ReadWriteStart

JANUARY 20, 2020

insert founder number] of the founders dropped out of [insert Ivy League school]. We wish we were the founders, experiencing this testosterone-fueled melodrama of success. All while the majority of the economy is driven greatly by boring industries often owned by private equity, not venture capital.

Sweat Equity 107

Sweat Equity Non-Compete Startup Azure 107

VC Cafe

MARCH 1, 2024

Most startups equate the process of fundraising to dating – founders have to typically kiss a lot of frogs until the find the right fit. Technological Convergence – The global equity market value associated with disruptive innovation could increase to 60% by 2030. trillion by 2030.

Artificial Inteligence 176

Artificial Inteligence Technical Review Software Review Generative AI 176

ReadWriteStart

AUGUST 28, 2012

But when it comes to core technical skills, more and more entrepreneurs are opting to partner with technical co-founders rather than hiring someone for an in-house position. I really believe that what’s most important for a founder is the ability to have a vision for the company, make sales and hire well. Laura Roeder , LKR.

Technical Review 131

Technical Review Cofounder Founder Software Review 131

David Teten

SEPTEMBER 23, 2017

Private equity and venture capital investors are copying our sisters in the hedge fund and mutual fund world: we’re trying to automate more of our job. High-frequency trading, algorithmic by its nature, is estimated to account for at least 50% of US equity markets trading volume. . But we’re doing it slowly. Pitchbot.vc

Private Equity 60

Private Equity Venture Capital Equity Technical Review 60

David Teten

AUGUST 19, 2019

I’ve been a traditional equity VC for 8 years, and I’m now researching new business models in venture capital. Though RBI will displace some traditional equity VC, its much bigger impact will be to expand the pool of capital available for early-stage entrepreneurs. .

Revenue 60

Revenue Term Sheet Founder Technical Review 60

ReadWriteStart

JUNE 1, 2020

In very few specific cases, depending on the nature of the business, the business model might demand a considerable gestation period or extensive research and development. Forms of funding. ? Equity investment. Equity investment is the most popular and most talked-about avenue for startup funding. Equity investors.

Startup 150

Startup Entrepreneur Elevator Pitch Seed Stage 150

ReadWriteStart

JANUARY 20, 2020

We wish we were the founders, experiencing this testosterone-fueled melodrama of success. All while the majority of the economy is driven greatly by boring industries often owned by private equity, not venture capital. Many Startups Lack Demand In both funding startups and servicing them, I have seen almost every idea under the sun.

Sweat Equity 78

Sweat Equity Non-Compete Startup Azure 78

ConversionXL

JANUARY 18, 2022

It partners with sales to close more revenue, informs product teams to deliver better products, and in some cases, co-owns demand generation activities with marketing teams. Post-launch, product marketers focus on improving sales enablement and work to drive demand and adoption of the product. But success didn’t happen overnight.

Marketing 110

Marketing Product Audience Equity 110

ReadWriteStart

AUGUST 28, 2012

But when it comes to core technical skills, more and more entrepreneurs are opting to partner with technical co-founders rather than hiring someone for an in-house position. You Need To Know Tech Basics I really believe that what’s most important for a founder is the ability to have a vision for the company, make sales and hire well.

Technical Review 79

Technical Review Cofounder Founder Software Review 79

Startup Lessons Learned

APRIL 24, 2012

The following is an excerpt from HBS Professor Noam Wasserman’s new book, The Founder's Dilemmas: Anticipating and Avoiding the Pitfalls That Can Sink a Startup. The book taps Noam’s analyses of data on 10,000 founders, plus the personal stories of Evan Williams of Twitter, Tim Westergren of Pandora, and two dozen other founders.

Equity 168

Equity Founder Cofounder Vesting 168

Startup Professionals Musings

SEPTEMBER 27, 2023

Every entrepreneur needs to understand the following basics, to be addressed at company formation, as they engage a qualified attorney to draw up the paperwork: Allocate founder’s stock commensurate with commitment. Key founder vesting should have no cliff. Facilitate an upgrade of founder’s common to founder’s preferred.

Stock 240

Stock .Net Vesting Founder Vesting 240

Startup Professionals Musings

DECEMBER 23, 2013

Yet, according to many sources , over 90 percent of all businesses are started and grown with no equity financing, and many others would have been better off without it. In fact, most of the rich entrepreneurs you know actively turned away early equity proposals. General startup expenses are beyond your means.

Bootstrapping 252

Bootstrapping Sweat Equity Entrepreneur Technical Review 252

YoungUpstarts

OCTOBER 6, 2020

Conversely, if you are selling a company, and have managed your tech debt such that your liability or debt rating is low, this could create an advantage for you in negotiating a potential premium, as you have built tech equity rather than accrued debt. Another path open to SMBs dealing with tech debt is collaboration.

Technical Review 246

Technical Review Small Business Software Review Security 246

Both Sides of the Table

MAY 28, 2018

There’s a quick litmus-test conversation any early-stage VC will have with the founder and it’s one that you should be as prepared for as your elevator pitch. Founder: “$8–10 million” VC: “What’s your current burn rate?” Founder: “$250k / month.” Founder: “Um. Having too little demand leads to bankruptcy.

Burn Rate 247

Burn Rate Valuation Pre-Money Valuation Dilution 247

Startup Company Lawyer

AUGUST 31, 2012

Quick answer: convertible equity (or a convertible security) is convertible debt without the repayment feature at maturity or interest. ” In response, Seth Levine wrote a very thoughtful post on convertible debt versus equity. Fred Wilson has been openly critical of convertible debt , and prefers priced equity rounds.

Convertible Security 73

Convertible Security Equity Security Preferred Stock 73

Startup Professionals Musings

SEPTEMBER 22, 2011

Yet, according to many sources , over 90 percent of all businesses are started and grown with no equity financing, and many others would have been better off without it. In fact, most of the rich entrepreneurs you know actively turned away early equity proposals. General startup expenses are beyond your means.

Sweat Equity 255

Sweat Equity Technical Review Entrepreneur Bootstrapping 255

Startup Professionals Musings

NOVEMBER 13, 2012

Yet, according to many sources , over 90 percent of all businesses are started and grown with no equity financing, and many others would have been better off without it. In fact, most of the rich entrepreneurs you know actively turned away early equity proposals. General startup expenses are beyond your means.

Sweat Equity 239

Sweat Equity Technical Review Bootstrapping Equity 239

YoungUpstarts

SEPTEMBER 23, 2017

Deciding whether to increase money or trade equity in the business for much needed assistance, could be a tough call. I raised money and traded equity, but with my venture, I had to make one of the toughest decisions, to build it with some assistance of co-founders. Find the right co-founders.

Cofounder 109

Cofounder Sweat Equity Equity Dilution 109

Duct Tape Marketing

APRIL 6, 2022

Steve is the CEO of Founders Space, one of the world’s leading startup accelerators with over 50 partners in 22 countries. Founders Space was ranked the #1 incubator for overseas startups by Forbes and Entrepreneur Magazines. 18:05] How does the Founder Space operate? [20:21] He's the CEO of founders space.

San Francisco 97

San Francisco Technical Review Incubator Silicon Valley 97

YoungUpstarts

AUGUST 25, 2017

Traditionally, VC investors would invest $X million in a startup for a certain percentage of equity, decision making rights, and the power to block things they didn’t agree with. Just like everything else, VC investment is subject to the whims of supply and demand. Cheaper capital costs. That has now changed for good.

Venture Capital 184

Venture Capital Technical Review Kenya Startup 184

Hunter Walker

AUGUST 7, 2017

Employee options pools, typically created at the point of financings, shouldn’t be treated as haggling over dilution, but rather a strategic resource that will help founders build the best team and, by extension, a more valuable company.

Equity 94

Equity Pre-Money Valuation Option Pool Founder 94

Gust

DECEMBER 15, 2013

Yet, according to many sources , over 90 percent of all businesses are started and grown with no equity financing, and many others would have been better off without it. In fact, most of the rich entrepreneurs you know actively turned away early equity proposals. General startup expenses are beyond your means.

Bootstrapping 183

Bootstrapping Sweat Equity Entrepreneur Technical Review 183

Austin Startup

OCTOBER 11, 2021

The round brings Honor’s total equity funding to date to $325 million and values the company at over $1.25 We’re looking to triple the size of our engineering and product team within the next year,” said Sandy Jen, co-founder and chief technology officer for Honor. “We Honor Technology, Inc. ,

Technical Review 62

Technical Review Engineer Finance Technology 62

Startup Professionals Musings

SEPTEMBER 26, 2015

Investors, on the other hand, look at the money figure, and even the equity, as the easy part. Here is a summary of the key terms to expect on the term sheet, or the contract between the founder and investor: Consideration given for the money invested. This is a loan with an option to convert to equity at a later date.

Term Sheet 120

Term Sheet Demand Preferred Stock Liquidation Preference 120

YoungUpstarts

OCTOBER 28, 2015

Entrepreneurs need to hit a happy medium with backers, not giving away too much but not making overly aggressive demands. They also need to decide whether to structure terms as an equity deal or a convertible security deal. Incorporation also protects the founders from a liability standpoint. ” The Cost of Financing.

Convertible Security 100

Convertible Security IP Technical Review Software Review 100

Startup Professionals Musings

JANUARY 15, 2021

Every entrepreneur needs to understand the following basics, to be addressed at company formation, as they engage a qualified attorney to draw up the paperwork: Allocate founder’s stock commensurate with commitment. Key founder vesting should have no cliff. Facilitate an upgrade of founder’s common to founder’s preferred.

Vesting 298

Vesting Dilution Stock Founder Vesting 298

Startup Professionals Musings

OCTOBER 16, 2023

External investors will demand a financial forecast, but it’s equally valuable to you, even if bootstrapping. Controlling cash flow is critical as founders move from working “in” the business to working “on” the business. Be willing to give up 20 to 33 percent of your equity to support this.

Forecast 290

Forecast Burn Rate Widget Business Plan 290

Startup Professionals Musings

JULY 19, 2013

Most entrepreneurs struggle with many startup Founders dilemmas in building their business, and these key dilemmas are probably the biggest source of pain and failure for the entrepreneur lifestyle. Don’t wait for the harsh reality of the demanding business world to start thinking about these tradeoffs.

Founder 245

Founder Hockey Stick Cofounder Liquidity Event 245

Steve Blank

OCTOBER 30, 2012

The class teaches founders how to dramatically reduce their failure rate through the combination of business model design, customer development and agile development using the Startup Owners Manual. More importantly, it makes no demands of you to stand and deliver your weekly customer development progress in front of your peers.

Startup 335

Startup Lean Incubator Business Model 335

Startup Professionals Musings

MAY 30, 2022

That’s where I see too much entrepreneur burnout, growth plateaus, and founders being replaced, to their chagrin. According to one study a decade ago, only 45% of founders plan to exit after stage one, and my guess is that less than half the remainder survive the next stage in their own company. There is no free lunch.

Mezzanine 368

Mezzanine Private Equity Bandwidth Metrics 368

Up and Running

MARCH 12, 2019

For a lot of non-technical founders—that is, entrepreneurs with a business idea but without technical expertise— sourcing software development talent is critical. In many areas, however, the high demand for tech talent appears to be larger than the supply of qualified tech and software developers for hire.

IP 80

IP Software Developers Software Development Intellectual Property 80

Up and Running

MAY 15, 2014

When I was going through the co-founder “dating” process, I’d found a potential partner through my network who seemed to be perfect. At the end of the month, we’d evaluate the partnership and discuss equity. And from this pool of talented people, I ultimately ended up with another co-founder—this time one that would stick.

Partner 113

Partner Cofounder Equity Metrics 113

This is going to be BIG.

MAY 17, 2012

2) Supply and demand of capital willing to invest in your company. That means that founders as a group will be right around 50% ownership after two rounds. The other way to move that number is much more simple-- generate more demand for the round than there is supply of allocation. It's a function of a few things.

Venture Capital 116

Venture Capital Framework Dilution Equity 116

YoungUpstarts

NOVEMBER 27, 2018

by Emmanuel de Watteville, co-founder of Blue Ocean Ventures. From there, it’s time to inquire what the value of the company currently is and if their investment is going towards equity or loans. Before sealing the deal, the final step is to learn whether or not the company’s founder is willing to pivot in the future.

Early Stage 138

Early Stage Cofounder Startup Security 138

www.drowningamerican.com

JUNE 22, 2012

Next → How we Hire for Sweat Equity (Part 2)… Posted on April 7, 2011 by Travis Biziorek. Developers weren’t as in high of demand. Any reasonable founder salary I pay myself (I’m ball-parking $70k… maybe a bit less) will already be a higher salary than I’ve ever earned in my life.

Sweat Equity 40

Sweat Equity Equity Hiring Technical Review 40

fi.co

DECEMBER 4, 2012

Founder Feedback. Why a 50/50 Split is Almost Never Right for Co-Founders by @DaveParkerSEA. Founder Feedback gives you insights from the startup trenches. Applications to the Seattle Founder Institute are also due this Sunday, February 26th: click here to apply. . -->. -->. -->. Blog. Posted by Jonathan Greechan.

Cofounder 43

Cofounder Founder Silicon Valley San Diego 43

Austin Startup

FEBRUARY 28, 2019

A systems-wide approach to operationalize diversity, equity and inclusion throughout the startup ecosystem is required and must be built from the ground by communities of color with the support and investment of all. Opportunity Hub is one of those communities forging the path towards true diversity, equity and inclusion.

Partner 55

Partner Cofounder Technical Cofounder Equity 55