Remove Down Round Remove Finance Remove Metrics Remove Venture Capital
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Bad Notes on Venture Capital

Both Sides of the Table

On the phone … Me: So, you raised venture capital? We raised a seed round. You’ll find out the minimum when the next round is raised. It’s like we need a finance 101 course for entrepreneurs. Him: But when I raised my first round we didn’t know how to price the company. Your A round?

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In Venture Capital, Should You Be a Momentum or a Value Investor?

David Teten

Likely signs of a Value investment: the company has challenges in filling out the round; the investors have more negotiating leverage than the founders during the closing process; the company has significantly better metrics (e.g. The reverse also holds: a Value investment can become Momentum, and then follow with a down round.

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Why Startups Should Raise Money at the Top End of Normal

Both Sides of the Table

So in 2011 as a startup company if you can generate lots of demand you can definitely raise an A round of capital (say $3 million) at a $7 or 8 million pre-money valuation or slightly higher whereas just two years ago you would have struggled. That’s fine. I’m a VC so I have an obvious bias. Here’s the problem.

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Bad Notes on VC

Gust

Me: So, you raised venture capital? We raised a seed round. You’ll find out the minimum when the next round is raised. It’s like we need a finance 101 course for entrepreneurs. Him: But when I raised my first round we didn’t know how to price the company. There were no metrics. Your A round?

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Startup Fairy Tales and Other Tall Tales That Venture Capitalists Tell

Growthink Blog

The typical wisdom regarding the appropriate financing course for a new company goes as follows: 1. This venture capital financing - usually between $3 and $10 million - is the first of a number of rounds of outside investment over a period of three to five years. There are a lot of dark, hard days.

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What I *Would Have* Said at TechCrunch Disrupt

Both Sides of the Table

There are real changes in the venture capital industry and it would have been fun to talk about them. What micro VCs need to consider is what happens when several of your companies want to grow and require VC financing? Or when the economy turns downward and they all need financing extensions? Answer: Not much.

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On the Road to Recap:

abovethecrowd.com

Why the Unicorn Financing Market Just Became Dangerous…For All Involved. In February of last year, Fortune magazine writers Erin Griffith and Dan Primack declared 2015 “ The Age of the Unicorns ” noting — “Fortune counts more than 80 startups that have been valued at $1 billion or more by venture capitalists.”

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