Both Sides of the Table

MAY 27, 2013

Growth like this, this early in a company’s lifecycle rarely happens. In this period (less than 2 years) he has brought on incredibly talented senior execs is sales, marketing, product management, client services, finance, vp engineering and more. In his spare time he raised nearly $30 million. Ask for short conference calls.

Advisory Board 365

Advisory Board CTO Hire Fractional CTO Los Angeles 365

Gust

JANUARY 4, 2012

Later stage companies have some additional concerns: What favorable impact could IP have for PR, marketing and investor relations purposes, or as an attraction to potential acquirors? The amount of investment in IP in any direct sense is generally small for early stage startups. trade secret).

Intellectual Property 143

Intellectual Property IP Startup United States 143

Both Sides of the Table

JULY 22, 2010

This states how the proceeds from a sale or dissolution of the company will be distributed. VC’s in early rounds will argue that “participation&# is simply downside protection and if you sell for a lower price they should get more of the proceeds. This is a shame. This is silly talk. You reap what you sow.

Valuation 405

Valuation Liquidation Preference Pre-Money Valuation Term Sheet 405

Both Sides of the Table

JUNE 5, 2011

The earlier you invest the higher the chances the company won’t work out and thus you pay a lower price than later-stage investors. Then you can do a little bit of research and find out that very few companies ever achieve this valuation in a trade sale so you’re clearly gunning for an IPO. Here’s the problem.

Pre-Money Valuation 336

Pre-Money Valuation Valuation Silicon Valley Stock 336

Both Sides of the Table

JANUARY 21, 2010

Consider it a sales & marketing expense for them. They want to lock in future clients at an early stage. So I tell you this because if you build a strong relationship with an early-stage VC they can be a great source to help you with your funding. When we want to sell or IPO companies they’re there again.

Southern California 318

Southern California Silicon Valley IP Stock Options 318

Both Sides of the Table

JUNE 27, 2021

They sold 2 years later for $16 million In the financial crisis of 2008 we had a company that had jointly hired lawyers to consider a bankruptcy and also pursued (and achieved!) the sale of the company for $1 billion. Early-stage venture capital is about extreme winners. It was ~30 days from bankruptcy.

Bankruptcy 294

Bankruptcy Bridge Financing Portfolio Angel Investor 294

Both Sides of the Table

APRIL 2, 2010

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. A fund size of $100 million – $200 million is likely to either be an A round investor or “stage agnostic&#. Why does vintage matter to you?

Venture Capital 269

Venture Capital Balance Sheet Early Stage Software Review 269

Berkonomics

OCTOBER 26, 2010

Many early stage CEOs and board members have asked for some guidance regarding pay and time commitments for board members. Pay early stage board members of companies that are not lifestyle businesses one percent of the fully diluted equity in the form of an option that vests over four years of service.

Stock Options 66

Stock Options Early Stage Stock Vesting 66

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. Most importantly, we have regular meetings with later-stage VCs and enterprise clients both in the US and internationally to discuss our companies which fit their investment mandates.

Portfolio 60

Portfolio Technical Review Private Equity Database 60

Seeing Both Sides

AUGUST 28, 2017

Early stage entrepreneurs will also still likely value experienced advice on company-building from seasoned venture capitalists. In short, token sales allow early stage companies to skip the series B round and beyond. Who sets the policy for token sales—management or the board of directors? But many are.

Early Stage 20

Early Stage Equity Venture Capital Government 20

Seeing Both Sides

AUGUST 28, 2017

Early stage entrepreneurs will also still likely value experienced advice on company-building from seasoned venture capitalists. In short, token sales allow early stage companies to skip the series B round and beyond. Who sets the policy for token sales—management or the board of directors? But many are.

Early Stage 20

Early Stage Equity Venture Capital Government 20

YoungUpstarts

NOVEMBER 19, 2017

Venture capital fundraising can be divided into three stages: seed, early stage, and later stage. According to the same report by KPMG, the median deal size is the largest for later-stage funding, at $26 million. The constant innovation thus drives development in technology throughout the region.

Venture Capital 175

Venture Capital Asia Artificial Inteligence Later Stage 175

Both Sides of the Table

MARCH 31, 2012

Jeff (also an HBS alum) co-teaches the LTV course with Professor Eisenmann about a student of theirs who had written a blog post about sales taking on some of my previous assertions. That student is Erin McCann who formerly worked in sales at Google, so she has some ground to stand on in her assertions. Specifically, 1.

Startup 319

Startup Early Stage Sales Cofounder 319

View from Seed

APRIL 30, 2015

In many instances, you raise an institutional round to either fulfill a product strategy or go-to-market strategy or you’re increasing sales and marketing hires, so you have better visibility into what needs to happen in the next six, 12, 18 months. NVV: Let’s talk about the seed stage specifically.

Term Sheet 120

Term Sheet Equity Startup Seed Stage 120

Feld Thoughts

SEPTEMBER 27, 2011

In this case, the convertible debt document doesn’t allow the debt to convert into anything, but at the same time mandates that upon a sale the debt must be paid off. Usually we see 2-3x, but in later stage companies, this multiple can be even higher. So the lenders don’t see any of the upside on the acquisition.

Conversion 96

Conversion Sales Later Stage Preferred Stock 96

Steve Blank

JUNE 15, 2010

Certain VC’s like the new class of Super-Angels and small VC funds specialize in the early stage of a startup where you are searching for a business model. And some larger funds that specialize in later stage deals may have a partner or two who likes to invest at this stage. Lean Startups ?

Founder 231

Founder Vesting Later Stage Early Stage 231

Berkonomics

AUGUST 3, 2023

Some businesses require very little capital and the founder can self-finance the enterprise and retain 100% of its ownership and control from ignition through liquidity event (startup through sale). For those of you who fit that description, nice work. There is a lot to say about retaining control.

Private Equity 118

Private Equity Valuation Cap Table Accredited Investor 118

David Teten

SEPTEMBER 5, 2014

For example, if you’re an early stage company dealing with complex regulation (think Uber in transportation, Oscar in healthcare, LendingClub in finance), we have people who can help. We’re not mainly for B2B companies or later stage companies or anything like that. David Teten: How do startups sign up?

New York 114

New York Technical Review Networking Advisory Board 114

OnlyOnce

MARCH 14, 2011

Initially, we tried to run the project by assigning a few developers and part of a product manager’s time with some part-time support from a sales person. We set some pretty tight deadlines on the later stages. • Customer involvement, early and often —The team involved customers in building our new product from the very beginning.

Software Review 67

Software Review Development Team Review Later Stage Technical Review 67

NZ Entrepreneur

AUGUST 12, 2020

Intellectual property can create trouble for startups in their early stages, and getting it right is a crucial aspect to running a successful business. You may not think this information is important if your intent is to exit the startup before manufacturing or sales begin.

Intellectual Property 91

Intellectual Property New Zealand Startup Early Stage 91

The Next Web

AUGUST 26, 2013

Before you start talking to large VCs, find some early stage investors. Stefan Tirtey, Partner at Doughty Hanson Ventures , created this document with Berlin early stage investors. Your first salesperson who brings in your first customer is not likely to be your VP Sales.

Management 120

Management Cofounder Startup Bootstrapping 120

Startup Professionals Musings

MARCH 18, 2016

Investors know that valuations at startup early stages are negotiable, but they do expect that smart entrepreneurs understand the top three elements of a startup valuation would include the following. This factor is more relevant to venture capital investors who come in at a later stage and expect more traction to qualify.

Intellectual Property 120

Intellectual Property Valuation Pre-Money Valuation Startup 120

Both Sides of the Table

APRIL 28, 2010

Summit is a hugely respected firm in Silicon Valley and a long-term “institution&# but they’re better known as more of a “private equity&# investor meaning that they do later stage investments in much larger companies that are profitable. Obviously they see big things in Wildfire. 4mm in Series A. 10mm in Series C.

Venture Capital 270

Venture Capital Cofounder Spain San Diego 270

Up and Running

AUGUST 17, 2015

During the early stages of the process, they launched a catering business and were able to cater several business school events, all the while refining their menu and getting firsthand experience test driving their concept. They set out to develop a stylish yet functional handbag for the modern working woman.

Entrepreneur 60

Entrepreneur Cofounder Angel Investor eCommerce 60

View from Seed

DECEMBER 6, 2018

Fab.com (asset sale to PCH in 2015). But as an early-stage VC investor I’m more impressed by a company that achieves a $500M enterprise value with <$25M of paid in capital than one that hits $1B with >$250M in funding. Uber ($72B valuation in 2018 Toyota investment). Pinterest ($12.3B valuation in 2017 round).

IPO 120

IPO Valuation San Francisco Silicon Valley 120

Steve Blank

JUNE 15, 2011

Today, the signs of the new bubble are the Linked-In initial public offering (IPO), Facebook’s stratospheric valuation and the rapid rise of early-stage startup valuation. The awareness phase is where other later-stage investors start to notice the momentum, bringing additional money in and pushing prices higher.

Silicon Valley 327

Silicon Valley Stealth Valuation Mississippi 327

Startup Professionals Musings

FEBRUARY 5, 2012

You also will find that the stage your startup is in dictates where you go to seek funding. Funding sources specialize in certain growth stages. Angel investors typically provide early-stage funding, while venture capital firms typically come in at later stages. Growth stage.

Investment Bankers 241

Investment Bankers Venture Capital Startup Initial Public Offering 241

Both Sides of the Table

MARCH 12, 2013

Greg was the CMO at HauteLook from the early days all the way through growing the business to 12 million registered users and far in excess of $200 million in annual sales. His plans are still solidifying but will likely involve some later-stage activities in the eCommerce & retail sectors unrelated to early-stage venture capital.

Partner 360

Partner Las Vegas Los Angeles San Francisco 360

Growthink Blog

MAY 10, 2012

When seeking equity investments, the source of capital is, for the most part, tied to the stage of capital being raised. You see, equity capital is raised in stages or rounds. The five main stages include the following: 1. Early Stage Investment (Series A & B) 4. Pre-Seed Funding 2. Seed Funding 3.

Equity 88

Equity Mezzanine Later Stage Venture Capital 88

Both Sides of the Table

JUNE 19, 2017

That is, how much should your company be willing to lose in cash every month as you make investments in staff and equipment that funds technology, sales, marketing and management. How Much Capital You Have Raised / Your Runway In general I recommend that in early-stage startups you try to raise at least 15-18 months of runway.

Burn Rate 212

Burn Rate Startup .Net Venture Capital 212

Startup Professionals Musings

OCTOBER 13, 2010

You also will find that the stage your startup is in dictates where you go to seek funding. Funding sources specialize in certain growth stages. Angel investors typically provide early-stage funding, while venture capital firms typically come in at later stages. Growth stage.

Investment Bankers 231

Investment Bankers Venture Capital Startup Initial Public Offering 231

Gust

NOVEMBER 22, 2011

You also will find that the stage your startup is in dictates where you go to seek funding. Funding sources specialize in certain growth stages. Angel investors typically provide early-stage funding, while venture capital firms typically come in at later stages. Growth stage.

Venture Capital 171

Venture Capital Investment Bankers Angel Investor Initial Public Offering 171

Growthink Blog

JUNE 9, 2011

And, rather, they should try to achieve some success and then cash out via a sale to a larger company. Bigger companies like Google have tons of cash and are looking to buy early stage companies (so you can get a big payday). Reasons they gave included: 1. And importantly, get a plan in place to do it. read more.

Silicon Valley 107

Silicon Valley Later Stage Early Stage Cloud 107

Berkonomics

JUNE 8, 2017

Some businesses require very little capital and the founder can self-finance the enterprise and retain 100% of its ownership and control from ignition through liquidity event (startup through sale). For you who fit that description, nice work. There is a lot to say about retaining control.

Private Equity 106

Private Equity Valuation Cap Table Accredited Investor 106

Both Sides of the Table

MAY 25, 2013

But the larger funds usually have lower returns because they are often investing bigger dollars at later stages with less risk and therefore lower returns. As you can see in this Cambridge Associates data, early-stage investing beat later stage investing in returns in 70% of the past 30 years. Yeah, true.

LP 374

LP Later Stage IRR Term Sheet 374

David Teten

DECEMBER 3, 2019

I previously posted a detailed presentation with sales technology tools useful for B2B sales. Data companies focused on early-stage startups include Aingel , fundsUP , Preseries , PredictLeads , and Sploda. The Pocket Negotiator is very early-stage attempt to aid in the negotiating process itself.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

Up and Running

JANUARY 30, 2014

Accelerators focus on early-stage startups, while incubators are geared toward later-stage startups. The sessions cover everything that goes into running our startup: raising venture capital, marketing, sales training, product development, technology decision-making, user experience, and user testing. Accelators.

Incubator 105

Incubator New York City Venture Capital Startup 105