Startup Professionals Musings

JULY 26, 2013

If your startup is great enough to get a term sheet from angel investors or a venture capitalist, the next step for the investor is to complete the dreaded due diligence process. Some startups do nothing to prepare for the due diligence process, assuming the people and business plan documents will speak for themselves.

Technical Review 242

Technical Review Due Diligence Startup Term Sheet 242

Startup Professionals Musings

JANUARY 17, 2015

For the elite startups and entrepreneurs who manage to attract the investor they dream of, and survive the term sheet negotiation, there is still one more hurdle before the money is in the bank. This is the mysterious and dreaded due diligence process, which can kill the whole deal.

Technical Review 120

Technical Review Due Diligence Startup Term Sheet 120

Startup Professionals Musings

JUNE 29, 2012

If your startup is great enough to get a term sheet from angel investors or a venture capitalist, the next step for the investor is to complete the dreaded due diligence process. Some startups do nothing to prepare for the due diligence process, assuming the people and business plan documents will speak for themselves.

Technical Review 245

Technical Review Due Diligence Term Sheet Startup 245

Startup Professionals Musings

JANUARY 24, 2021

For the elite startups and entrepreneurs who manage to attract the investor they dream of, and survive the term sheet negotiation, there is still one more hurdle before the money is in the bank. This is the mysterious and dreaded due diligence process, which can kill the whole deal.

Technical Review 379

Technical Review Due Diligence Term Sheet Bankruptcy 379

Startup Professionals Musings

FEBRUARY 4, 2012

This is the dreaded “due diligence” process. In my view, understanding due diligence can only improve information flow, and leads to a better long-term partnership with your investor. Technical due diligence typically starts with a full one or two day review with the engineering and product marketing staff.

Technical Review 237

Technical Review Due Diligence Intellectual Property Private Equity 237

Startup Professionals Musings

JANUARY 18, 2016

What they don’t realize is that about half the investment deals fail to close at this stage, including mergers and acquisitions , during the due-diligence process. Due diligence is going the next step, to meet and interview all key members of the team, visit the business location and follow-up with early customers and advisors.

Technical Review 120

Technical Review Due Diligence Cap Table Intellectual Property 120

Startup Professionals Musings

APRIL 18, 2021

If your startup is great enough to get a term sheet from angel investors or a venture capitalist, the next step for the investor is to complete the dreaded due diligence process. Some startups do nothing to prepare for the due diligence process, assuming the people and business plan documents will speak for themselves.

Technical Review 380

Technical Review Due Diligence Term Sheet Angel Investor 380

Startup Professionals Musings

SEPTEMBER 11, 2016

In my experience, consummate entrepreneurs tend come up with more startup ideas than they can ever implement, and some of the ideas may not even make business sense. Passion, optimism, and determination are necessary but not sufficient to assure a successful startup. Most startup projects require special skills and a motivated team.

Technical Review 120

Technical Review Due Diligence Intellectual Property Internet 120

Startup Professionals Musings

OCTOBER 22, 2010

This is the dreaded “due diligence” process. In my view, understanding due diligence can only improve information flow, and leads to a better long-term partnership with your investor. Technical due diligence typically starts with a full one or two day review with the engineering and product marketing staff.

Technical Review 225

Technical Review Due Diligence Intellectual Property Private Equity 225

Startup Professionals Musings

DECEMBER 28, 2010

If your startup is great enough to get a term sheet from angel investors or a venture capitalist, the next step for the investor is to complete the dreaded due diligence process. Some startups do nothing to prepare for the due diligence process, assuming the people and business plan documents will speak for themselves.

Technical Review 229

Technical Review Due Diligence Term Sheet Angel Investor 229

Startup Professionals Musings

APRIL 17, 2022

Thus you should do the same or more due diligence on educational background, previous work, and references. Beyond the core team of two or three startup partners, every startup should seek to “outsource” the rest of their strategic requirements to external business partners.

Partner 385

Partner Software Review CTO Hire Cofounder 385

Startup Professionals Musings

JULY 29, 2020

After you have heard a few startup success stories, like Google, Facebook, and Microsoft, you may be tempted to invest some money yourself, maybe by pooling your funds with other investors who claim to have a great track record. My advice is to leave the investing in startups to the professionals (or friends and fools). By commission?

Due Diligence 354

Due Diligence Securities and Exchange Commission Offshore SEC 354

Startup Professionals Musings

MAY 13, 2023

In my experience, consummate entrepreneurs tend come up with more startup ideas than they can ever implement, and some of the ideas may not even make business sense. Passion, optimism, and determination are necessary but not sufficient to assure a successful startup. Most startup projects require special skills and a motivated team.

Technical Review 267

Technical Review Due Diligence Intellectual Property Internet 267

Startup Professionals Musings

MAY 22, 2020

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Early stage burn rates over $50K per month, or a runway of less than six months may indicate an inefficient or desperate startup.

Technical Review 436

Technical Review Due Diligence Sweat Equity Burn Rate 436

Both Sides of the Table

AUGUST 28, 2012

There is no reason to part with your cap table or legal docs until you’re convinced that they’re actually committed to doing work with you in due diligence. ” Heading into a Term Sheet – Final Due Diligence. In my opinion that is totally old school. What did they say? Why did they select company X, etc.”

Technical Review 316

Technical Review Due Diligence Term Sheet Cap Table 316

Startup Professionals Musings

MAY 11, 2020

Even though the color of their money is always green, all startup investors are not the same. Struggling entrepreneurs are often so happy to get a funding offer that they neglect the recommended reverse due diligence on the investors. Personally visit another startup funded by this investor. It’s no fun for either side.

Technical Review 310

Technical Review Due Diligence Term Sheet Offshore 310

Gust

NOVEMBER 14, 2011

This is the dreaded “due diligence” process. In my view, understanding due diligence can only improve information flow, and leads to a better long-term partnership with your investor. Technical due diligence typically starts with a full one or two day review with the engineering and product marketing staff.

Technical Review 152

Technical Review Due Diligence Intellectual Property Private Equity 152

Startup Professionals Musings

FEBRUARY 18, 2023

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Early stage burn rates over $50K per month, or a runway of less than six months may indicate an inefficient or desperate startup.

Sweat Equity 207

Sweat Equity Burn Rate Technical Review Intellectual Property 207

The Startup Magazine

MARCH 14, 2022

And with the technology available these days, it is convenient to invest in emerging startups. Are you wondering how to invest in startups in India? The digital startup craze. The world is about to see a new generation propagating the Indian startup investing industry. Sectors witnessing a startup boom. Media tech.

Technical Review 145

Technical Review Due Diligence India Startup 145

Startup Professionals Musings

FEBRUARY 1, 2021

Thus, based on my experience as an entrepreneur as well as a startup investor, there are indeed situations where a non-disclosure is highly recommended, and others where the potential good far outweighs the risk. Potential investors don’t need this data, except perhaps as part of a final due diligence after agreement on terms.

Non-disclosure Agreement 399

Non-disclosure Agreement Technical Review Due Diligence Angel Investor 399

VC Cafe

JANUARY 30, 2023

It’s also worth checking YC’s series A due diligence checklist. A well-organised data room can play a crucial role in making the process more efficient, and get the money quicker into the startup’s bank account. The post Startup 101: What goes in a startup data room appeared first on VC Cafe.

Technical Review 103

Technical Review Due Diligence Cap Table Startup 103

Gust

NOVEMBER 28, 2023

The principal roles of the lead investor was to negotiate the terms of an investment with the founder of the startup. The post Survive the Term Sheet Negotiation and Investor Due Diligence Part 1 appeared first on Gust. Unfortunately, that’s not the way it works. Here’s why.

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Due Diligence Term Sheet Common Stock Preferred Stock 91

The Startup Magazine

MARCH 10, 2022

Most entrepreneurs struggle to let go of a stable paycheck to get off with a startup. You only have to follow a proven model to do it Here is a list of some practical tips to grow your financial advisory startup. Photo by Startup Stock Photos from Pexels. It positions you ahead of the competitors, even as a startup.

Technical Review 153

Technical Review Due Diligence Startup Retention 153

View from Seed

JANUARY 30, 2020

One of the often neglected parts of fundraising is the process of doing due diligence on potential investors. Partnering with an investor and/or board member is very long term commitment, and I’m always surprised by how little diligence founders do prior to signing up for what could be a 10+ year collaboration. When to do what?

Due Diligence 195

Due Diligence Partner Term Sheet Finance 195

Startup Professionals Musings

MARCH 10, 2021

Failure to prepare for due diligence. Not doing due diligence on the funding source. You need to complete due diligence on your prospective funders as they complete due diligence on you. Then you have to have evidence to support your request.

Software Review 307

Software Review Due Diligence Elevator Pitch Early Stage 307

The Startup Magazine

JUNE 29, 2022

The terms “ESG” and “due diligence” have been floating around news pages and business forums quite a lot recently, so it’s understandably a topic on many people’s minds. You need to understand what ESG due diligence is and what implications it has for you and your business practices.

Due Diligence 118

Due Diligence United States Merger Government 118

Startup Professionals Musings

FEBRUARY 24, 2020

I just finished a new book for entrepreneurs, “ Secrets to a Successful Startup ,” by Trevor Blake, which makes the same points, based on his own real-life experience with three successful startups. Outsourcing can give your startup a more mature image. Startups all need that flexibility. with experience.

Technical Review 308

Technical Review Due Diligence Startup Employee 308

Startup Professionals Musings

JULY 1, 2020

Based on my own experiences in startups, and many years of advising new business owners, I’m convinced that there are a few common frustrations that we all need to anticipate and prepare for, rather than let them be a surprise and a painful dent in your enthusiasm and personal satisfaction from living your dream.

Due Diligence 306

Due Diligence Entrepreneur Startup Acquisition 306

Startup Professionals Musings

OCTOBER 14, 2022

For early-stage startups, the goodwill component can easily exceed the size of all the financial elements together, or can just as easily mark a company with good financials as not investable. For startups, the entrepreneur and founder is almost always the face of the company.

Technical Review 323

Technical Review Due Diligence Valuation Leadership 323

The Startup Magazine

MARCH 30, 2022

Startups represent an appealing prospect for a lot of investors, with the promise of an early injection of cash paying out in a big way if a business is catapulted to sustainable success over the ensuing months and years. A degree of diversification can go a long way to protecting you from startup failures. The statistics don’t lie.

Technical Review 136

Technical Review Due Diligence Angel Investor Startup 136

The Startup Magazine

AUGUST 21, 2023

When you’re in boot-strapped startup mode, some issues will take priority. Again, this isn’t something that you’ll want to discover during due diligence… Limitation of liability A well drafted commercial contract should include a limitation of liability clause. Either scenario can kill off a startup.

Technical Review 111

Technical Review Intellectual Property Due Diligence Early Stage 111

Startup Professionals Musings

FEBRUARY 3, 2023

He was able to identify ten lessons from the common threads to survival in the winning explorer teams, which I believe apply equally well to the survival and success of business startup teams today: Never lose sight of long-term goals, but focus real energy on short-term objectives. Teamwork is the hallmark of high-performing startups.

Technical Review 269

Technical Review Kentucky Due Diligence Japan 269

The Startup Magazine

NOVEMBER 26, 2023

Compliance demonstrates due diligence and adherence to safety standards, mitigating risks and liabilities associated with potential fire hazards. The post How Hiring a Fire Protection Service Boosts Real Estate Value appeared first on The Startup Magazine.

Software Review 129

Software Review Technical Review Hiring Due Diligence 129

The Startup Magazine

FEBRUARY 26, 2024

Venture capital: it’s the jet fuel behind many of the most explosive startups turning them into household names. Investing in a startup during its nascent phases offers the tantalizing prospect of being part of the next big thing. It demands vigilance, flexibility, and an unwavering commitment to due diligence.

Venture Capital 126

Venture Capital Technical Review Due Diligence Early Stage 126

Startup Professionals Musings

DECEMBER 22, 2017

In my activities as an angel investor, and my work with new ventures seeking investment, I find the “due diligence” stage to be fraught with the most risk. My best advice is to put some structure and discipline into your due diligence preparation, including the following steps: Schedule a team meeting to bring everyone up to date.

Due Diligence 148

Due Diligence Bankruptcy Angel Investor Stock 148

Startup Professionals Musings

JULY 15, 2019

Thus you should do the same or more due diligence on educational background, previous work, and references. Beyond the core team of two or three startup partners, every startup should seek to “outsource” the rest of their strategic requirements to external business partners.

Cofounder 221

Cofounder Software Review CTO Hire Founder 221

Startup Professionals Musings

OCTOBER 15, 2023

Thus, based on my experience as an entrepreneur as well as a startup investor, there are indeed situations where a non-disclosure is highly recommended, and others where the potential good far outweighs the risk. Potential investors don’t need this data, except perhaps as part of a final due diligence after agreement on terms.

Non-disclosure Agreement 254

Non-disclosure Agreement Technical Review Due Diligence Angel Investor 254