Startup Professionals Musings

OCTOBER 5, 2014

Things will cost more than you expect. Deferred payments start with stretching the payables period but, more importantly, include giving employee equity in lieu of a higher salaries and negotiating vendor deferred payments out of future revenues. Cashflow out equates to burn rate, and the runway depends on your reserves.

Burn Rate 262

Burn Rate Hockey Stick Entrepreneur Salary 262

Startup Professionals Musings

OCTOBER 17, 2022

The cost of entry for tech startups continues to go down. Twenty years ago, it cost several million dollars to launch an e-commerce startup, which can be done today for a few thousand dollars. Mobile and web software apps may cost even less. Super angels have greater scope to match talent with a startup.

Angel Investor 342

Angel Investor Venture Capital Silicon Valley Portfolio 342

ConversionXL

JANUARY 18, 2022

And then it ensures that all of the organization’s efforts match that true north. Brand marketing is concerned with objectives such as: Brand tracking , identity, and recognition; Improving brand awareness ; Building brand equity ; Understanding and influencing consumer perceptions about the brand. Image source. Image source.

Marketing 110

Marketing Product Audience Equity 110

Startup Professionals Musings

NOVEMBER 6, 2020

It seems that most of you entrepreneurs I meet in my role as business advisor are convinced that starting a new business requires equity investors, exponential growth, and a plan to go public via IPO. Use flexibility to match your lifestyle. Personal income is related to operations versus equity.

Small Business 311

Small Business Small Business Administration SBA Equity 311

Startup Professionals Musings

OCTOBER 2, 2023

Beyond these believers, you need to match your credentials and interests with the multitude of public, academic and government organizations that proclaim to foster research and early development, to satisfy the long-term needs of the people or organizations they support. They believe in you above all else.

Angel Investor 256

Angel Investor Early Stage Incubator Government 256

Startup Professionals Musings

SEPTEMBER 14, 2016

Things will cost more than you expect. Deferred payments start with stretching the payables period but, more importantly, include giving employee equity in lieu of a higher salaries and negotiating vendor deferred payments out of future revenues. Cash flow out equates to burn rate, and the runway depends on your reserves.

Burn Rate 120

Burn Rate Hockey Stick Startup Salary 120

SoCal CTO

DECEMBER 14, 2009

reduced salary, partial equity, good experience, etc. I’ll give you equity in the company.” Second, there’s this funny perception that the cost of software development have been dramatically changed in the past few years. They haven’t. Likely a lot of time and effort.

Software Developers 150

Software Developers Software Development Software Developer 150

Startup Professionals Musings

MARCH 15, 2023

Investors want to hear a quantified problem, a simple solution description, opportunity size, competition, traction, team qualifications, how much money you need, and what equity you are willing to give. In a more general sense, find out as much as you can about every group and person you address, and tune your pitch ahead of time to match.

Entrepreneur 279

Entrepreneur Due Diligence Angel Investor Silicon Valley 279

Startup Professionals Musings

AUGUST 5, 2023

The first step is to set your criteria, including a match for your sector type and stage, and then proactively seek out and contact the best candidates: Review profiles on professional social media sites. Searching LinkedIn, for example, is a must for contemporary entrepreneurs.

Angel Investor 246

Angel Investor Stealth Bootstrapping Early Stage 246

Startup Professionals Musings

OCTOBER 23, 2017

Of course, the right ones cost may you equity, but a small percentage of a big business is worth far more to you than a large chunk of nothing. You will be motivated to hone your skills as a leader, and everyone will be motivated to raise their game to match the top performers. Make coming to work fun and exhilarating.

Startup 165

Startup Technical Review Partner Finance 165

Startup Professionals Musings

JANUARY 18, 2021

Beyond these believers, you need to match your credentials and interests with the multitude of public, academic and government organizations that proclaim to foster research and early development, to satisfy the long-term needs of the people or organizations they support. They believe in you above all else.

Early Stage 412

Early Stage Angel Investor Incubator Government 412

Up and Running

OCTOBER 19, 2021

Indeed, it’ll take more than charisma, networking, and business savvy to win over top talent — you’ll need a budget to match, too. If your team’s starting salaries leave something to be desired, consider adding equity to your compensation packages, as well. Offer unconventional but practical employee benefits.

Startup 127

Startup Salary Stock Options Employee 127

Startup Professionals Musings

JANUARY 19, 2020

The cost of entry for tech startups continues to go down. Twenty years ago, it cost several million dollars to launch an e-commerce startup, which can be done today for a few thousand dollars. Mobile and web software apps may cost even less. Super angels have greater scope to match talent with a startup.

Angel Investor 314

Angel Investor Venture Capital Silicon Valley Startup 314

Startup Professionals Musings

JUNE 26, 2015

Skip the fuzzy marketing terms, such as "easier to use," "lower cost" and "disruptive technology." " Investors want to buy into an entrepreneur with a startup that can provide evidence of an ability to double customer productivity, at half the cost, with patented technology.

Intellectual Property 120

Intellectual Property Elevator Pitch Angel Investor Technical Review 120

Startup Professionals Musings

NOVEMBER 22, 2020

The first step is to set your criteria, including a match for your sector type and stage, and then proactively seek out and contact the best candidates: Review profiles on professional social media sites. Searching LinkedIn, for example, is a must for contemporary entrepreneurs.

Stealth 434

Stealth Startup Angel Investor Bootstrapping 434

Startup Professionals Musings

OCTOBER 19, 2015

In fact, an entrepreneur friend of mine, who made millions on her marketing expertise, asserted recently that most inventors fail in business because they refuse to believe that any business expertise or experience is worth more than 5 percent in partner equity. The best technologies are barely invisible and low cost.

Technical Review 120

Technical Review Intellectual Property Cofounder Bootstrapping 120

Startup Lessons Learned

APRIL 24, 2012

." - Eric The following is an exclusive excerpt which sets up a common pitfall regarding equity splits. In Noam’s dataset, 73% of founding teams split equity within a month of founding, a striking number given the big uncertainties early in the life of any startup. But such a best-case approach is hazardous. Uncertainties abound.

Equity 168

Equity Founder Cofounder Vesting 168

YoungUpstarts

OCTOBER 25, 2018

Hillcrest Merchant Partners concentrates on investing their own capital in early stage companies, and advisory areas that include equity and debt structuring, reverse takeovers, M&A advisory and private to public processes. Study them through their websites and the business media to ensure a good match.

Partner 104

Partner Technical Review Management Due Diligence 104

Startup Professionals Musings

JUNE 14, 2020

Investors want to hear a quantified problem, a simple solution description, opportunity size, competition, traction, team qualifications, how much money you need, and what equity you are willing to give. In a more general sense, find out as much as you can about every group and person you address, and tune your pitch ahead of time to match.

Due Diligence 317

Due Diligence Angel Investor Silicon Valley Green 317

NZ Entrepreneur

MAY 27, 2019

If you’re scared about giving up on control or equity, then read on. After you have validated your idea and studied your market (which costs next to nothing), you can build screenshots or a very simple demo. You should always try and match your skills with a cofounder who has opposing skills while you focus on what you are good at.

Technical Cofounder 64

Technical Cofounder Cofounder Technical Review Software Review 64

David Teten

MAY 1, 2013

The name needs to match the business. Keyword rich domain names get a considerable boost in search rankings; an exact match is even better. Just purchasing an Exact Match Domain name is not enough.”. First, any branding and SEO equity you built up under the old name are jeopardized. Linguistic Characteristics.

Naming 114

Naming Semantic Venture Capital Startup 114

The Startup Magazine

MAY 19, 2020

A stock, which can also be referred to as a share or equity, is a proof of ownership of a fraction or part of a business entity. It is one major thing that will help you choose a broker that will match your profile. Another thing to consider are the associated costs and fees with buying from a particular stockbroker.

Stock 90

Stock Securities and Exchange Commission United Kingdom Technical Review 90

Steve Blank

MARCH 31, 2014

In spite of this, private equity funds have used the rallying cry of efficiency to hijack corporate strategy and loot the profits that historically would have been reinvested into research and development and new products. For example they can reduce component cost, introduce a line extension or create new versions of the existing product.

Private Equity 325

Private Equity Metrics China Intellectual Property 325

YoungUpstarts

JULY 20, 2016

To bridge the divide between the need for capital and the difficulty in obtaining it, online lenders have entered the scene and their services allow entrepreneurs to gather the capital they need to purchase inventory, start marketing campaigns, hire new staff, pay for startup attorneys and deal with other miscellaneous startup costs.

Startup 100

Startup Technical Review Small Business Administration Revenue 100

Berkonomics

AUGUST 3, 2023

When the need is high… For the rest of us, desiring to build large, valuable enterprises quickly, the need for outside capital is high on our list of requirements and even the source for some sleepless nights as we worry over the availability and cost of capital. Often private equity investors will want control of the business as well.

Private Equity 118

Private Equity Valuation Cap Table Accredited Investor 118

Hearpreneur

JULY 24, 2020

5- More due to low costs. The cost of technology and the services needed to start and run a business has come down dramatically. Most entrepreneurs arise after they feel unappreciated at their jobs (their production does not match their compensation) or envision things differently than management. Photo Credit: Michael Zipurzky.

Entrepreneur 132

Entrepreneur Technical Review Security Demand 132

OnlyOnce

OCTOBER 26, 2023

It’s that we approach the whole topic differently and with a more flexible mindset that matches the dynamic needs of our startup and growth stage clients. It’s not just that we do full-time searches better, faster, and cheaper than traditional search firms.

Search 71

Search Equity Matching Leadership 71

Startup Professionals Musings

FEBRUARY 19, 2018

Of course, the average beginning amount per startup is low, and usually in the form of a convertible loan, rather than an equity investment. The vehicle of choice is most often a convertible note, which is really a loan with a specified duration and interest, with an option to convert it to equity when professional investors come in later.

Elevator Pitch 215

Elevator Pitch Equity Revenue Differentiation 215

Both Sides of the Table

NOVEMBER 19, 2009

Somebody asks whether you plan to set up 401k’s and do contribution matching. He would have found somebody technical and inspired that individual to work for equity or deferred payment. Your head of sales thinks she should fire somebody. You need to decide whether or not to launch at TechCrunch50. I said that was my point.

Entrepreneur 414

Entrepreneur Fractional CTO Technical Review CTO Hire 414

YoungUpstarts

APRIL 24, 2018

Fraud for profit focuses on misusing the mortgage lending process to get cash and equity from lenders or homeowners. If you suspect your home appraisal has red flags, you can always get a second appraisal—this may cost up to $500 depending on the size of the home, but it might be worth it if it keeps you from a bigger issue.

Technical Review 134

Technical Review Demand Equity Reputation 134

David Teten

JANUARY 21, 2021

V: Should you raise venture capital from a traditional equity VC or a Revenue-Based Investing VC? VI: Revenue-based financing: The next step for private equity and early-stage investment. VIII: The Leading Flexible VCs, With Structures Between Equity and Revenue-Based Investing.

Equity 78

Equity Revenue Cofounder Colorado 78

Startup Professionals Musings

DECEMBER 27, 2014

Individual angel investors have been filling the gap, and now match VCs in total amount invested. The cost of entry for tech startups continues to go down. Twenty years ago, it cost several million dollars to launch an e-commerce startup, which can be done today for a few thousand dollars.

Angel Investor 260

Angel Investor Silicon Valley Startup Portfolio 260

Version One Ventures

OCTOBER 15, 2020

But the Lightning Network offers two entirely different value props that no other blockchain or smart contracts platform can match: Instant settlement in bitcoin with nearly 0 fees (Ethereum fees spiking to >$10 /transaction during the DeFi craze of sumer 2020 was a good reminder of its own scalability limitations).

Networking 168

Networking Global OTC Security 168

ReadWriteStart

MARCH 29, 2023

A well-detailed business plan, a launch plan, early funding, and the right talent and equity from founders are all among the basic ingredients that can help get a startup off the ground. Fees And Costs Another thing that comes to mind when choosing a bank is how much you will end up paying in fees and additional bank account charges.

Artificial Inteligence 129

Artificial Inteligence Startup Silicon Valley Small Business 129

Up and Running

AUGUST 29, 2014

Part of a venture feasibility study is to look at what financial resources are already available in personal bank accounts, equity in a home, life insurance, family and friends or from selling assets. A major cause of business failure is not having enough cash available to cover all startup costs and operate for at least a year.

Small Business 87

Small Business CPA Government North America 87

Startup Professionals Musings

AUGUST 17, 2014

Projecting the financials should be the last step of your business plan preparation, since it assumes you already know the opportunity size, customer buying habits, pricing, costs, and competition. Here are some basic “rules of thumb” that every Angel or venture capital equity investor uses, to help you anticipate their reactions.

Liquidity Event 249

Liquidity Event Equity Venture Capital Merger 249

Tim Keane

MARCH 9, 2011

This seems like an easy topic – debt where there is appropriate cash flow, equity when there isn’t.  The overarching idea, of course, is to reduce the cost of capital while maintaining appropriate flexibility for the venture.  2]   Aligning interests in structure: cost and risk. five years.). . 

Finance 83

Finance Bootstrapping Startup Equity 83