Scalable Startup

JANUARY 27, 2011

If you’re venture funded, things get kind of ugly -unhappy board members, cut off from communications, down- rounds to keep you going, or no more funding. I was once VP of Sales for a startup that went from zero to >$10 million in one year, then back to zero the following year. Are we becoming passé? What about users?

Revenue 22

Revenue Early Stage Down Round Software Review 22

Reid Hoffman

JUNE 8, 2021

And I hired a COO, Belinda Johnson , and she said, “No, if people don’t like you, you should meet with them.” At the time, they said, it’s not enough to design a product that’s good for sales, it must also be good for the environment. And I made a decision not to do an equity round, because I thought it would be a down round.

Silicon Valley 69

Silicon Valley Hosting Rhode Island Design 69

www.paulgraham.com

APRIL 28, 2010

For example, a seed firmshould be able to give advice about how to approach VCs, which VCsobviously dont need to do; whereas VCs should be able to giveadvice about how to hire an "executive team," which is not an issuein the seed stage. For example, VCs generally write it into the deal thatin any sale, they get their investment back first.

Technical Review 76

Technical Review Startup Software Review Angel Investor 76

Growthink Blog

MAY 23, 2011

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. With this capital, the company propels itself to $50 million+ in revenues, and to either a sale to a strategic acquirer or to an initial public offering.

Angel Investor 112

Angel Investor Venture Capital Sweat Equity Cram Down 112

thebarefootvc

AUGUST 26, 2015

As someone who invested through the 2001 and 2008 crashes I can assure you that down rounds and fire sales are not fun for anyone involved. Keep employee morale high – if you’ve hired people passionate about your product and mission, and motivate them, they will persevere and produce in all market conditions.

Marketing 40

Marketing Investment Bankers Valuation China 40

thebarefootvc

AUGUST 26, 2015

As someone who invested through the 2001 and 2008 crashes I can assure you that down rounds and fire sales are not fun for anyone involved. Keep employee morale high – if you’ve hired people passionate about your product and mission, and motivate them, they will persevere and produce in all market conditions.

Marketing 40

Marketing Investment Bankers Valuation China 40

thebarefootvc

JULY 26, 2015

As someone who invested through the 2001 and 2008 crashes I can assure you that down rounds and fire sales are not fun for anyone involved. Keep employee morale high – if you’ve hired people passionate about your product and mission, and motivate them, they will persevere and produce in all market conditions.

Marketing 40

Marketing Investment Bankers Valuation China 40

Reid Hoffman

JUNE 8, 2021

And I hired a COO, Belinda Johnson , and she said, “No, if people don’t like you, you should meet with them.” At the time, they said, it’s not enough to design a product that’s good for sales, it must also be good for the environment. And I made a decision not to do an equity round, because I thought it would be a down round.

Silicon Valley 36

Silicon Valley Hosting Rhode Island Design 36

Scalable Startup

FEBRUARY 1, 2013

So the best technology for inventory management and for financial planning and for sales-force management and for online marketing can now be used just as easily or more easily by a small business. And they don’t buy sales-force automation software, they rent on Salesforce.com. But they don’t buy servers. Marc Andreessen: Yeah, yeah.

Software Review 22

Software Review Startup Venture Capital Stock 22

Scalable Startup

OCTOBER 26, 2011

The second round is often for some or all of the following – corporate growth, go to market, turn the prototype into a robust offering, marketing costs, or to hire a sales force. It’s no longer based on a hunch, unless the company is in trouble and needs money to finish what the first round started.

Mezzanine 22

Mezzanine Due Diligence IPO Angel Investor 22

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