t understand mobile. The launch, by the way, was a failure. And it’s now bankrupt.)

IPO 240

IPO Flash Bootstrapping Private Equity 240

ReadWriteStart

MAY 30, 2011

As an entrepreneur it can be dizzying to watch Groupon and Living Social grow so quickly, raising huge venture rounds at massive valuations while contemplating multiple billion dollar acquisitions and IPOs. eBay certainly has enabled purchases and built a very large business doing this. Trends Enabling this Change. What Should You Do?

Advertising 116

Advertising Business Model Revenue Mobile 116

cdixon.org

AUGUST 3, 2012

Some observations: - Thousands of early-stage consumer web/mobile companies were started and funded in last 24 months. Some consequences: - For consumer startups with non-transactional models (ad-based or unknown business models), you need something closer to 10 million users versus 1 million users to get Series A funded. -

Bridge Financing 86

Bridge Financing Early Stage Valuation Later Stage 86

Professor VC

APRIL 7, 2011

In a convertible note structure, Im penalized for increasing your valuation. Instead of getting a 2-3x multiple from seed to Series A, I get a discount off of the Series A, so Im better off financially with a lower valuation. You may say, if you are investing in the next facebook or google, why care about valuation? 5 hours ago.

San Jose 36

San Jose Technical Review Angel Investor Valuation 36

Start Up Blog

JUNE 9, 2016

The valuations are more generous. Their business model you see, is based on the former, not the latter. . If you want to be rich, there’s more chance of that happening being an employee of a company that already has a billion dollar valuation. Click here if on mobile to add now.

Founder 48

Founder Stock Options Startup Valuation 48

Start Up Blog

JUNE 9, 2016

The valuations are more generous. Their business model you see, is based on the former, not the latter. . If you want to be rich, there’s more chance of that happening being an employee of a company that already has a billion dollar valuation. Click here if on mobile to add now.

Founder 48

Founder Stock Options Startup Valuation 48

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. 5 hours ago.

Term Sheet 32

Term Sheet Angel Investor San Jose Venture Capital 32

This is going to be BIG.

NOVEMBER 7, 2011

Valuations. There are a ton of companies being funded at $500+ million valuations--seriously limiting exit opportunities. Many of the private companies like AirBnb, Dropbox, and Square and that have been rumored to have big valuations are real, growing businesses. Are their valuations justified?

Angel Investor 104

Angel Investor Valuation Startup Revenue 104

Both Sides of the Table

MAY 23, 2012

Yes, it’s true that FOMO (fear of missing out) is driving some irrational behavior and valuations amongst uber competitive deals and well-financed VCs. hours per day on average, and that’s excluding the other 13 hours a day where we have our mobile devices, our connected TVs, our iPads and Kindles and soon our cars connected to the web.

Venture Capital 347

Venture Capital Technical Review LP Mobile 347

thebarefootvc

MAY 29, 2017

Questions remain on how the token sale impacts valuation and eventual exit options. I keep in mind the failed e-commerce apps of the mid-1990s before everyone had broadband and mobile connectivity – my original analogy to Pets.com has been oft-repeated at this point. These are the riskiest in my view.

Valuation 65

Valuation Sales Government Business Model 65

Lightspeed Venture Partners

NOVEMBER 19, 2012

The two founders are attorneys in Mobile, Alabama, who found themselves wearing the same ties over and over again, and wanted to find a way to expand their wardrobe. Interestingly, this new deal actually lowered the pre money valuation for the company. 75,000 for 10% implies a $675,000 pre money valuation.

Pre-Money Valuation 162

Pre-Money Valuation Alabama Valuation Churn Rate 162

genylabs.typepad.com

SEPTEMBER 24, 2011

I wont bother going into details on start-up financing terms ( see this post for an overview of typical VC terms) except to say if you dont know and understand: the firms cap table and valuation. While Ive made at least my share of mistakes taking equity in lieu of pay, I continue to see this as a key part of my business model.

Equity 40

Equity Technical Review San Jose Stock 40

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

Diego Basch

AUGUST 18, 2012

Facebook and Twitter, after years of searching for the I-wanna-be-like-Google business model, have settled on ads. The oldest business model on the web, and perhaps the default. Perhaps things will be better in the mobile world: both Facebook and Twitter claim to have much better click rates on mobile.

Houston 64

Houston Business Model Mobile Valuation 64

This is going to be BIG.

DECEMBER 26, 2011

Mobile Payment Disappointment. What's the business model? I think you'll see a lot of focus on companies like Tumblr, Twitter, Foursquare and Pinterest--services that haven't really established a business model yet to justify their sky high valuations.

Technology 116

Technology Valuation Community Restful 116

Growthink Blog

FEBRUARY 25, 2015

billion in capital raised, and because most of us can easily understand and relate to the Simplicity , Power , and Promise of its business model. billion mobile customers. The obvious suggestion is to work to bake these qualities into our business models and entrepreneurial endeavors. First, the Simplicity.

Venture Capital 48

Venture Capital Private Equity United States China 48

thebarefootvc

JULY 29, 2017

Questions remain on how the token sale impacts valuation and eventual exit options. I keep in mind the failed e-commerce apps of the mid-1990s before everyone had broadband and mobile connectivity – my original analogy to Pets.com has been oft-repeated at this point. These are the riskiest in my view.

Valuation 40

Valuation Sales Government Business Model 40

David Teten

DECEMBER 3, 2019

Point Nine Capital uses Qwilr to create modern, mobile-native collateral. Technographics vendors such as Builtwith , Datanyze , HG Data , Stackshare, and Stacklist help CEOs identify the right tech platform on which to build their business; they’re also helpful for investors to due diligence a company’s tech stack choices.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

Hearpreneur

AUGUST 5, 2020

The global automakers and suppliers will be adapting their business models accordingly, forming new partnerships and investing in new technologies. From the plane to personal mobile in no time. These businesses have had to completely reimagine their business models and will likely be pivoting for a long time to come.

Technical Review 157

Technical Review Software Review Entrepreneur China 157

Agile VC

JANUARY 13, 2016

Was this simply a shift in sentiment among the tech & business media? A realignment of valuations by late stage investors? Potential for instant global distribution (mobile app stores, Facebook, etc). But growth dried up (due to competitive pressures, changes in business model, etc) and today Zynga has a market cap of $2.2B

Technical Review 157

Technical Review .Net Revenue Software Review 157

Venture Chronicles

APRIL 19, 2010

From Groupon Grabs $135 Million From DST and Battery–Valuation Above $1 Billion for Social Buying Site | Kara Swisher | BoomTown | AllThingsD ]. Every generation, or every decade if you prefer, consumer shift their spending according to evolutions in retail business models and technology.

San Francisco 39

San Francisco Stock Options Valuation Chicago 39

Both Sides of the Table

MARCH 1, 2011

Of course, monetization of search became one of the best business models in the history of business. After AltaVista, Mike spent a year doing business development for USA Networks ( now IAC – Interactive Corp ). But, they also want it to remain fun and engaging and access it from mobile devices.

Semantic 302

Semantic Acquisition Valuation Angel Investor 302