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How to Talk About Valuation When a VC Asks

Both Sides of the Table

Many VCs will have a distribution curve where they’ll do a small number of early-stage deals (say $1.5–3 3 million invested at a $6–10m pre-money), a larger number of “down the fairway” deals ($4–5 million at a $15–25 million pre) and a few later-stage deals (say $8–10 million at a $30–40 million pre).Of

Valuation 324
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Need money? Read this!

Berkonomics

It’s an option, even though an expensive one. “ Strategic partner” investors: If you can find a strategic partner willing to invest in your enterprise, consider it a blessing. It is most often a win-win for both you and the strategic partner. Professional angels: This is the arena where I work and play.

Insiders

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What Do Industry Insiders Think Will Happen in VC in 2016?

Both Sides of the Table

Limited Partners (LPs) who invest in VC funds have continued to pour money into venture – with the market returning to pre-recession levels. In fact, 62% of VCs surveyed – across a wide variety of stages and geographies – said their portfolios were starting to cut costs, expected the markets to tighten.

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Does your business need money? Read this!

Berkonomics

Strategic partner” investors: If you can find a strategic partner willing to invest in your enterprise, consider it a blessing. It is most often a win-win for both you and the strategic partner. And even with the significant cost of credit card debt, many entrepreneurs aggressively use existing cards to finance a startup.

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How do VCs measure their success (and why you should care)?

Hippoland

But as we’ve seen, these valuations can be hocus-pocus — even at later stage rounds, we’ve seen lots of companies of late fall from grace and become massively devalued overnight when they cannot raise their next round at a higher valuation. If a company raises a good round, it gets marked up to the new value.

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Raising money for your business: What are the options?

Berkonomics

It’s an option, even though an expensive one. “ Strategic partner” investors: If you can find a strategic partner willing to invest in your enterprise, consider it a blessing. It is most often a win-win for both you and the strategic partner. Professional angels: This is the arena where I work and play.

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The Collapse of the VC Ecosystem & What It Will Look Like Post.

Altgate

I say ecosystem as opposed to industry because it is not just the VC funds themselves that are imploding, instead the collapse includes entrepreneurs and startups that were funded by VCs, angel investors, service providers like lawyers, bankers and accountants as well as limited partner investors in VC funds.