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

Layoffs and hiring freezes have started. Big tech (Google, Meta, Microsoft, Amazon, Apple) have implemented a temporary hiring freeze. Pace of VC deals overall has slowed in 2022 Valuations are lowering and down-rounds are starting to occur Innovation will continue to happen and venture capital will find alpha (Amen!).

Venture Capital 183

Venture Capital Early Stage Valuation Startup 183

This is going to be BIG.

AUGUST 21, 2023

Because you’ve still only got a handful of people on your team and you’re doing nine jobs—none of which involves creating enough reputation and industry notoriety to get on the radar of an investor quite yet. That’s why down rounds exist. They’re not excited about what you specifically are doing. Do you know how I know?

Cap Table 78

Cap Table Term Sheet Database Option Pool 78

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

Growthink Blog

MAY 23, 2011

The angel then introduces the entrepreneur to his or her wealthy friends and business connections who, based on the good reputation of the referring angel, also invest. And they hire very aggressive securities attorneys to represent their interests.

Angel Investor 112

Angel Investor Venture Capital Sweat Equity Cram Down 112

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. 5 ] Another danger of less known firms is that, like angels, they haveless reputation to protect. They find somejust as the prototype is demoable.

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