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What Does the Post Crash VC Market Look Like?

Both Sides of the Table

Should SaaS companies trade at a 24x Enterprise Value (EV) to Next Twelve Month (NTM) Revenue multiple as they did in November 2021? For Upfront Ventures, across > 25 years of investing in any given fund 5–8 investments will return more than 80% of all distributions and it’s generally out of 30–40 investments. So it’s about 20%.

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What Happens When Startups Turn from Their Innovation Stage to Operational Excellence?

Both Sides of the Table

We realized that operating a business in distributed markets presented multi-city coordination efforts that we weren’t prepared for. were more distributed. An example of the systems companies build are pricing & revenue management tools to best help to optimize yield.

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The Pros and Cons of Rando Rich People Investing in Your Startup

This is going to be BIG.

On the other hand, they could be the opposite—much more focused on near-term cash distributions than long-term equity appreciation. They might not understand how a pre-revenue startup could be worth anything, let alone be valued at $5mm. That’s why I normally ask for a Board Observer seat.

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Flexible VC, a New Model for Companies Targeting Profitability

David Teten

More and more startups are pursuing Revenue-Based VCs , but “RBI” doesn’t fit everyone. Flexible VC 101: Equity Meets Revenue Share. By tying payments to actual revenues, founders and investors remain aligned around the company’s real-time performance, good or bad. Flexible VC: Revenue -based. Of the Inc.

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How to Raise Investment Capital - According to VC Jeff Clavier

ReadWriteStart

He says that one is too lonely, two is good and three is a great number if they can combine their skills to cover design, development and distribution. The conversation at investment banks was 'why don't we have one of those?'. with a run rate of 12 to 18 months: 6 months of development and then 12 months of distribution.

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Why you probably don’t need an API strategy

The Next Web

The majority of the non-technical conversations in the API industry seem to be focusing on terms like “API strategy” and “API economy.” The most common example of an API strategy is around companies who aspire to build a developer community as a new revenue source or as the foundation of their business. The problem: “API Strategy”.

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Should Startups Care About Profitability?

Both Sides of the Table

70–80% of the costs of most startups are employee costs so what you’re really talking about when a company is unprofitable is that they are growing their staff ahead of their revenue. Revenue When I look at an income statement I start by focusing on the revenue line. You need to understand the “quality” of the revenue.