Berkonomics

DECEMBER 17, 2020

Let’s take a few minutes to examine the kind of equity financing available to small or early stage businesses. If you have a virtual company with your employees working from home locations, as many startups do, it should be the location of the founder. Then there is venture capital. Friends and family investors.

Equity 62

Equity Finance Liquidity Event Angel Groups 62

Startup Professionals Musings

SEPTEMBER 8, 2019

Obviously, these companies still need money to get started, or finance growth, just like a for-profit company. Personal loans from individuals, employees and board members. As in any company, they can lead to employee problems, or messy legal issues. Individual and institutional philanthropy.

Equity 235

Equity Angel Investor Technical Review Exit Strategy 235

Both Sides of the Table

SEPTEMBER 18, 2014

On the phone … Me: So, you raised venture capital? It’s like we need a finance 101 course for entrepreneurs. In finance they call it “terminal value” but the truth is the price is as arbitrary at your A round as it is at your seed round. We raised a seed round. About $1 million. Me: At what price?

Venture Capital 417

Venture Capital Liquidation Preference Valuation Term Sheet 417

Steve Blank

APRIL 11, 2013

Examples are Hollywood for movies, Milan for fashion, New York for finance and today, Silicon Valley for technology entrepreneurship. In addition to the one in Beijing, China has set up 53 additional industrial parks and in them are ~60,000 companies with 8 million employees. Venture Guiding Fund. Lessons Learned.

Programming 278

Programming Technical Review SBIR China 278

Both Sides of the Table

FEBRUARY 20, 2019

Others may not have the experience you want and they fill up a seat that makes retaining founder control more difficult if you ultimately raise large rounds of venture capital in the future. What happens at the A-round of venture capital? It is ultimately a negotiation but I don’t think founders should fear having boards.

Venture Capital 236

Venture Capital Startup Angel Investor Silicon Valley 236

View from Seed

APRIL 14, 2020

This led to a number of repercussions that most VC’s have lamented during this time, including higher prices, larger rounds, shoddy due diligence, and many companies raising large sums of venture capital that probably aren’t suited to VC funding.

Early Stage 374

Early Stage Software Review Technical Review Due Diligence 374

Steve Blank

APRIL 26, 2022

Except, that is, for the bottom feeders of the Venture Capital business – investors who “ cram down ” their companies. They offered desperate founders more cash but insisted on new terms, rewriting all the old stock agreements that previous investors and employees had. A cram down is different than a down round. They’re Back.

Cram Down 404

Cram Down Founder Venture Capital Recapitalization 404

ReadWriteStart

APRIL 5, 2023

Tightening of monetary policies has led to skyrocketing interest rates as central banks try to manage rampant running inflation, supply chain issues persist despite the fact that the pandemic is now in the rearview — and venture capital funding has looked to dry up almost overnight. Do Not Fear! This is an Opportunity!

South Africa 136

South Africa New York City San Francisco Technical Review 136

abovethecrowd.com

NOVEMBER 28, 2022

Founders, employees, and investors intent on disrupting the status quo start believing in a new reality even in the absence of empirical evidence or actual results. The post Venture Capital Red Flag Checklist appeared first on Above the Crowd. If there was a recipe book for corporate fraud, this would be the first chapter.

Venture Capital 113

Venture Capital Non-Compete Government Delaware 113

online.wsj.com

SEPTEMBER 23, 2012

SIGNIFICANCE PROMINENT. --> The Venture Capital Secret: 3 Out of 4 Start-Ups Fail. An entrepreneur with a hot technology and venture-capital funding becomes a billionaire in his 20s. The National Venture Capital Association estimates that 25% to 30% of venture-backed businesses fail. NAME David Cowan.

Venture Capital 107

Venture Capital Software Review Rhode Island North Dakota 107

Version One Ventures

SEPTEMBER 19, 2022

Since then, the space has only heated up (bad pun, I know) with more startups building and even more venture capital available to scale them. The resulting growth in EVs will spur lots of infrastructure and software to manage grid interaction, optimize storage, operate fleet networks, and facilitate financing.

Green 78

Green Technical Review Distribution Software Review 78

Steve Blank

OCTOBER 7, 2011

Venture Capital: FVCA , NextIt Ventures , Primus Ventures , Open Ocean Capital , Connor VC , and Inventure. 9-to-5 Venture Capital. Ironically one of the things that’s holding back the Finnish cluster is Tekes , the government organization for financing research, development and innovation in Finland.

Finland 324

Finland Venture Capital Government Russia 324

Steve Blank

APRIL 11, 2013

Examples are Hollywood for movies, Milan for fashion, New York for finance and today, Silicon Valley for technology entrepreneurship. In addition to the one in Beijing, China has set up 53 additional industrial parks and in them are ~60,000 companies with 8 million employees. Venture Guiding Fund. Lessons Learned.

Programming 170

Programming Technical Review SBIR China 170

Both Sides of the Table

SEPTEMBER 22, 2012

He also nails the reason why venture capital is still necessary to grow large businesses quickly in a world where the costs of running startups have fallen dramatically. After all, growth equals high valuations and loads of venture capital! It’s ok to raise venture capital and try to build a monster business.

Silicon Valley 390

Silicon Valley Venture Capital Startup Technical Review 390

ReadWriteStart

SEPTEMBER 9, 2019

Although some founders take venture capital in exchange for equity, that’s not the only way to do it. To learn more about the pros and cons of venture capital — and founders’ funding alternatives — I caught up with Mark McKee. Anderson: So is venture capital the right approach for most startups?

Venture Capital 105

Venture Capital Equity SBA Finance 105

YoungUpstarts

OCTOBER 19, 2018

When you’re looking for extra funds, there are typically two options: debt financing and equity financing. It’s important to understand the difference between debt financing and equity financing so when it comes time to get additional funding, you know which is the right fit for your business and how to get it.

Finance 157

Finance Equity Vesting Dividend 157

Steve Blank

SEPTEMBER 1, 2011

They hire local employees or family. The only capital available to them is their own savings, bank and small business loans and what they can borrow from relatives. Scalable startups require risk capital to fund their search for a business model, and they attract investment from equally crazy financial investors – venture capitalists.

Government 335

Government Silicon Valley Startup Venture Capital 335

Feld Thoughts

JULY 15, 2013

Two of his latest articles talk about entrepreneurial density and venture capital. The Connection Between Venture Capital and Diverse, Dense Communities. For a long time I’ve suggested that an interesting measure of entrepreneurial density would be ((entrepreneurs + employees of startups) / total population).

Venture Capital 164

Venture Capital San Francisco Silicon Valley San Jose 164

YoungUpstarts

JANUARY 15, 2018

If you have difficulty managing your personal finances on a month to month basis, you are likely to struggle when it comes to running a far bigger enterprise. Knowing where to go and who to ask for finance is another key area of knowledge that is worth developing as early in your entrepreneurial career as possible.

Entrepreneur 133

Entrepreneur Finance Venture Capital Developer 133

Startup Professionals Musings

SEPTEMBER 20, 2017

Obviously, these companies still need money to get started, or finance growth, just like a for-profit company. Personal loans from individuals, employees and board members. As in any company, they can lead to employee problems, or messy legal issues. Individual and institutional philanthropy.

Angel Investor 132

Angel Investor Equity Technical Review Exit Strategy 132

Steve Blank

NOVEMBER 1, 2011

Every potential early-stage Venture Capitalist should take a year and do it before he or she makes partner. Venture capital as a profession is less than half a century old. Early-stage Venture Capital firms grow their partnerships in different ways, some hire: partners from other firms. Here’s why. ——-.

Venture Capital 332

Venture Capital Early Stage Technical Review Startup 332

YoungUpstarts

MAY 24, 2018

We only have work-from-home employees outside of our home state; we aren’t subject to tax in other states.”. These tax liabilities, which many companies believe don’t exist, can turn into a heavy burden in the event that a company seeks investors, financing, IPO or sale. The sale of software isn’t subject to sales tax.”.

South Dakota 160

South Dakota North Dakota Wyoming United States 160

David Teten

NOVEMBER 26, 2019

With four hospitals, 22 physician locations, and over 5,000 employees, ThedaCare managers spent 10,000 hours a year to build their budget, and another 10,000 hours to explain, manage, and argue about it. Finance teams need real-time visibility into spend, so they can course correct immediately rather than waiting until after month-end close.

Agile 60

Agile Management Forecast Silicon Valley 60

Up and Running

AUGUST 17, 2022

Close to 30,000 of them will land angel investments , and fewer than 5,000 get venture capital. Whether it was angel investment , venture capital, small business loans, or any other outside investment. Your business finances may show a lack of stability and not enough traction to grow long-term. Embrace rejection.

Venture Capital 146

Venture Capital Intellectual Property Angel Investor Bootstrapping 146

Hunter Walker

SEPTEMBER 29, 2022

Starting a venture capital blog post with 1970s country music lyrics is pretty uncommon, but so is writing about when and why an investor might choose to sell equity before the company exits. And I’d say, it does even if it sucks for other investors and the employee common shareholders. You might think, “Hunter!

Venture Capital 122

Venture Capital Cap Table LP Equity 122

Up and Running

AUGUST 30, 2021

It can be a small and nimble startup like Origin, or a company with 50 employees and hiring more every quarter. Angel investors, venture capital firms, accelerators, and (maybe) the newer equity crowdfunding will look to see if you have previous experience in startups. The same goes for recruiting employees.

Entrepreneur 132

Entrepreneur Lean Colorado Engineer 132

Startup Professionals Musings

OCTOBER 13, 2013

Obviously, these companies still need money to get started, or finance growth, just like a for-profit company. Personal loans from individuals, employees and board members. As in any company, they can lead to employee problems, or messy legal issues. Individual and institutional donations.

Equity 207

Equity Angel Investor Technical Review Exit Strategy 207

Steve Blank

OCTOBER 24, 2017

A 20th century VC was likely to have an MBA or finance background. The founders along with all the other employees would vest their stock over 4 years (earning 1/48 a month). This often is a way for founders and early employees to turn some of their stock into cash before an IPO or sale of company. 4. Founder-friendly VCs.

Founder 245

Founder Technical Review CTO Hire IPO 245

Startup Lessons Learned

MAY 31, 2019

He's been with the firm since its inception in 2009 and has overseen its rapid growth, from three employees to 150+ and from $300 million in assets under management to more than $10 billion. What is venture capital, really? And what does a venture capital firm do? What is its ultimate purpose?

Lean 108

Lean Venture Capital Conversion IPO 108

Startup Professionals Musings

SEPTEMBER 15, 2012

Obviously, these companies still need money to get started, or finance growth, just like a for-profit company. Personal loans from individuals, employees and board members. As in any company, they can lead to employee problems, or messy legal issues. Individual and institutional donations.

Angel Investor 218

Angel Investor Technical Review Exit Strategy Equity 218

Startup Lessons Learned

DECEMBER 14, 2017

Two particularly important roles include the chief venture capitalist, because the investment philosophy for invention is different than traditional finance, and the chief internal ambassador “who connects the two [functions] and builds bridges.” Instead, employees “were like, ‘Well, I don't know how to give my peer feedback.

Lean 245

Lean Startup CTO Hire Cofounder 245

YoungUpstarts

NOVEMBER 12, 2020

Venture capital firms have become more discerning where they put their limited funds to use, and banks have always been anti-startup in their business dealings. Companies that have managed to do this have a distinct advantage over those dependent on financing from external sources. Startup Survival Tactics During the Pandemic.

Bankruptcy 165

Bankruptcy Startup Agile Technical Review 165

Steve Blank

APRIL 1, 2020

As part of these operating changes, make sure your heads of HR and finance recognize that they have entirely new jobs. Nothing is more important than assuring the company can continue to pay its employees. Award equity to employees equal to the value of their reduced salaries. Try to protect the most vulnerable employees.

South Korea 333

South Korea Salary Business Model China 333

VC Cafe

APRIL 29, 2020

The $349 billion aid package issued by the US Government and distributed in the form of SBA loans was quickly gobbled up by a large number of applications, many of which were from venture-backed or PE-backed startups. This is part of Israel’s Ministry of Finance NIS 1.2

SBA 124

SBA Technical Review Startup 124

Startup Professionals Musings

JULY 3, 2011

Obviously, these companies still need money to get started, or finance growth, just like a for-profit company. Personal loans from individuals, employees and board members. As in any company, they can lead to employee problems, or messy legal issues. Individual and institutional donations.

Angel Investor 238

Angel Investor Technical Review Exit Strategy Equity 238

The Startup Magazine

JULY 1, 2022

The three main components of a company are production or service, marketing and sales, and finance. Finance is how you manage your finances, including budgeting, accounting, and bookkeeping. Financing Your Startup. The most common types of financing are debt financing, equity financing, and venture capital.

Technology 137

Technology Venture Capital Finance Startup 137

Up and Running

JUNE 19, 2013

The New York Times profiles two successful tech start-ups— GoodData , which at its start raised more than $50 million in venture capital funding, and RJ Metrics, which held out with self-financing for as long as possible—that went after the same market at the same time, and contrasts their approaches to finance.

Venture Capital 70

Venture Capital Finance Lean New York 70