Steve Blank

MARCH 16, 2016

VC’s raise money from their investors (limited partners like pension funds) and then spread their risk by investing in a number of startups (called a portfolio). BTW, Angel investors do not have limited partners, and often invest for reasons other than just for financial gain (e.g., Great entrepreneurs shoot for 20X.

Liquidity Event 120

Liquidity Event Founder Liquidation Preference Venture Capital 120

David Teten

AUGUST 15, 2013

Most VCs (including ff Venture Capital ) collect money from independent limited partners in order to form their fund. The most common tactic we’ve seen from large corporations is providing a package of benefits for startups in order to build relationships with early-stage companies. 1) Corporate Venture Capital.

Startup 114

Startup Technical Support Venture Capital Balance Sheet 114

Both Sides of the Table

JULY 23, 2014

Limited Partners or LPs (the people who invest into VC funds) have taken notice as 2014 is by all accounts the busiest year for LPs since the Great Recession began. Because this is all VCs do and if we intend to work with all of our fellow VCs and entrepreneurs when the rain ends and the sun shines again our reputations matter greatly.

Technical Review 398

Technical Review Venture Capital Valuation Pre-Money Valuation 398

David Teten

AUGUST 19, 2019

Though RBI will displace some traditional equity VC, its much bigger impact will be to expand the pool of capital available for early-stage entrepreneurs. . However, only recently have early-stage companies started to use this model at any scale. . So what is Revenue Based Investing? Social Impact. Conferences.

Revenue 60

Revenue Term Sheet Founder Technical Review 60

ReadWriteStart

JULY 19, 2023

Big Sky Capital, an early-stage venture capital firm , has recently announced the launch of its inaugural fund, with $20 million in capital commitments. Initially, they assumed that venture capital and investing in funds were common knowledge among potential limited partners (LPs).

Kazakhstan 92

Kazakhstan Montana Venture Capital Miami 92

Both Sides of the Table

APRIL 2, 2010

I’m writing this post to explain to entrepreneurs what you should be thinking about in terms of the VC’s you approach and the size and stage of their funds. A fund size of $25 – $100 million in normally an “early stage&# fund that is likely to do seed investments and/or smaller A round investments.

Venture Capital 269

Venture Capital Balance Sheet Early Stage Software Review 269

Austin Startup

MARCH 15, 2021

Capital Factory has been the most active early stage investor in Texas since 2010, investing in hundreds of startups and collecting more than $100 million in pre-emptive investment rights to invest in hundreds more. it has been decades in the making.

Accredited Investor 106

Accredited Investor Texas San Antonio San Francisco 106

David Teten

JULY 25, 2017

We also have a better known brand than some of our early stage companies, so we can leverage that to help source talent. We maintain a database of these corporations’ priority needs — allowing us to identify early clients for companies we back. For example, we provide direct coaching on how to pitch investors.

Portfolio 60

Portfolio Technical Review Private Equity Database 60

Both Sides of the Table

NOVEMBER 9, 2014

There are now so many new early stage investors and many of these are new it’s not so obvious whom you can trust. This investor decided to use the fact that they got into a company that appears to be doing well to their benefit to almost fraudulently persuade limited partner investors to give them money. You betcha.

SEC 352

SEC Venture Capital Early Stage Cofounder 352

David Teten

DECEMBER 12, 2017

As a globally focused LP in early stage VC funds, we at Blue Future Partners have observed a growing trend of firms investing substantially in software tools, whether developing proprietary solutions or adopting off the shelf tools. But what tools are they using themselves to automate their own processes?

Early Stage 60

Early Stage Technical Review Software Review Venture Capital 60

David Teten

MARCH 14, 2018

– Build out low-cost force multipliers such as scouts , Advisors, Entrepreneurs in Residence, Venture Partners, and so on. Some of the VC fund’s own limited partners will typically invest in a SPV, plus the platform’s members can contribute additional capital. .

Private Equity 60

Private Equity Venture Capital Equity Cofounder 60

Agile VC

DECEMBER 19, 2013

Angel investing, particularly for entrepreneurs and others who’ve chosen a startup career path, can be rewarding in many different ways. 2) Gain Market Insight – Another reason to invest in early stage tech startups is to gain additional market insight and connections to the entrepreneurial community.

Angel Investor 265

Angel Investor Early Stage Syndicate Syndication 265

The Next Web

MARCH 8, 2014

Jason Lemkin is the Managing Director at Storm Ventures , a venture capital firm focusing on early-stage enterprise and IT companies, including MobileIron , Marketo and GuideSpark. It certainly did to me when I was an entrepreneur. But as an early-stage fund, it takes a lot of time for companies to mature.

Partner 138

Partner Burn Rate Early Stage IPO 138

Agile VC

JULY 19, 2012

First and foremost, it’s worth emphasizing that greatness as a VC firm is derived primarily from helping exceptional entrepreneurs build enduring companies. This is true not only in a firm’s dealings with entrepreneurs but also with it’s limited partners and even within the firm among its partners.

Cofounder 193

Cofounder Limited Partner Early Stage LP 193

Steve Blank

JUNE 1, 2011

Investors get board seats to assure themselves and their limited partners that they are duly informed about their investment. What is the entrepreneur supposed to be doing? Why don’t we have standards for what metrics VC’s want to see from their early stage startup teams? 1) It’s their fiduciary responsibility.

Silicon Valley 290

Silicon Valley Business Model Venture Capital Balance Sheet 290

David Teten

AUGUST 19, 2019

They are tech-enabled companies that provide high-yield investments for fund limited partners (LPs) that perform like bonds but generate returns on par with equity investments. Founders First Capital Partners defines these high performing organizations as Zebra Companies.”. Podfund , focused on podcast creators. “We

Revenue 60

Revenue Technical Review Software Review Equity 60

Feld Thoughts

JUNE 19, 2013

We both started out as entrepreneurs and have spent a lot of time participating in, learning about, and teaching how to create and scale startups. ” I’m taking a positive view – assuming that you are doing this – and adding someone you trust and has a philosophy of helping support the entrepreneur.

Early Stage 143

Early Stage Limited Partner Global Finance 143

Steve Blank

JUNE 1, 2011

Investors get board seats to assure themselves and their limited partners that they are duly informed about their investment. What is the entrepreneur supposed to be doing? Why don’t we have standards for what metrics VC’s want to see from their early stage startup teams? 1) It’s their fiduciary responsibility.

Silicon Valley 258

Silicon Valley Business Model Venture Capital Balance Sheet 258

K9 Ventures

MAY 14, 2011

In my view the terminology being used for early stage investors by the press and the media is not as clear as it should be. I’ve talked about this on several occasions when I’ve been at conference and on panels, but I figured it would make sense to do a post explaining my taxonomy of the early-stage investing world.

Preferred Stock 125

Preferred Stock Seed Stage Incubator Early Stage 125

Rob Go

JULY 17, 2014

NextView Ventures II is $40M, twice the size of our first fund, and we continue to be exclusively focused on seed-stage companies pursuing internet-enabled innovation. As former operators and product-oriented entrepreneurs, Dave, Lee, and I tend to think of our firm as a startup company and our approach to investing as our product.

Seed Stage 69

Seed Stage Early Stage Due Diligence Liquidity Event 69

Early Growth Financial Services

JANUARY 20, 2014

As an early-stage venture capital investor with a keen emphasis on the seed stage, I spend a lot of time at startup accelerators working with first-time entrepreneurs. First-time entrepreneurs want to better understand the criteria that VCs use to evaluate startups, particularly during the pitch meeting.

Seed Stage 52

Seed Stage Venture Capital Limited Partner Early Stage 52

Both Sides of the Table

OCTOBER 1, 2009

This post highlights some of the reasons why the market is moving again and what entrepreneurs should do about this. There’s no doubt (at least anecdotally) that the pace of VC investments in early-stage technology companies has picked up in the past few months. This is one book-end of the cycle.

IPO 255

IPO Investment Bankers Venture Capital Marketing 255

This is going to be BIG.

JULY 8, 2013

I know what it''s like being an entrepreneur trying to get people to care about what I cared about--you feel so desperate and as if you were just one big break or random intro away from success. That''s kind of like what it''s like being on board with these companies after you make an early stage investment. Few firms persist.

Venture Capital 167

Venture Capital Early Stage Portfolio Private Equity 167

David Teten

DECEMBER 24, 2015

We’re a New York based early-stage venture capital firm. The question some of our limited partners ask us is, “Why?”. Additionally, the Canadian government has significantly more rational immigration policies for foreign entrepreneurs than America, encouraging talented people globally to come to Canada.

New York 60

New York Venture Capital Canada Silicon Valley 60

Board Effect

MAY 10, 2019

Those who still need additional funds may turn next to angel investors , high-net-worth individuals who are willing to provide funding for small startups and entrepreneurs. At some point in the early stages of a startup, companies often need funds to take their company to the next level. How Venture Capitalism Works.

Venture Capital 49

Venture Capital Startup Elevator Pitch Angel Investor 49

Both Sides of the Table

MAY 23, 2010

VC’s money comes from mostly institutional investors called LPs (limited partners). So by offering convertible debt you can avoid a price discussion in the same way that angel investors sometimes do in order to win competitive early-stage deals. So my view is that VCs and entrepreneurs need to make tougher choices.

Startup 290

Startup Burn Rate Warrant Bankruptcy 290

David Teten

DECEMBER 3, 2019

Small investment firms often have interns and entrepreneurs in residence passing through, each of which is a security risk. See Bessemer Venture Partners’ A comprehensive guide to security for startups. Boardex and Relationship Science make it easier to understand and map social networks into potential limited partners.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

This is going to be BIG.

SEPTEMBER 19, 2012

Many of you entrepreneurs know that feeling. While my company may not have lasted, and even though I swore to myself that I wouldn't do another startup--this recently launched new venture is moving forward with the help of some fantastic partners. million of limited partner commitments--a huge and exciting first step.

LP 112

LP New York City New York Chad 112

ReadWriteStart

JUNE 13, 2011

Steve Blank is a retired serial entrepreneur, educator, thought leader and creator of the rigorous "Customer Development" methodology that helps startups optimize their chances for success while reducing risk. Investors get board seats to assure themselves and their limited partners that they are duly informed about their investment.

Silicon Valley 117

Silicon Valley Balance Sheet Metrics Early Stage 117

Babbling VC

NOVEMBER 4, 2011

You either sell the business and both parties (entrepreneurs and investors) go their separate ways. This happens both to investors and entrepreneurs as well as colleagues or co-founders. . Further, their focus will remain a mix of seed and early stage deals and they will stay in the same location. It happens to VC's too.

Portfolio 70

Portfolio Limited Partner Early Stage Cofounder 70

This is going to be BIG.

AUGUST 22, 2016

Truth be told, I still believe the best ROI to be had is in the very first round, but now even a small follow on will help an entrepreneur answer whether all their existing investors are participating. Now, that number will grow to $350k and the firm will be able to do a small amount of follow on investment. 3) Have a consistent focus.

New York City 60

New York City New York Venture Capital Limited Partner 60

Hippoland

NOVEMBER 13, 2016

When I was an entrepreneur, it never crossed my mind how VCs measure their success. So, as an entrepreneur, in many cases, you are pitching people who may not even be good investors. However, these other methods do not apply particularly well to early stage investing, in my opinion.) But I should have thought about it.

IRR 48

IRR Valuation Portfolio Due Diligence 48

Austin Startup

MARCH 7, 2021

It’s like a dam has broken and now there is a flood of new entrepreneurs, investors, and big companies moving to Texas. At the same time, early-stage companies are thinking beyond the high prices of Silicon Valley to put down roots and find financing and growth partners. And the entrepreneurs are moving there too.

Texas 90

Texas San Antonio Houston Dallas 90

Eric Friedman

AUGUST 18, 2021

He is also co-founder and Managing Partner of Deciens Capital, an early stage investment fund. It is the entrepreneurs that are singing their heart out, playing the instruments, et cetera. In my mind, that’s a lot of my role in the boardroom or with entrepreneurs, On Dan being the “Curmudgeon of Fintech”.

Silicon Valley 88

Silicon Valley Venture Capital Cofounder Africa 88

Altgate

MARCH 8, 2009

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. So what to do?

Later Stage 34

Later Stage Early Stage Venture Capital Portfolio 34

Steve Blank

JULY 2, 2009

Entrepreneur-in-Residence After SuperMac I had been approached by one of our venture investors to be an entrepreneur in residence (EIR), a Silicon Valley phrase which says one thing but means another. I offered to introduce him to the firm whose Entrepreneur-in-Residence offer I had just accepted.

Silicon Valley 120

Silicon Valley Technical Review RSS Software Review 120

Both Sides of the Table

JANUARY 16, 2012

I raised money as an entrepreneur, like you, in 1999, 2000, 2001, 2003 and 2005 for two different companies. And I also now have to raise money myself, but this time from bigger institutions that our industry calls LPs (limited partners). I never suggest that entrepreneurs just randomly pitch VCs. Meet early.

Developer 366

Developer Silicon Valley PR Las Vegas 366