David Teten

DECEMBER 3, 2019

However, in private markets, there is more room to optimize across all 11 steps of the investing process: firm management , marketing, fundraising , origination , manage relationships, due diligence, negotiation, monitoring, portfolio acceleration , reporting, and. 6) Due diligence. I personally use Salesforce.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

Startup Professionals Musings

AUGUST 9, 2011

Often, the number one question that entrepreneurs fail to address is: “How much money do you need, and what valuation do you place on your company?” Failure to prepare for due diligence. Not doing due diligence on the funding source. Then you have to have evidence to support your request.

Software Review 246

Software Review Due Diligence Elevator Pitch Early Stage 246

Startup Professionals Musings

NOVEMBER 4, 2015

In a new book, “ The Leadership Capital Index ,” Dave Ulrich, a best-selling author, business consultant, and business school professor, provides some real insights and metrics on what makes up the elements of goodwill in the minds of top valuation experts. I have paraphrased his key points here as follows: Leader personal impact.

Leadership 120

Leadership Technical Review Due Diligence Valuation 120

Startup Professionals Musings

JULY 3, 2010

Often, the number one question that entrepreneurs fail to address is: “How much money do you need, and what valuation do you place on your company?” Failure to prepare for due diligence. Not doing due diligence on the funding source. Then you have to have evidence to support your request.

Software Review 239

Software Review Due Diligence Elevator Pitch Startup 239

The Startup Magazine

AUGUST 15, 2022

However, you should be aware that some potential buyers may back out of the deal during due diligence. The first step in creating a business plan to sell your startup to an acquirer is to create a valuation of your company. In order to reduce the stress, hiring an M&A advisor will be invaluable.

Merger 129

Merger Acquisition Due Diligence Valuation 129

YoungUpstarts

JUNE 20, 2016

The old PDRs were quite cumbersome due diligence processes. The switch from PDRs to VDRs resulted in deal cycles and increased valuations. This includes the cost incurred in purchasing papers, travelling and hiring related human resources. This ensures due diligence is observed. VDRs protect stored data.

Software Review 100

Software Review Technical Review Due Diligence Security 100

Startup Professionals Musings

MARCH 16, 2016

This term is currently applied to recent startups who profess a current valuation which exceeds $1 billion. Frothy startup valuations. After viewing your slide deck, if investors are still interested in your startup, they will ask for a deep-dive meeting to drill in on any hard questions before commencing due diligence.

Software Review 120

Software Review Sweat Equity Accredited Investor Angel Investor 120

Up and Running

SEPTEMBER 10, 2014

They are professionals with full-time jobs, who often don’t have time for due diligence (and may not even know how to do it) and often make decisions through trusted referrals or based on gut feelings (more on gut feelings later). Be realistic about your valuation. So, who are these unlikely angels? Go for the gut.

Angel Investor 159

Angel Investor Technical Review Software Review Accredited Investor 159

YoungUpstarts

OCTOBER 3, 2019

Selling your business requires careful planning and strategizing in order to maximize the valuation and profit. In fact, most will perform more-careful due diligence which means potential buyers will often take a microscope to your financials and books. by Marla DiCarlo, co-owner and CEO of Raincatcher.

Due Diligence 118

Due Diligence Exit Strategy Valuation Sales 118

Up and Running

JULY 14, 2015

Any investor will put their valuation on your business based on a number of factors, including looking at important metrics for your business, patents, or assets. But raising too much money will cause the valuation to increase. Let’s say the valuation an investor puts on your business is $2 million. The urge to spend.

Technical Review 60

Technical Review Valuation Due Diligence Finder 60

YoungUpstarts

MAY 17, 2019

The risk: You base your purchase price, valuation, loans, and cash forecast off historical financials, only to find out a few months into owning the business that the numbers were all wrong and you are losing cash. The opportunity: Negotiate a better price on your deal with findings in a due diligence report.

Due Diligence 163

Due Diligence Forecast Deal Structure Valuation 163

Both Sides of the Table

NOVEMBER 9, 2009

I’d like to separate these from “skeletons in your closet&# which are issues that the VC would have no idea about when you’re meeting but might discover later during due diligence. I hired an executive recruiter and had 7 finalist candidates that I interviewed. And in the end I hired him.

Venture Capital 264

Venture Capital Due Diligence Flash Strategic Investors 264

Both Sides of the Table

APRIL 20, 2011

Twitter wanted to raise money for this new venture at a pre-money valuation which was quite a bit higher than First Round’s $10 million limit. 100 get serious due diligence where the entrepreneur meets with several people from the firm. Odeo returned investment funds back to their investors when they decided to create Twitter.

Pre-Money Valuation 284

Pre-Money Valuation Technical Review Cofounder Cram Down 284

David Teten

SEPTEMBER 23, 2017

For both origination and due diligence, a host of companies aspire to be the “Bloomberg of private companies”, including CB Insights , Crunchbase , DataFox , FuelUp , fundsUP , Mattermark , Qodeo , Quid , Tracxn , Unomy.com , and Zirra. 5) Due diligence. Talent Relationship Management tools (e.g., 6) Negotiate deal.

Private Equity 60

Private Equity Venture Capital Equity Technical Review 60

David Teten

MARCH 24, 2014

Teten : No one ever got fired for hiring Och-Ziff, or any other of the massive hedge funds. Teten : As a thought experiment, imagine a quant pure black box hedge fund, “UltraQuant,” which hires a lot of impressive PhDs. However, it was the right thing to do from a valuation perspective. In fact, Melchisedec is a placebo.

Software Review 114

Software Review Due Diligence Venture Capital Portfolio 114

Duct Tape Marketing

FEBRUARY 3, 2022

16:06] Does hiring an advisor also come with a team of legal and financial advisors? So just like with any other business, uh, in the agency space, the more profitable you are, the higher your valuation outside of the financials, there are some components that are unique to the agency space that go into, uh, what affects the valuation.

Entrepreneur 79

Entrepreneur Technical Review Cofounder Valuation 79

Austin Startup

AUGUST 20, 2017

Hiring is a chapter unto itself, but it deserves to lead off any discussion of context. Compensation decisions obviously affect hiring and retention. You can’t be too careful in determining comp packages for your new hires. Keep the valuations consistent with company progress. Let’s look at some specifics: 1.

Technical Review 48

Technical Review Software Review Cap Table Securities and Exchange Commission 48

Both Sides of the Table

MARCH 6, 2010

My job doesn’t involve the daily grind of customer complaints, product outages, business partner / channel problems, hiring / firing, etc. If I decide to take a last-minute trip to spend 2 days on a company due diligence session nobody is wondering where I am. I work hard, don’t get me wrong.

Technical Review 312

Technical Review Due Diligence Spain Warrant 312

Up and Running

DECEMBER 30, 2015

Setting too high a valuation. Setting too high a valuation during a funding round can set you up for failure, setting expectations too high for ensuing rounds. It might be difficult to exceed your valuation, making investor relations difficult. – Phil Chen, Systems Watch. Timing is everything for valuation, market, and team.

Due Diligence 84

Due Diligence Valuation Liquidation Preference Redemption 84

Up and Running

DECEMBER 18, 2018

For one thing, when you purchase an existing company, someone else has probably already done a lot of the startup legwork, like verifying that there’s a market for your product or service, establishing a customer base, hiring employees, and negotiating a lease. You’ll need to do your own due diligence.

Due Diligence 71

Due Diligence Intellectual Property Balance Sheet Forecast 71

www.paulgraham.com

APRIL 28, 2010

Another concept we need to introduce now is valuation. I say "in theory" because in early stageinvesting, valuations are voodoo. As a company gets more established,its valuation gets closer to an actual market value. As a company gets more established,its valuation gets closer to an actual market value. Better how?

Technical Review 76

Technical Review Startup Software Review Angel Investor 76

Software By Rob

FEBRUARY 2, 2012

And I’m a firm believe that you must learn to outsource or hire employees if you want to grow a business. Last year I paid $100 or more to at least 15 contractors ranging from developers to an infographic designer. But I would take a completed product over a spec every time. Both personally and career-wise it’s the right decision.

Acquisition 53

Acquisition Software Review Technical Review Due Diligence 53

Software By Rob

FEBRUARY 28, 2012

How long into the discussion before you commenced diligence? Due diligence is the most important part of the process because it dictates whether you should move forward with the acquisition, and at what price. As such, due diligence consumed the majority of the two-month negotiation period between myself and the seller.

Acquisition 53

Acquisition Software Review Technical Review NDA 53

Up and Running

NOVEMBER 12, 2014

Hire Attorneys and Accountants. Understand Your Business’s Value: Additionally, you must set your business’s strategic funding goals in conjunction with your business’s valuation and share price. Second, if an unknown disqualifying event materializes later, your due diligence may save your business from SEC sanctions.

Equity 125

Equity SEC Technical Review Security 125

genylabs.typepad.com

SEPTEMBER 24, 2011

I wont bother going into details on start-up financing terms ( see this post for an overview of typical VC terms) except to say if you dont know and understand: the firms cap table and valuation. Before taking equity in a company I go through a VC-like investment and due diligence process. what kind of stock you are getting.

Equity 40

Equity Technical Review San Jose Stock 40

VC Cafe

SEPTEMBER 26, 2010

That said, it’s your responsibility to do proper due diligence on the investors you are about to meet. A good rule of thumb is to raise money when you need to start hiring, but this really depends on the context of your startup. For consumer web startups, the more traction you show, the better valuation you will get.

Elevator Pitch 102

Elevator Pitch Incubator Technical Review Startup 102

reidhoffman.org

NOVEMBER 12, 2013

Friendster’s valuation set the tone for the entire social networking space. In the financing process, the individual venture partner performs the due diligence on the substance behind a company’s pitch — e.g., the investment thesis, the competition, the people, etc. That’s a worthy value proposition.

Entrepreneur 111

Entrepreneur Revenue Viral Networking 111

Entrepreneurs-Journey.com by Yaro Starak

JANUARY 21, 2011

Investment in small businesses require knowledge of transactions and the related aspects such as business valuation, due diligence, deal structuring / financing, contracts, etc. For example, during due diligence I did not check the condition certain equipment which broke on me within a couple months (big mistake!).

Internet 80

Internet Technical Review Stock Due Diligence 80

ithacaVC

DECEMBER 13, 2013

The share price is calculated by taking the pre-money valuation and dividing it by the number of shares outstanding pre-money. So Share Price (SP) = Pre-Money Valuation (PMV) / Shares Outstanding (SO). That is normal for a pre-money % as it will drop down to about 10% post money depending on size of round and valuation.

Cap Table 67

Cap Table Pre-Money Valuation Option Pool Liquidation Preference 67

www.mint.com

MARCH 9, 2010

What is the post-money valuation of your last round? Post-money valuation” is the value of the company after the last round of money was put in (again, lines of credit and promises don’t count). Ask me these questions, you’re definitely not hired. link] Please feel free to check us out!

Software Review 68

Software Review Startup Post-Money Valuation Technical Review 68

Rob Go

FEBRUARY 3, 2014

This also assumes that you have a reasonable “ask” in terms of dollars, valuation expectation, etc. Leads usually do work, real due diligence and reference calls, but that’s because they are going to lead. Even small pieces of data like small-scale tests, new hires/advisors, etc. There are some exception, however.

Term Sheet 73

Term Sheet Due Diligence Valuation Seed Stage 73

Business Plan Blog

SEPTEMBER 5, 2013

Additionally, if you don’t have the revenue to pay for key hires that are necessary for the business’ current success then you likely are not attractive to investors. furthermore, strong revenues will improve your valuation and reduce financial pressures. “Several firms are doing due diligence.”

Entrepreneur 53

Entrepreneur Due Diligence Valuation Business Plan 53

Growthink Blog

JUNE 1, 2010

Week 4: How to Negotiate with Venture Capitalists * When to hire a lawyer * How to maximize your valuation (so you keep control of your company) * What terms to watch out for in your venture capital “term sheet” * How to prepare for venture capital due diligence, so it goes smoothly * And more.

Venture Capital 54

Venture Capital Due Diligence Term Sheet Angel Investor 54

Growthink Blog

MAY 24, 2010

In this final week, you'll learn: * How to maximize your valuation (so you retain equity & control) * What to watch out for in your venture capital "term sheet" * How to prepare for venture capital due diligence, so it goes smoothly * When to hire a lawyer * How to position your company for follow-on rounds of funding * And more.

Venture Capital 54

Venture Capital Elevator Pitch Due Diligence Term Sheet 54

Duct Tape Marketing

FEBRUARY 16, 2023

So we could go, we could spend the rest of our time talking about valuation. So if you pay cash for a small business, and there are limits to the ability that a buyer has to do due diligence because certain information just isn't available in a lot of small businesses. 20:06): Remember that the valuations based on the cash flow.

Technical Review 81

Technical Review Wisconsin Non-disclosure Agreement Salary 81

www.vccafe.com

MARCH 11, 2013

find/hire freelancers. hire low-cost international engineering talent. VWorker -Â find/hire freelancers. Seed Stage Valuation Guide. Due Diligence. valuations. Outlook plugin to search. Freelance Help. Amazon Mechanical Turk â?? set up any task and get answers. Freelancer â?? Manufacturing Resources.

Software Review 53

Software Review Technical Review Startup 53

Scalable Startup

OCTOBER 26, 2011

For them, a $500,000 seed investment requires very little due diligence or proof of long term scalability. 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.

Mezzanine 22

Mezzanine Due Diligence IPO Angel Investor 22