Both Sides of the Table

JUNE 30, 2016

It is a truism that with more capital you will hire people more quickly and spend more liberally whether it’s on external contractors, PR firms, attending events, doing legal work (trademarks, patents) or whatever. It forces harder decisions about whom you’ll hire and whom you’ll delay. million or $4 million.

Pre-Money Valuation 292

Pre-Money Valuation Valuation Early Stage Startup 292

VC Cafe

MAY 29, 2022

Building on my post on ‘ Advice for startups in a downturn (May 2022 edition) ‘, this week I continued to follow with interest the impact of the current correction on startups and venture capital, particularly in early stage. Layoffs and hiring freezes have started. Sequoia’s Adapting to Endure.

Venture Capital 183

Venture Capital Early Stage Valuation Startup 183

View from Seed

FEBRUARY 19, 2015

I called the recruiter running the search and told him I was going to step down and hire a CEO. So, in order to hire a CEO, we have to give someone their first shot at the job.” It’s nice to get great valuations and hire A-players. His response changed the way I thought about the CEO role for the next five years.

Founder 120

Founder Startup Cofounder Business Model 120

www.paulgraham.com

APRIL 28, 2010

One of the dangers of taking investment from individual angels,rather than through an angel group or investment firm, is that theyhave less reputation to protect. Angels and even VC firms occasionally do this, but they alsoinvest at later stages. The problems are different in the early stages.

Technical Review 76

Technical Review Startup Software Review Angel Investor 76

abovethecrowd.com

APRIL 20, 2016

Also, they have a strong belief that any sign of weakness (such as a down round) will have a catastrophic impact on their culture, hiring process, and ability to retain employees. Their own ego is also a factor – will a down round signal weakness? A down round is nothing.

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

www.quora.com

SEPTEMBER 22, 2011

Early employees are paid a salary from day 1, don't have to have the reputation/connections to raise money, take on much less risk, and often have much more information about the company (team so far, financials, product traction/progress) when they decide to join than the founders do when they found the company.

Equity 40

Equity Employee Founder Cofounder 40