Lightspeed Venture Partners

OCTOBER 7, 2012

Week three’s breakdown covered topics like how hard momentum is to turn around, and how participating preferred stock works. The first company started as a BBQ catering business, and eventually focused in on their most popular product, a dip made of blended up chicken plus various sauces. BACK 9 DIPS.

Technical Review 110

Technical Review Technical Cofounder Valuation Pre-Money Valuation 110

Startup Professionals Musings

AUGUST 1, 2016

Non-credible funding request or unreasonable valuation. Investors are looking to buy a chunk of the business, not the product. They need to know how much money you need, and what portion of the current business you are willing to offer for the investment. Future unproven projections don’t set today’s valuation.

Due Diligence 120

Due Diligence Intellectual Property Preferred Stock Seed Stage 120

Startup Professionals Musings

MARCH 7, 2015

If your financial model projects a negative cash flow in this period of $400,000, you should buffer this amount by 25 percent, and ask for $500,000. Be prepared to explain your business model. The average valuation for angel investments is $2 million, which will get you $500,000 for 20 percent of your startup.

Preferred Stock 120

Preferred Stock Exit Strategy Equity Angel Investor 120

Steve Blank

OCTOBER 24, 2017

— all great things when you are executing and scaling a known business model. Because the new CEO had built a team capable of and comfortable with executing an existing business model, the company would fail or get acquired. Founders can now outvote the preferred stock holders (the investors).

Founder 245

Founder Technical Review CTO Hire IPO 245

Lightspeed Venture Partners

OCTOBER 1, 2012

pre money valuation). Cuban has interest in a gluten free diet, and claimed that he liked the company, but his only concern was valuation. Since an early exit caps the upside potential, getting in at the right, low valuation is necessary to be able to make a high multiple on your investment. This would never happen in real life.

Pre-Money Valuation 151

Pre-Money Valuation Valuation Participating Preferred Preferred Stock 151

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

Tim Keane

APRIL 12, 2006

We are open to them and prefer to begin to co-invest at. valuation than the previous round. We don’t like them and would prefer not to be involved. It is used by some investors who like the deal but can’t come to terms on valuation. Preferred Stock is the most usual form of investment today. past round one.

Entrepreneur 60

Entrepreneur Valuation Sweat Equity Common Stock 60

abovethecrowd.com

FEBRUARY 24, 2015

An unprecedented 80 private companies have raised financings at valuations over $1B in the last few years. The size of these companies’ private valuations may be similar to a traditional public company valuation, but that is where the similarities begin and end. Consider the case of Fab.com.

IPO 40

IPO Liquidation Preference Valuation Technical Review 40

www.vccafe.com

MARCH 11, 2013

Seed Stage Valuation Guide. broken vc model. Business Culture. Business Model Canvas. Business plan. business symbiosis. Preferred Stock Purchase Agreement. valuations. Useful blogs and links for startups. Best of Y-Combinator Startup Advice. Best of Y- Combinator Startup Advice.

Software Review 53

Software Review Technical Review Startup 53