David Teten

SEPTEMBER 6, 2018

Most of my research is also relevant to private equity. Just as with any company, the most important issue is the team; see “ How to Negotiate a Partner Role at a Venture Capital or Private Equity Firm “ . See How Private Equity and Venture Capital Investors Are Eating Their Own Dogfood. . 3) Raise capital.

Technical Review 60

Technical Review Private Equity Management Cap Table 60

David Teten

SEPTEMBER 6, 2018

Most of my research is also relevant to private equity. Just as with any company, the most important issue is the team; see “ How to Negotiate a Partner Role at a Venture Capital or Private Equity Firm “ . See How Private Equity and Venture Capital Investors Are Eating Their Own Dogfood. . 3) Raise capital.

Technical Review 60

Technical Review Private Equity Management Cap Table 60

Startup Professionals Musings

AUGUST 29, 2020

For example, professional investors put great priority on your previous experience in building a business, and they expect to own a portion of the business equity and control for the funds they do provide. Trade equity or services for startup help. Another common example is exchanging equity for legal and accounting support.

Equity 436

Equity Small Business Administration SBA Syndicate 436

Startup Professionals Musings

JANUARY 27, 2021

A better approach is to first understand who these people are, why and how they invest, and then focus on the ones who are the best match for your particular startup stage, location and industry. Here are eight key insights that will help you find a productive match: Angels want equity ownership, not causes.

Search 317

Search Accredited Investor Angel Investor Venture Capital 317

View from Seed

APRIL 30, 2015

Glen Mello: Venture debt is a good complement to equity. It’s generally got a lower cost compared to equity capital and can help support growth. So it makes it a lot more challenging when you have debt on the books that isn’t as longer term as equity. What are some pros and cons?

Term Sheet 120

Term Sheet Equity Startup Seed Stage 120

Both Sides of the Table

MAY 19, 2010

Greycroft is an early-stage VC. Platform that provides radio music programming via crowd sourced contributions from social community; programming is syndicated nationally. Tested platform on San Francisco’s Live 105; then scaled out for national syndication with positive audience uplift.

Partner 240

Partner New York City Cofounder Syndicate 240

Startup Professionals Musings

OCTOBER 10, 2018

For example, professional investors put great priority on your previous experience in building a business, and they expect to own a portion of the business equity and control for the funds they do provide. Trade equity or services for startup help. Another common example is exchanging equity for legal and accounting support.

Entrepreneur 240

Entrepreneur Equity Small Business Administration SBA 240

Startup Professionals Musings

OCTOBER 5, 2015

I challenge any entrepreneur, for example, to define the difference between "seed-stage" and "early-stage" financing. Asking for early-stage money before you have customers and revenue will likely kill your credibility with real investors. Yet, knowing this distinction is important.

Seed Stage 120

Seed Stage Finance Early Stage Startup 120

Startup Professionals Musings

OCTOBER 12, 2014

For example, professional investors put great priority on your previous experience in building a business, and they expect to own a portion of the business equity and control for the funds they do provide. Trade equity or services for startup help. Another common example is exchanging equity for legal and accounting support.

Entrepreneur 283

Entrepreneur Startup Equity Small Business Administration 283

Berkonomics

DECEMBER 17, 2020

Let’s take a few minutes to examine the kind of equity financing available to small or early stage businesses. In most cases, these applicants for equity funding must be rooted in technology to apply to this limited discussion. Some can supply more when syndicating with other such groups. Venture farms.

Equity 62

Equity Finance Liquidity Event Angel Groups 62

Agile VC

DECEMBER 19, 2013

In addition, investing in startup tech companies turns out to provide only a modest level of diversification… angel investments tend to form a high beta portfolio, with reasonably close correlations to public equity markets. totally passive strategy won’t teach you much).

Angel Investor 265

Angel Investor Early Stage Syndicate Syndication 265

Startup Professionals Musings

SEPTEMBER 25, 2016

For example, professional investors put great priority on your previous experience in building a business, and they expect to own a portion of the business equity and control for the funds they do provide. Trade equity or services for startup help. Another common example is exchanging equity for legal and accounting support.

Equity 120

Equity Small Business Administration SBA Syndicate 120

Haystack

AUGUST 18, 2019

When I put all of this together, what I see is: In the Bay Area, the seed stage is getting squeezed from all sides during this summer solstice of. 4/ Orthogonal Competition – I recently tweeted about a new breed of early-stage technology investor that has its roots in public equities (hedge funds, long/short, etc.)

Seed Stage 108

Seed Stage Cap Table Early Stage Malaysia 108

OnlyOnce

FEBRUARY 9, 2022

worked as advisors and mentors to numerous early stage founders and startups. I’ve never written before about those other “potential business opportunities” that our team was exploring along with our prior investment syndicate, Fred Wilson from Union Square Ventures, Greg Sands from Costanoa Ventures, and Brad Feld from Foundry.

Silicon Valley 62

Silicon Valley Venture Capital Cap Table Early Stage 62

David Teten

JUNE 12, 2012

In the article, I discuss why we think that smart early-stage investors should target women and diverse entrepreneurs, and why we think HBS Alumni Angels in particular is well positioned to be very successful. Harvard Business School is featuring an article about the Venture Capital Access Program on the website of the U.S.

Private Equity 133

Private Equity Syndicate Syndication Angel Investor 133

View from Seed

JANUARY 26, 2016

With that in mind, let’s look at an illustration of these trends below, which demonstrates what’s been happening to early-stage financing rounds over the last 15 years or so. Series A investors invested quite early, often before product/market fit. Also, the stage of the company tends to be very early.

Seed Stage 120

Seed Stage Early Stage Cofounder Finance 120

Startup Professionals Musings

FEBRUARY 16, 2015

A better approach is to first understand who these people are, why and how they invest, and then focus on the ones who are the best match for your particular startup stage, location and industry. Here are eight key insights that will help you find a productive match: Angels want equity ownership, not causes.

Angel Investor 120

Angel Investor Accredited Investor Venture Capital Startup 120

Genuine VC

NOVEMBER 12, 2012

When you compromise on terms in the early stages, you will have to pay the price in the later stages. As a seed stage investor here at NextView seeing our companies progress down fundraising paths, I think it’s extremely important to highlight that terms in early rounds do set precedent for terms going forward.

Finance 128

Finance Mezzanine Valuation Seed Stage 128

David Teten

DECEMBER 3, 2019

Private equity and venture capital investors are copying our sisters in the hedge fund world: we’re trying to automate more of our job. . In the private equity universe, most Partners have primary training as deal-makers, not as managers. (To see the video above, please click the image, and then click on the Play button.).

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

Agile VC

FEBRUARY 28, 2012

Startups in NextView’s portfolio frequently receive inbound interest from other VC investors who are intrigued about what they’re doing, and I often talk with other early-stage entrepreneurs how to approach similar situations. after you close a round, decide up front whether you want to engage with them.

Early Stage 100

Early Stage Syndicate Syndication Silicon Valley 100

Austin Startup

FEBRUARY 28, 2019

Find out what the buzz is all about and make valuable connections with local investors who you can syndicate deals with. Capital Factory is the most active early stage investor in Texas since 2013. The tour starts in Dallas on June 4 and ends in Austin on June 6 with an epic 10 year birthday party for Capital Factory!

Texas 50

Texas San Antonio Houston Dallas 50

Austin Startup

MARCH 7, 2021

When it comes to founders, Texas has jewelry mogul, Kendra Scott; Mavericks owner, Mark Cuban of Shark Tank; Whitney Wolfe Herd of Bumble; video game developer, John Carmack; Vista Equity Partners Founder, Robert Smith; Michael Dell of Dell Technologies; and now Elon Musk of SpaceX and Tesla! all Bay Area firms?—?

Texas 90

Texas San Antonio Houston Dallas 90

Agile VC

JULY 11, 2012

in equity & loans which was ultimately worth >170x ($355M) when DEC went public about a decade later. Should there be a notion of “founder equity” for those individuals who put in the hard work to start a firm and build the brand? Big success was Digital Equipment Corporation (DEC), in which ARD invested about $2.1M

Silicon Valley 240

Silicon Valley Carried Interest Cofounder Boston 240

Genuine VC

JULY 8, 2014

raised, the first non-friends-and-family capital, comprised of one to three institutional seed investors or larger VC funds, on a priced equity structure (though sometimes convertible note), with a valuation mechanism in place priced in the single digit millions.

Early Stage 188

Early Stage Seed Stage Syndicate Syndication 188

David Teten

FEBRUARY 3, 2014

It might appear that origination is becoming much easier because of new tools like AngelList and the SEC moving toward adoption of rules that will allow equity based crowdfunding. We published the full report in the Journal of Private Equity ; it’s now the #2-most viewed article in the Journal’s history.

Private Equity 114

Private Equity Venture Capital Technical Review Equity 114

Rob Go

JANUARY 7, 2013

Amidst the mass of new initiatives, new firms, new strategies, etc that constantly pop up in the early stage investing landscape, it’s helpful to have a clear articulation of what VC’s are focused on and how they see the world. Syndicate Composition: NextView + Seed Funds + Angels: 9. Premium Service: 5. Commerce: 5.

Portfolio 49

Portfolio Seed Stage Cofounder B2B 49

Tim Keane

APRIL 12, 2006

If the investors ideal size is smaller than your need, you ought to ask about syndication. If they don’t like to syndicate, or don’t have a track record of doing it, you will want to consider your options. Fewer investors will take common stock in early stage transactions. past round one. past round one.

Entrepreneur 60

Entrepreneur Valuation Sweat Equity Common Stock 60

Professor VC

JANUARY 17, 2008

One of my comments was that we would likely see more institutionalization of angel groups and syndication of deals among groups. Valuation at this stage is clearly much more art than science, but I subscribe to the splitting up the pie school of thought. My facebook can beat up your facebook.

Pre-Money Valuation 28

Pre-Money Valuation Angel Investor Angel Groups Valuation 28

Gust

OCTOBER 20, 2011

Individual accredited investors in typical angel deals put personal capital at risk for an equity share of growth-oriented, start-up companies. For this round of investment, the angels collectively purchase 20-40% of the equity of the company and are seeking a return on investment of 20-30X in a period of five to eight years.

Valuation 146

Valuation Pre-Money Valuation Intellectual Property Technical Review 146

Berkonomics

APRIL 3, 2014

There are three classes of equity investors for early stage businesses that we have not yet considered. And even though angel groups syndicate their best deals within their respective associated networks, it is always best to apply to the angel groups nearest your physical location.

Equity 92

Equity Finance Liquidity Event Angel Groups 92

Professor VC

JUNE 20, 2011

But of course, the model had us requiring only $10M equity to breakeven and to achieve $185M in revenues in 2008 (the magic Year 5 in all business plans). I take CFO roles in early stage companies and participate on the management team during the early financings and business model development phases.

San Jose 28

San Jose Angel Investor Term Sheet Venture Capital 28

Professor VC

SEPTEMBER 2, 2010

Whether you buy this or not for public equities, the market for early stage private companies has always been wildly inefficient. I take CFO roles in early stage companies and participate on the management team during the early financings and business model development phases.

Angel Investor 28

Angel Investor Angel Groups San Jose Venture Capital 28

Feld Thoughts

JULY 14, 2015

Assuming equity is raised at or above that cap, the total dilution, before the new money, is 16.6% (equivalent to an equity financing of $1m at a $6m post money valuation. The new money comes in at a pre-money valuation of $100, but includes a complete refresh of founder equity to 40% of the company. Here’s the scenario.

Recapitalization 70

Recapitalization Pre-Money Valuation Post-Money Valuation Angel Investor 70

This is going to be BIG.

NOVEMBER 16, 2015

I'm joined by Lerer Hippeau Ventures, Red Sea Ventures, NucleasHG, the founders of Seamless, a host of extremely helpful angels, and a CircleUp syndicate led by my friend Tom Potter, co-founder of Brooklyn Brewery. I'm also excited to have shared this opportunity with a fantastic syndicate of investors.

Venture Capital 60

Venture Capital Cofounder Syndicate Syndication 60

David Teten

NOVEMBER 15, 2013

The average equity fund investor earned a market return of only 4.25%. This may make sense from the individual perspective of a given VC, but collectively it ensures that early-stage companies are overvalued. This is a key reason why the average retail investor consistently earns below-average returns.

Management 114

Management Pre-Money Valuation Venture Capital New Hampshire 114

www.paulgraham.com

APRIL 28, 2010

So if youre going to sell cheap stockto eminent angels, do it early, when its natural for the companyto have a low valuation. Some angel investors join together in syndicates. Angels and even VC firms occasionally do this, but they alsoinvest at later stages. The problems are different in the early stages.

Technical Review 76

Technical Review Startup Software Review Angel Investor 76

www.paulgraham.com

APRIL 28, 2010

Mechanics Angel investors often syndicate deals, which means they join togetherto invest on the same terms. In a syndicate there is usually a"lead" investor who negotiates the terms with the startup. Dont feel like you have to join a syndicate, though. This isyet another problem that gets solved for you by syndicates.

Angel Investor 63

Angel Investor Syndicate Syndication Dilution 63