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In Venture Capital, Should You Be a Momentum or a Value Investor?

David Teten

You identify the “hot” companies; network into them; and sell them on the value of accepting your capital. Likely signs of a Momentum investment: the round is oversubscribed and the entrepreneur has more negotiating leverage than VCs during the closing process. . were clearly Momentum, but [in hindsight] they were also Value.”

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Startup Fairy Tales and Other Tall Tales That Venture Capitalists Tell

Growthink Blog

Through connections, or through a chance meeting at a networking or social event, an angel investor hears the entrepreneur's story, likes them and their technology, and on the spot, writes a check to provide the company with its first outside financing. And they hire very aggressive securities attorneys to represent their interests.

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People-First Capitalism

Reid Hoffman

But once again, Brian and his team showed a remarkable ability to adapt, and they did so in a way that preserved the health of the entire network of Airbnb. I mean obviously, we’re a network business and networks get stronger the bigger they get. It’s a network, it’s a set of folks within it. Because capitalism isn’t won.

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People-First Capitalism

Reid Hoffman

But once again, Brian and his team showed a remarkable ability to adapt, and they did so in a way that preserved the health of the entire network of Airbnb. I mean obviously, we’re a network business and networks get stronger the bigger they get. It’s a network, it’s a set of folks within it. Because capitalism isn’t won.

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The Future of Startups 2013-2017

Scalable Startup

And that’s been reflected in the entrepreneurial community, where entrepreneurs, especially between 2000 and 2008, entrepreneurs really only wanted to do — for the most part wanted to do consumer software, because that’s the only software that they could actually get anybody to adopt. So that’s the big, big, big change that’s happened.

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Are Investors Being Unreasonable? - Startups and angels: Along the.

Tim Keane

"  The problem has been that too-high valuations and too generous terms have spawned painful down rounds that squash the entrepreneur and his early investors.    New money, usually VC money, comes in and crams down those early investors and takes substantial shares from the entrepreneur.