ReadWriteStart

JULY 15, 2020

New talk of capital efficiency is gratifying, but there was another lesson from pre-COVID-19 valuation struggles. Venture capitalists and early-stage investors have told all of us, founders are critical to a startup’s valuation. That’s probably why we don’t hear morality used often at business events. Morality matters.

Valuation 91

Valuation South Carolina San Jose Balance Sheet 91

SoCal CTO

SEPTEMBER 27, 2011

If the company's valuation is $2 million, $90k is 4.5%. Of course, to be able to use this kind of formula, you will need to be able to determine how much impact the person will have and figure out a valuation. I've talked about this topic before in How Investors Think About Valuation of Pre-Revenue Startups.

Early Stage 391

Early Stage Equity CTO Hire Sweat Equity 391

VC Cafe

JANUARY 27, 2021

Events and more in the Age of Video Revolution. Other parallels to the Zoom universe exist in the realm of virtual events. Bizzabo is on fire these days, though it could have been easy to predict a downfall for the events-tech startup when the coronavirus froze an industry worth 500 billion dollars.

Vertical 148

Vertical Video Technical Review Europe 148

Startup Professionals Musings

OCTOBER 18, 2023

In addition, current investors want to see every startup go public or be acquired, as an exit event, so they can get their due return for that investment which has been tied up for the last few years. Secure your company’s sustainability through multiple revenue streams and customer sets, and solid core business processes.

Exit Strategy 248

Exit Strategy Valuation Acquisition Metrics 248

Startup Professionals Musings

SEPTEMBER 30, 2013

Every investor expects to see some business traction, both before and after a funding event. Don’t expect them to believe your $100M revenue projection, if you are still waiting for the first revenue dollar. Get a real customer and real revenue. Traction means forward progress. Only real results count.

Intellectual Property 281

Intellectual Property Entrepreneur Sweat Equity CTO Hire 281

Startup Professionals Musings

SEPTEMBER 20, 2021

Events for enthusiasts, formerly called Maker Faires, now stretch across the USA and into many other countries. They have also become great networking events for meeting other like-minded entrepreneurs. They come at the early stage while a startup has no revenue or valuation, so professional investors are hard to find.

Startup 397

Startup Cofounder Incubator Early Stage 397

Startup Professionals Musings

AUGUST 25, 2017

This Maker Movement has now spread across the world, spawning hundreds of events and companies, including Maker Faires, Makerspaces, Hackerspaces, and Maker Film Fests. They come at the early stage while a startup has no revenue or valuation, so professional investors are hard to find.

Technical Cofounder 153

Technical Cofounder Intellectual Property Wiki Cofounder 153

YoungUpstarts

SEPTEMBER 16, 2015

What’s critical for entrepreneurs to understand is that valuations for startups do not increase at a linear rate; they increase geometrically based on achieving the right milestones. The best entrepreneurs raise enough money to achieve a set of interim milestones and then raise capital again at a significantly increased valuation.

Valuation 100

Valuation Dilution Chicago Technical Review 100

Startup Professionals Musings

JANUARY 9, 2021

In addition, current investors want to see every startup go public or be acquired, as an exit event, so they can get their due return for that investment which has been tied up for the last few years. Secure your company’s sustainability through multiple revenue streams and customer sets, and solid core business processes.

Exit Strategy 434

Exit Strategy Valuation Acquisition Metrics 434

Startup Professionals Musings

AUGUST 31, 2012

Every investor expects to see some business traction, both before and after a funding event. Don’t expect them to believe your $100M revenue projection, if you are still waiting for the first revenue dollar. Get a real customer and real revenue. Traction means forward progress. Only real results count.

Intellectual Property 260

Intellectual Property Sweat Equity CTO Hire Fractional CTO 260

Startup Professionals Musings

AUGUST 5, 2023

Talk to thought leaders at relevant industry events. Getting to know leaders at these events will get you visibility and credibility, as well as valuable feedback on your strategy and solution. Friends and family are key at the idea and early development stages, when you have minimal business valuation.

Angel Investor 246

Angel Investor Stealth Bootstrapping Early Stage 246

Tim Keane

JANUARY 12, 2010

Term-sheets and Valuations: Thinking about Negotiations.   I’ve sat down with entrepreneurs and a copy of a term sheet guide I like [ “Term Sheets & Valuations - A Line by Line Look at the Intricacies of Venture Capital Term Sheets & Valuations ” by Alex Wilmerding, Aspatore Press.] The Valuation Question.

Term Sheet 68

Term Sheet Valuation Dividend Liquidation Preference 68

Steve Blank

MARCH 17, 2020

Social isolation and a declared national emergency have had an immediate impact on industries that cluster people; conferences, trade shows, airlines/cruise ships and all types of travel, the hospitability industry, sporting events, theater and movies, restaurants and schools. Large companies are sending employees to work at home.

Burn Rate 436

Burn Rate Startup Valuation Sales Cycle 436

Startup Professionals Musings

JANUARY 7, 2023

This fallacy, often called historical myopia, essentially involves extrapolating only from recent positive events, and ignoring the reality that markets saturate or evaporate. Every business, young or old, needs to avoid the following six mistakes that he outlines: Anticipating success based on the recent past.

Intellectual Property 314

Intellectual Property Entrepreneur Bankruptcy Viral 314

Startup Professionals Musings

NOVEMBER 22, 2020

Talk to thought leaders at relevant industry events. Getting to know leaders at these events will get you visibility and credibility, as well as valuable feedback on your strategy and solution. Friends and family are key at the idea and early development stages, when you have minimal business valuation.

Stealth 434

Stealth Startup Angel Investor Bootstrapping 434

YoungUpstarts

FEBRUARY 1, 2020

You are sure to be happy when your business reaches a Series B financing round because it usually means your company has a higher valuation. The principles provide guidance on how to correctly record transactions across all possible business events. Revenue Recognition. by Bryce Welker, founder of Crush The CPA Exam.

CPA 165

CPA Stock Options Valuation Stock 165

YoungUpstarts

MARCH 11, 2015

With the daily demands of running a business along with the financial pressures and challenges inherent in early-stage companies, a business valuation may not be the first thing an entrepreneur thinks of when he awakes each morning. When does a startup company need a business valuation? The timing will vary depending on the purpose.

Valuation 100

Valuation Stock Options CPA Merger 100

Startup Professionals Musings

JUNE 17, 2011

Every investor expects to see some business traction, both before and after a funding event. Don’t expect them to believe your $100M revenue projection, if you are still waiting for the first revenue dollar. Get a real customer and real revenue. Traction means forward progress. Only real results count.

Intellectual Property 253

Intellectual Property Sweat Equity CTO Hire Fractional CTO 253

The Startup Magazine

JULY 17, 2022

Any businesses that are obligated to pay taxes in Germany according to the terms of the Income Tax Act and the Corporation Tax Act, insofar as they create revenue in conformance with Section 2 Paragraph 1 Sentence 1 Number 1 to 3 of the Income Tax Act, are eligible to make a claim.

Developer 136

Developer Germany Software Developers Software Development 136

Up and Running

SEPTEMBER 19, 2017

That’s because obtaining a pre-money valuation for a concept level technology company in excess of $1 million is difficult, particularly for a startup founder without a proven track record. By contrast, obtaining a pre-money valuation of $5 million for a business with a new viable product and even very minimal sales is somewhat reasonable.

Private Equity 94

Private Equity Pre-Money Valuation Equity Startup 94

Both Sides of the Table

JUNE 22, 2011

Ah, but today’s Internet companies have real revenue! In addition to FOMO it is partly driven by massive increase in valuations for earlier-stage companies who raised money at bit seed prices but who still have product risk. And for some that means that despite waiting they may see worse valuations in the future than now.

Saudi Arabia 309

Saudi Arabia Valuation IPO Technical Review 309

Startup Professionals Musings

OCTOBER 7, 2022

Angel investors will perk up if you have a prototype or a few real customers, while venture capitalists will likely choose to wait until you have achieved several million in revenue or customer count. The average valuation for angel investments is $2 million, which will get you $500,000 for 20 percent of your startup.

Preferred Stock 304

Preferred Stock Exit Strategy Equity Angel Investor 304

This is going to be BIG.

OCTOBER 12, 2020

Moat, the biggest exit out of the bunch, was sourced when I met Mike Walrath at a tech event. That leaves me out raising with two funds under my belt and no big exit and no unicorn valuations. One just got a seed term sheet for twice the valuation I put in at in the pre-seed and the other is doing $200k/month in revenue.

LP 136

LP Technical Review Software Review Valuation 136

Both Sides of the Table

MARCH 1, 2016

LPs See The Over-Valuations and Don’t Like It. LPs have followed the recent press about the over-valuation and over-funding of the startup industry, and they experience these phenomena first hand. All isn’t completely rosy in the LP views of the venture industry. The Biggest Area of Concern is Late Stage Investments.

Venture Capital 150

Venture Capital LP Silicon Valley Marketing 150

ConversionXL

AUGUST 11, 2021

Regardless of whether you’re seeking sponsorship for a product, event, book, or podcast, the overarching aim of attracting corporate sponsors remains the same: you need sponsors that engage your audience. A sponsorship strategy should cover five areas: Assets Audience data Asset valuation Activations Market identification.

Audience 139

Audience Social Media Email Ruby 139

Startup Professionals Musings

JANUARY 4, 2020

Angel investors will perk up if you have a prototype or a few real customers, while venture capitalists will likely choose to wait until you have achieved several million in revenue or customer count. The average valuation for angel investments is $2 million, which will get you $500,000 for 20 percent of your startup.

Startup 337

Startup Preferred Stock Exit Strategy Equity 337

Startup Professionals Musings

MAY 22, 2010

Every investor expects to see some traction, both before and after a funding event. Don’t expect them to believe your $100M revenue projection, if you are still waiting for the first revenue dollar. Get a real customer and real revenue. Without revenue, your investors are largely limited to friends, family and fools.

Intellectual Property 222

Intellectual Property Sweat Equity CTO Hire Fractional CTO 222

YoungUpstarts

JANUARY 29, 2020

Because of this development, many business owners are concerned about business valuation and ideas for transitioning their businesses. There are a number of trusted methods on how to value a private company , describing some of the common business valuation principles. Diversify Your Revenue & Profits. Set Yourself Apart.

Valuation 162

Valuation Revenue Differentiation America 162

YoungUpstarts

OCTOBER 23, 2017

PC and mobile interfaces dynamically display portfolio valuations and exposures, along with system-generated investment recommendations tailored to a specific client’s financial goals and risk appetite. According to research from JP Morgan, revenues from investment banking peaked in 2009 at $207.7

Technical Review 154

Technical Review Artificial Inteligence Software Review IPO 154

Hearpreneur

JANUARY 22, 2023

In recent years, eCommerce companies have begun to increase revenue by selling products directly via social media networks. When you connect your story to a viral event and piggyback on its coverage you can get attention. Every year, social media coverage expands. Social listening is becoming more important to derive sentiments.

Artificial Inteligence 120

Artificial Inteligence Technical Review Entrepreneur Social Media 120

Startup Professionals Musings

APRIL 12, 2020

This fallacy, often called historical myopia, essentially involves extrapolating only from recent positive events, and ignoring the reality that markets saturate or evaporate. Every business, young or old, needs to avoid the following six mistakes that he outlines: Anticipating success based on the recent past.

Intellectual Property 310

Intellectual Property Startup Bankruptcy Viral 310

Startup Professionals Musings

NOVEMBER 4, 2011

Here is my list of top ten action items to best prepare you for success in achieving a funding event with angels: Incorporate the business now. It should answer every question an investor or associate might ask, including current valuation, funding needed, and exit strategy. Finalize your financial model.

Intellectual Property 249

Intellectual Property Angel Investor Technical Review Elevator Pitch 249

Lightspeed Venture Partners

OCTOBER 29, 2012

The company sought to raise $125,000 for 25% of the comapny, implying a $375,000 pre money valuation. Unsurprisingly, all the sharks passed, based on market size and valuation expectations. Shelton came under intense questioning about how she justified her valuation given no proof of demand.

Pre-Money Valuation 97

Pre-Money Valuation Offshore Valuation Cofounder 97

Both Sides of the Table

JULY 27, 2014

I go every year because I love events hosted & moderated by insiders involving discussions by insiders because it maximizes the amount of real discussions people have. Most of those industries are fee-based and are competing on revenue growth. Video 1 is here : Late stage valuations are in a mini bubble. tl;dr version.

Valuation 309

Valuation Pre-Money Valuation Later Stage Non-Compete 309

VC Cafe

NOVEMBER 30, 2022

Earlier this month we ( Remagine Ventures ) teamed up with Taylor Wessing (a leading UK law firm specialising in tech) on “Into the Metaverse”, a joint event to discuss the opportunities in gaming, crypto/web3 and Metaverse. You can find a lot more information, including videos from the event in this dedicated Metaverse page.

Startup 122

Startup Generative AI Venture Capital Valuation 122

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). Better yet, the valuation of your enterprise is often higher than if the same investment were taken from a professional investor.

Private Equity 118

Private Equity Valuation Cap Table Accredited Investor 118

VC Adventure

MAY 5, 2022

How many of those valuations will hold remains to be seen, but that kind of market clearly advantaged funds that deployed capital very quickly. But in any event, the life of a fund is at least 10 years, and increasingly 15 years or more. Both were valued at greater than 50x revenue (one was, I think, 70x revenue).

IRR 116

IRR Metrics Valuation LP 116