Women Entrepreneurs Can

MAY 13, 2024

Conversely, lackluster economic data may trigger concerns about sluggish growth or recessionary pressures, prompting investors to adopt a more cautious approach. Conversely, weak economic indicators signalling economic slowdown or deflationary pressures may lead central banks to adopt accommodating measures, such as lowering interest rates.

Stock 52

Stock Valuation Marketing Conversion 52

The Startup Magazine

MARCH 17, 2020

Improve conversion rates on your website. Plugging holes in your sales funnels to increase conversion rates. Festive seasons, holidays, and special occasions that increase the demands for specific products. Some of the threats to watch out for include: Emerging competitors and shifting market demands. eCommerce.).

Marketing 151

Marketing Intellectual Property eCommerce Advertising 151

Tim Keane

JANUARY 12, 2010

Term-sheets and Valuations: Thinking about Negotiations.   I’ve sat down with entrepreneurs and a copy of a term sheet guide I like [ “Term Sheets & Valuations - A Line by Line Look at the Intricacies of Venture Capital Term Sheets & Valuations ” by Alex Wilmerding, Aspatore Press.] The Valuation Question.

Term Sheet 68

Term Sheet Valuation Dividend Liquidation Preference 68

Austin Startup

MARCH 22, 2021

In recent years we’ve seen mega-rounds of investment and sky-high valuations. billion Series D round giving the company a valuation of about $14 billion!* You’ll get quicker and quicker each time you do it, and soon your reputation will precede you due to pent-up demand from buyers and sellers. They raised a whopping $2.4

Software Review 100

Software Review San Francisco Valuation Stock 100

Both Sides of the Table

JULY 6, 2016

You also ran the risk that if you hired employees quickly and then demand wasn’t as strong as expected it was incredibility hard to fire people. In France in some ways it was worse because if you failed as a startup founder you shouldered personal liabilities that don’t exist in the US under our bankruptcy laws.

South Korea 261

South Korea Silicon Valley Los Angeles Japan 261

YoungUpstarts

OCTOBER 28, 2015

Entrepreneurs need to hit a happy medium with backers, not giving away too much but not making overly aggressive demands. “And if you have a valuation cap; a higher cap is always better than a lower cap.” The primary terms for these types of transactions are the valuation cap and the conversion discount.

Convertible Security 100

Convertible Security IP Technical Review Software Review 100

Feld Thoughts

JULY 9, 2019

When I was in Boston a while ago (it was very cold, so it must have been January), I had a wide-ranging conversation with Eric Paley. One of our conversational threads was about how to value companies. One of our conversational threads was about how to value companies. Isn’t accounting fun?

Revenue 179

Revenue Valuation .Net IPO 179

Both Sides of the Table

NOVEMBER 14, 2017

and we were met with weak demand, slow growth and high costs. At MakeSpace we had to build complex models to tell us how our pricing and conversion compared down to the neighborhood level. We spent a few hundred thousand dollars opening up operations in Chicago and Washington D.C.

Operations 286

Operations New York City Technical Review Startup 286

ithacaVC

NOVEMBER 14, 2014

I have written about startup valuations previously. If you are advising startup founders, I strongly suggest having them read all 4 of the posts to get the lay of the startup valuation land. Here is Walla’s post: I can’t tell you how many times I’ve had this conversation. Valuations of other companies like you.

Valuation 69

Valuation Startup Down Round Early Stage 69

David Teten

JANUARY 19, 2021

From RBI, Flexible VCs borrow the ability to reap meaningful returns without demanding founders build for an exit. Yes, via conversion rights at a valuation cap. Yes, via conversion rights at a valuation cap. Santa Clara University shares their demand dividend structure. . Flexible VC: Compensation-based.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

Both Sides of the Table

JANUARY 22, 2014

I had an enjoyable conversation this morning with a young team straight out of college this morning and they were calling to ask advice on how to approach fund raising (angels vs. VCs, how to select a VC, etc.) You don’t really have much to go on to decide who would make a good fit. Reputation of firm? Of partner?

Portfolio 364

Portfolio Chicago Sales Incubator 364

ConversionXL

JULY 16, 2021

Value-centered experiences move the needle (if your audience demands them). As your brand and customer demands evolve, your guidelines will inevitably fluctuate. It took 10 years and steady growth, punctuated by a brilliant messaging strategy, to achieve a $5 billion valuation. . If you fail, trust will break.

Audience 127

Audience Framework Differentiation Software Review 127

Both Sides of the Table

APRIL 21, 2020

Other companies have only seen a slight decline and may be expecting demand to return to normalcy later in the year. The reality is that when unemployment sinks in demand is likely to get worse. A seed deal hasn’t already been “priced up” to a range where a new investor might be concerned about the valuation relative to performance.

Marketing 263

Marketing Valuation Churn Rate Balance Sheet 263

The Startup Magazine

JUNE 1, 2023

There are currently tons of “zombie” startups that have runway, but growth has slowed and they have valuations that they won’t be able to grow into. If the answers are no, have an honest conversation with your VCs today. Ten back and forth emails can often be resolved in a 30-second phone conversation.

Early Stage 146

Early Stage Los Angeles Silicon Valley Cofounder 146

Up and Running

JUNE 14, 2017

Others believe in the start small, grow strong approach: build a small version of the app, test user demand, and then take it from there. And that, by the way, was a great conversion rate for a simple survey-based research for the initial free subscription version of Recycler Spotter. He ended up saying that he would rather wait.

Technical Review 96

Technical Review Distribution Redemption Demand 96

Feld Thoughts

SEPTEMBER 27, 2011

Some sort of conversion does occur. In the case of an early-stage startup that hasn’t issued preferred stock yet, the debt converts into stock of the acquiring company (if it’s a stock deal) at a valuation subject to a cap. If it’s not a stock deal, then one normally sees one of the above scenarios.

Conversion 96

Conversion Sales Later Stage Preferred Stock 96

Genuine VC

JULY 30, 2012

By communicating pricing expectations with potential lead investors, I mean sharing either an “ask” or even stated floor for the pre-money valuation of the company (with a priced preferred round) or explicitly stating a valuation cap (for convertible note round).

Valuation 136

Valuation Pre-Money Valuation Angel Investor Syndicate 136

Both Sides of the Table

FEBRUARY 17, 2011

When times are really good for fund raising many teams delay to maximize their valuation. This conversation seems to come up very frequently these days both with portfolio companies and with entrepreneurs just looking for mentorship. 5 million raised at a $9 million pre-money valuation or 35.7% How long is the window open?

Pre-Money Valuation 303

Pre-Money Valuation Dilution Valuation PR 303

Austin Startup

AUGUST 20, 2017

Keep the valuations consistent with company progress. The bottom line is that the pedigree of your investors will have much to do with your ultimate valuation and with your enjoyment of the startup experience. You can print shares all day long even if you have no cash, so I get the need for that from time to time.

Technical Review 48

Technical Review Software Review Cap Table Securities and Exchange Commission 48

Start Up Blog

APRIL 28, 2011

Geolocating is being used as tool for us as a collective to “assemble” so we can collaborate and take back control of our destiny and conversations. The art of conversation is not being lost…. Sure language has iterated, been redefined, shortened, coded… but the conversations are real and the more meaning and ideas are being exchanged.

Moldova 91

Moldova Internet Australia Libya 91

Hunter Walker

AUGUST 7, 2017

Satya and I rarely see less than a 10% pool created at seed and Series A, but are increasingly engaging with founders about 12-15% pools, especially if you’re going to be hiring in-demand engineers (computer vision, AI) and/or (more typically post Series A), building out a senior executive team.

Equity 94

Equity Pre-Money Valuation Option Pool Founder 94

Startup Professionals Musings

JUNE 22, 2016

Use experiments to test every element of your business model – cost, price, marketing, sales channel, customer acquisition cost, lead conversion rate, and lifetime value. Traction is the measure of how many of these have been validated, and their projection to your business valuation.

Metrics 143

Metrics Advisory Board Startup Lean 143

Hearpreneur

JANUARY 20, 2021

and particular regions of the world would see a spike in COVID cases, any consequent declines in demand for our services would be offset by increased demand elsewhere, thus ensuring a consistent flow of business and no interruption of workflow during these challenging times. As a result, when certain parts of the U.S.

Entrepreneur 118

Entrepreneur Mobile Valuation Global 118

Gust

OCTOBER 21, 2011

In Parts II and III, we looked at commonly used mandatory and voluntary conversion language in convertible notes. Investors would be repaid their principal, plus accrued interest, divided by the conversion price (let’s say 30% discount, so 1 – 0.3 = 0.7). a) payable upon demand as of the closing of such transaction; or. (b)

Finance 79

Finance Pre-Money Valuation Term Sheet Liquidity Event 79

Hunter Walker

JANUARY 10, 2022

I really enjoy our conversations and am especially glad you’re up for some candor, because it’ll help provide some insight into the state of the startup and funding market. The seed round gets done with a surplus of demand — I mean you’re a second time founder working in an area of expertise that is a huge market.

Cofounder 89

Cofounder Founder Acquisition Startup 89

Gust

OCTOBER 12, 2011

In Part II, we looked at the mandatory conversion language that is at the heart of any convertible debt financing. Thus, it’s in everyone’s best interest to see the startup raise more capital rather than declaring default and demanding repayment. First, a word about the maturity date.

Finance 107

Finance Term Sheet Pre-Money Valuation Early Stage 107

www.forentrepreneurs.com

FEBRUARY 2, 2010

This is going to show you the dependency on several critical variables: Cost per lead Conversion rates at each stage of your sales process Level of touch required Then compare this to your expected monetization. Use of the touchless conversion to convert trials to paying customers.

Acquisition 103

Acquisition Cost Customer Entrepreneur 103

Hearpreneur

JANUARY 13, 2021

and particular regions of the world would see a spike in COVID cases, any consequent declines in demand for our services would be offset by increased demand elsewhere, thus ensuring a consistent flow of business and no interruption of workflow during these challenging times. As a result, when certain parts of the U.S.

Entrepreneur 62

Entrepreneur Mobile Valuation Global 62

Hippoland

MARCH 5, 2017

3) Tell all potential VCs about where your conversations stand with other VCs If you are going into second round / later stage meetings with VCs, make sure all the VCs you’re talking to know this. “I Also, if you get a term sheet with a valuation that is much lower than you’d hoped / anticipated, this is not the end of the world.

Term Sheet 48

Term Sheet Valuation Later Stage Aggregator 48

Both Sides of the Table

SEPTEMBER 5, 2012

What the entrepreneurs were really saying is, “I don’t want to take a lower valuation now, while I don’t have customers or a full team. They can occur legitimately in a company whose valuation skyrockets unexpectedly as in, “your last round was at $50 million and you want to raise 9 months later at $750 million.

Ratchet 354

Ratchet Liquidation Preference Equity Stock 354

Feld Thoughts

JUNE 2, 2015

Or, if you just want the paragraph, it’s: “If this note converts at a price higher than the cap that you have been given you agree that in the conversion of the note into equity you agree to allow your stock to be converted such that you will receive no more than a 1x non-participating liquidation preference plus any agreed interest.”.

Liquidation Preference 70

Liquidation Preference Cap Table Angel Investor Post-Money Valuation 70

Feld Thoughts

FEBRUARY 15, 2016

“I remember a series of conversations I had with Brad Feld in 2008 about his perspective on investing through various parts of economic cycles. Brad was (and is) resolute in his belief that creating outsized returns in the venture industry demands ignoring the macro environment as it relates to investment pace.”

Silicon Valley 70

Silicon Valley Term Sheet Early Stage New York 70

VC Cafe

OCTOBER 31, 2022

But even in the seed market the bar could get higher: I wouldn’t be surprised to see valuations drop and for VCs to have rising expectations about the level of traction they expect to see before funding. Two weeks ago in San Francisco, a conversation with tech lawyers from the US and Europe was a confirmation of what I read in the news.

Founder 173

Founder Technical Review Down Round Liquidation Preference 173

Software By Rob

JANUARY 8, 2019

Hundreds and hundreds of tweets, re-tweets, likes, Hacker News upvotes, email responses…it was immediately obvious that there is pent up demand for this kind of alternative early-stage startup funding. The response was overwhelming. Previously On.TinySeed. On average, a unicorn is found less than 3% of the time.

Early Stage 46

Early Stage Valuation Seed Capital Revenue 46

Austin Startup

MAY 11, 2018

Don’t monopolize the conversation. Another no-brainer, but one that is repeatedly violated, most often at events where a VC is in conversation with a group of founders from different companies. Invariably, one or two people in the group think that this is a competition to see who can one-up, interrupt and dominate the conversation.

Elevator Pitch 48

Elevator Pitch Valuation Conversion Portfolio 48

David Teten

DECEMBER 3, 2019

Tim Friedman, Founder, PE Stack , said, “If I could offer one piece of advice to today’s managers, it would be to take the time to understand the demands of the modern institutional LP. An added benefit is that investors can indicate the specific price per share or valuation of the company they want to invest in.”. 3) Raise capital.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

Austin Startup

SEPTEMBER 27, 2017

Don’t monopolize the conversation. Another no-brainer, but one that is repeatedly violated, most often at events where a VC is in conversation with a group of founders from different companies. Invariably, one or two people in the group think that this is a competition to see who can one-up, interrupt and dominate the conversation.

Entrepreneur 50

Entrepreneur Elevator Pitch Valuation Conversion 50